Shas party leader Aryeh Deri has threatened to block the passing of the state budget over the matter of value added tax on public transportation.
During a session of the Knesset Subcommittee on Public Transportation, Chairman MK Dov Hanin explained measures must be taken to provide a greater incentive for citizens to leave their private vehicles at home. He wishes to lower the cost of public transportation including zero VAT. Hanin feels that removing the 17% VAT from the cost is the first stage, citing the need for revamping the system and lowering the cost for commuters.
Newly-appointed Minister of Periphery Communities, the Galil & the Negev Aryeh Deri has become involved. He explains the lowering of VAT from basic food items has not been passed to consumers, warning he will block the state budget until such time value added tax is removed from the cost of public transportation.
(YWN – Israel Desk, Jerusalem)