Smotrich Announces Agreement with Banks to Transfer 3 Billion Shekels to the State Treasury

SadaNews Economy Translation - Israeli Finance Minister Bezalel Smotrich announced a new step regarding taxation on banks, confirming that his ministry reached a preliminary agreement with the banks to transfer about 3 billion shekels to the state treasury this year.

Smotrich told Israelis, as translated by SadaNews: "As I promised you, we are taking an important step towards imposing taxes on banks. We are transferring the money coming from the banks to you, Israelis, through income tax relief. We are lowering taxes as we promised, and we are doing so responsibly."

Smotrich explained that this money would be used to alleviate income tax for Israelis, noting that this policy aims to reduce the cost of living and maintain a deficit ratio of less than 5%, which would enhance global market confidence in the Israeli economy.

He added that this move is part of what he described as "correcting the situation," considering that the banks' profits were exceptional due to the increase in interest rates, and he seeks to return a portion of these profits to Israeli citizens.

He said: "I am pleased to be the Finance Minister who returns large sums of money to the people from the banks' profits, which they only earned from raising interest rates."

Smotrich thanked the Chairman of the Knesset Finance Committee and its members for their efforts to pass the law, assuring that the government will continue to manage the Israeli economy "responsibly" under the current circumstances.