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New tax plan set to increase Palestinians' burdens

In an attempt to compensate for threats of US aid cuts, the Palestinian Authority is revamping its tax system to expand the tax liability of citizens, which could have a catastrophic impact on Palestinians.
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GAZA CITY, Gaza Strip — The Palestinian Cabinet announced Feb. 27 in a statement it released after the end of its weekly video conference session in Ramallah and Gaza City new tax measures to increase local revenues.

The statement noted that the 2018 budget amounts to $5.8 billion, with revenues of about $4 billion and foreign funding of $775 million. The increase in expenses will exceed the increase in revenues by 11%.

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