Israel freezes Palestine's tax revenues amounting to $188M monthly

Israel has frozen the transfer of tax revenues amounting to some $188 million monthly to the Palestinian Authority (PA), according to Israeli media.

Israel's Finance Minister Bezalel Smotrich said on Monday that the funds will be withheld over the failure of the Ramallah-based authority to condemn an Oct. 7 cross-border attack, which began the current Israeli-Palestinian conflict.

"The PA didn't see fit to distance itself from these barbarian actions, and officials in the authority even expressed support for the awful massacre," Smotrich, a far-right cabinet minister, said in a letter to Prime Minister Benjamin Netanyahu as quoted by The Jerusalem Post.

"Furthermore, the PA is acting against Israel at the International Criminal Court and the International Court of Justice," he said.

There was no comment yet from the Palestinian Authority on the Israeli move.

The tax revenues – known in Palestine and Israel as maqasa – are collected by the Israeli government on behalf of the Palestinian Authority on Palestinian imports and exports. Israel in return earns a commission of 3 percent of collected revenues.

The tax revenues collected are estimated at around $188 million every month, for which tax revenues represent the main source of income for the Palestinian Authority.

The Israeli army has widened its air and ground attacks on Gaza, which has been under relentless airstrikes since the surprise offensive by Hamas on October 7.

​​​​​​​Nearly 9,850 people have been killed in the conflict, including 8,306 Palestinians and more than 1,538 Israelis.​​​​​​​