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Businesses near Gaza to be compensated for indirect costs caused by war

CM 24/05/2021


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The Finance Ministry and Tax Authority have agreed on a compensation plan for indirect damage caused to businesses resulting from the recent Operation Guardian of the Walls military campaign with Gaza.

The plan will come in addition to compensation for direct damage caused to property and buildings, and will be brought to the Finance Committee in the coming days for approval. The model is based on the compensation outline used after the 2014 Protective Edge military campaign.
According to the plan, businesses within 40 kilometers of the border with Gaza can choose whether they want to be compensated through a calculation based on lost business turnover or lost wages. According to the former, the business will have to compare its revenues for May to the parallel period in 2019. The latter track would allow businesses to be compensated for wages paid to employees who were unable to come to work due to the security situation.
In addition, businesses can also claim compensation for additional operating expenses incurred in maintaining normal operations during the fighting. Another compensation track for the agriculture industry is still being formed, the Finance Ministry said.
These options are intended to provide a fast and simple response for affected businesses, the ministry added.
Businesses located within seven kilometers of the Gaza border can also choose from an additional option, to be compensated based on lost profits incurred during the campaign.
Businesses choosing one of these plans will be unable to claim a grant for fixed expenses for May and June in the context of the government’s participation grant for businesses during coronavirus.

Meanwhile,  the grants and ongoing assistance provided to businesses as part of its coronavirus economic safety net will continue, and the threshold for claiming economic assistance due to reduced business turnover will be lowered from 40% to 25%, the Finance Ministry said.
After the plan is approved, eligible parties can file a claim for indirect damage to the Compensation Fund at the Tax Authority.
“With the end of Operation Guardian of the Walls, in which the security forces attacked the Hamas terrorist organization, now is the time to provide comprehensive economic assistance to all those injured as a result of the fighting, as part of strengthening the resilience, security and certainty of the State of Israel,” said Finance Minister Israel Katz. “Just as we acted quickly and efficiently with regard to damage to property and buildings during the fighting, so we will also act with regard to indirect damages caused to residents and their businesses.”

Source: Jerusalem Post

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CM

The host of Coffee Mouth Scare Crow Show and CEO of 452 Impact, Inc. Here is food for thought. Romans 6:23 "For the wages of sin is death; but the gift of God is eternal life through Jesus Christ our Lord." John 3:16 "For God so love ed the world that he gave his only begotten Son, that whosoever believeth in Him shall be saved."

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