Subscribe to Print Edition | Tue., June 10, 2008 Sivan 7, 5768 | | Israel Time: 06:45 (EST+7) web haaretz.com   Back to Homepage Rosner's Domain Diplomacy Defense Jewish World Opinion National Print Edition Advertising Books Peres Conference Business Real Estate Easy Start Travel Week's End Anglo File

Last update - 18:17 09/06/2008 Palestinian PM Fayyad says Israel to transfer withheld tax revenues By The Associated Press Tags: Israel, PA, Tax, Salam Fayyad The Palestinian Prime Minister Salam Fayyad said Monday that Israeli officials told him they have transferred millions of dollars in withheld tax revenues. Israel held back around $74 million in tax revenues at the end of May that were supposed to be transferred under a long-standing deal between both sides, Palestinian officials said. The officials said they believed shipment of the money was delayed following Fayyad's lobbying of European nations not to boost their relations with Israel. Advertisement The money is aimed toward paying the salaries of around 150,000 Palestinian civil servants. Fayyad said Israeli officials told him the money had been transferred and would arrive in the coming days. The issue is sensitive for the moderate Fayyad, who needs to show Palestinians that their struggling economic conditions will improve by engaging Israel. Israeli officials were not available for comment on Monday due to the Jewish holiday of Shavuot, but a treasury spokeswoman on Sunday said the money was transferred last week. Palestinian spokesman Riyad Malki said Monday that the delay was a punishment in response to a national stance taken by the government took. Malki was referring to Fayyad's call on the European Union not to upgrade its relations with Israel, while settlements expand in the West Bank. Palestinians claim the territory for their future state, and Israel is supposed to halt new settlement construction while it negotiates a peace deal. Fayyad's unusual move upset Israeli Prime Minister Ehud Olmert, who expressed his grave concern over the matter. Israel has strong trade relations with the EU and is looking for closer cooperation in research and political and economic areas. Israel also is seeking membership in the 30-member OECD, which champions democracy and free market economy. Related articles: Investing in Fayyad 966961 Fayyad: Israel shouldn't celebrate independence until peace deal signed PA employees receive first full salary payment in 15 months Bookmark to del.icio.us   Sign of life Family of abducted IDF solider Gilad Shalit receives new sign of life. Happy Jews San Francisco museum details positive impact of Jews on city.   1.   evil state 18:42  |  KMS 09/06/08   2.   Withheld funds??? 20:45  |  Joe 09/06/08   3.   Ingrates from territories - can not even collect their taxes 21:04  |  17 09/06/08   4.   KMS #1 01:10  |  Gee 10/06/08

Read & React Shmuel Rosner: Obama and Jerusalem - did you really believe him? Responses: 261 U.S. proposes trilateral talks with Israel and PA Responses: 101 Defense sources:Talk of major IDF operation in Gaza is premature Responses: 86 Palestinian shepherds: Masked settlers beat us with clubs Responses: 160 Rosner's Domain On a par with the policies of President Bush Should you mess with the Zohan? (WTR) Poll: Philip Roth, Victor Frankl or Leon Uris? Obama and Jerusalem: did you really believe him? What did Obama say to Joe Lieberman? (WTR) More Headlines 02:13 Shalit's father: Gilad begs for his life in new letter 04:21 Israeli sources: Shalit letter is Hamas 'goodwill' gesture 02:12 Turkish, Israeli sources: Israel-Syria talks set to resume this week 03:37 Congress gets behind Israel's aid request 02:53 Israeli envoy to London: U.K. has become hotbed of radical anti-Israeli views 15:50 German football fans detained in Austria for Nazi-like chants 03:56 Interior Min. sets up unit to grant refugee status 04:34 Israel to transfer PA tax funds held because of spat with PM Fayyad 05:34 Canadian PM cancels visit to Israel due to Olmert probe 04:57 Arab towns to distribute 'Nakba' booklet outside schools 05:58 Hapoalim may face heavy fines over Hayarkon money-laundering scandal Previous Editions Select Day 09 jun 08 jun 06 jun 05 jun 04 jun 03 jun 02 jun 01 jun 30 may 29 may 28 may 27 may

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