Israel Moves to Extend Fuel Tax Cuts Amid Fiscal Concerns
Translated & summarized from Kan News by baba
The Israeli government is seeking to extend fuel tax cuts set to expire on November 4, which could cause a one shekel per liter price increase. Finance Minister Bezalel Smotrich is leading efforts to renew the orders, despite a monthly tax revenue loss of 300 million shekels. This follows a previous tax reduction that cost 150 million shekels and came against professional advice warning of budget deficits.
The story in 6 lines · by baba
- Israel's government aims to extend fuel tax cuts before they expire on November 4.
- Fuel prices could rise by one shekel per liter if the tax cuts are not extended.
- The tax cuts represent a monthly revenue loss of approximately 300 million shekels.
- Finance Minister Bezalel Smotrich is spearheading the effort to renew the orders.
- The move follows a previous tax reduction that cost 150 million shekels in lost revenue.
- Professional advisors warned of budget shortfalls regarding the tax reductions.
The Israeli government is working to extend fuel tax reduction orders that are set to expire next week, potentially leading to a significant price increase for consumers. The orders, signed by Finance Minister Bezalel Smotrich in the two months prior to the recent elections, are due to lapse on November 4. If they expire, the price of fuel is expected to jump by one shekel per liter, following an anticipated rise this coming weekend.
Officials in the Finance Ministry have begun efforts to renew these orders, which represent a monthly tax revenue loss of approximately 300 million shekels. This move is considered legally feasible as it would occur after the election period. Earlier this month, a similar tax reduction order, which cost the state 150 million shekels in lost revenue, lowered fuel prices by half a shekel to 7.77 shekels per liter.
This policy was implemented despite warnings from professional staff within the Finance Ministry regarding potential budget shortfalls. The price reductions come after fuel prices had previously reached an all-time high. The maximum price for a liter of 95-octane unleaded gasoline at self-service stations was 8.27 shekels, an increase of 52 agorot from the previous update. An additional charge of 26 agorot per liter applied for full service.
The same event, reported separately by each outlet. Open a few to compare what different newsrooms emphasize — and what they leave out.
Centre 3Other 3
Not the same event — other stories that share this one’s people, places, or theme: background, reactions, and follow-ups.