Knesset Finance Committee chairman MK Nissan Slomiansky (Bayit Yehudi) on
Tuesday postponed a hearing that would change the way property taxes (arnona)
are calculated in some municipalities. The changes could lead to spikes in some
Slomiansky cited ongoing disagreements with Finance Minister
Yair Lapid and Interior Minister Gideon Sa’ar over the issue.
to Globes, the legislative amendment in question would allow municipalities
unable to raise property tax on the basis of balconies, parking spaces and
common areas in apartment buildings to do so, provided they receive a
Municipalities that want to lower their property taxes could also
receive permission to remove those items from taxation.
The change would
be the first update to arnona calculation since 1985.
Following a 2013
law, financially sound municipalities can raise property tax 0.3 percent in
exchange for loaning cash to the government.
Association of Israel campaigned against high arnona rates, saying businesses
could not afford the additional costs.
Globes contributed to this report.
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