Economics panel to freeze TV tax cuts

The Knesset Economics Committee on Monday approved for a first reading the proposed bill from MK Haim Oron that calls for freezing the reductions of the IBA's TV tax for one year.

The Knesset Economics Committee on Monday approved for a first reading the proposed bill from MK Haim Oron (Meretz) that calls for freezing the reductions of the Israel Broadcasting Authority's TV tax for one year. Today, the tax stands at NIS 350 a year, a significant drop from the NIS 515 rate in 2004. Oron claimed that among countries that charge citizens for owning a television, Israel has one of the lowest yearly taxes. The 2008 reduction was slated to be eight percent, however, under Oron's proposal, the tax won't be reduced next year and will instead be cut 5% in 2009 and 5% in 2010.