Bond.az - The U.S. is considering asking Israel to give some tax money withheld from the Palestinian Authority to Donald Trump's Board of Peace to fund the president's post-war plan for Gaza, five sources familiar with the matter told Reuters.
The Trump administration has not yet decided whether to make a formal request to Israel, said three officials. Two Palestinian sources said that under the proposal, part of the tax money would go to a U.S.-backed transitional government for Gaza, and other funds to the PA if it makes reforms. The PA estimates the withheld tax at $5 billion.
A Board of Peace official said it had asked all parties to leverage resources to support Trump's rebuild plan, estimated to cost $70 billion. "There is no doubt that money held in a bank does nothing to further the President's 20-Point Plan," the official said.
Israel collects taxes on imported goods on behalf of the PA and is meant to transfer the revenue. In response to U.S. pressure, the PA in February 2025 said it was reforming the payment system, but the U.S. said those changes did not go far enough. As punishment, Israel has withheld taxes, amounting to $5 billion.
Under Trump's plan, a group of Palestinian technocrats dubbed the National Committee for the Administration of Gaza would take control of Gaza from Hamas. Nickolay Mladenov, Trump's Board of Peace envoy for Gaza, said reconstruction planning was in advanced stages.
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