Israel recently slashed the gasoline tax it had been collecting from the Palestinian Authority by 50% as well as taken other measures to ease the financial situation in Ramallah.
The 1994 Protocol on Economic Relations (aka the Paris Protocol) between Israel and the PLO stipulates a 3% rate. “Israel has recently decided to collect only 1.5%, said a document signed several days ago by the Defense Ministry Coordinator. This will save some 80 million shekels ($21 million) for the Palestinian Authority on an annual basis.
