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US may ask Israel to put Palestinian tax money toward Trump's Gaza plan, sources say
The proposal could funnel part of the $5 billion Israel withholds from the Palestinian Authority into a $70 billion Gaza reconstruction effort.
- The United States is considering asking Israel to transfer part of $5 billion in withheld Palestinian tax revenue to President Donald Trump's Board of Peace to fund Gaza's reconstruction, according to five sources familiar with the matter.
- Israel has withheld approximately $5 billion in taxes, citing the Palestinian Authority's prisoner-payment system; Washington and Israel argue the system incentivizes violence, while Palestinian officials defend the payments as welfare support.
- Launched in January 2026, the Board of Peace oversees an estimated $70 billion rebuilding effort, with officials stating that "money held in a bank does nothing to further the President's 20-Point Plan."
- No formal request has been made to Israel, as officials assess the proposal to potentially channel funds to a US-backed transitional government for Gaza, with other portions released to the Palestinian Authority if reforms occur.
- Repurposing these revenues without Palestinian Authority input could further sideline the Western-backed administration, officials warned, as the authority faces a severe financial crisis and forced salary cuts in the West Bank.
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11 Articles
US weighs using withheld Palestinian tax money for Trump’s Gaza reconstruction plan: Report
Washington is considering asking Israel to transfer part of the Palestinian Authority’s withheld tax revenues to support Donald Trump’s Board of Peace initiative for post-war Gaza reconstruction.
·Mumbai, India
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Total News Sources11
Leaning Left0Leaning Right5Center6Last UpdatedBias Distribution55% Center
Bias Distribution
- 55% of the sources are Center
55% Center
C 55%
R 45%
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