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About: Taxation in the State of Palestine     Goto   Sponge   NotDistinct   Permalink

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As of 2016, taxation in the State of Palestine is subject to the Oslo Accords, notably the Protocol on Economic Relations also called the Paris Protocol, which was signed in 1994 by the Palestine Liberation Organization (PLO) and Israel. The Paris Protocol established a customs union, which essentially formalized the existing situation, where the Palestinian economy was merged into the Israeli one. Formally, the Palestinian Authority (PA) is entitled to collect taxes from the Palestinians in the Palestinian territories, but some 75% of PA's total tax revenue was as of 2014 collected by Israel on behalf of the PA and transferred to the PA on a monthly basis. Israel has occasionally withheld the taxes it owes the PA.