Shas has proposed replacing a tax on fruits and vegetables with several measures that would target the upper classes. Although the Sephardi religious party voted in favor of the proposed national budget in an initial Knesset vote last week, it remains firmly opposed to a section of the proposal that would allow the government to charge value-added tax (VAT) on fruits and vegetables. Members of the party have spent recent weeks developing counter proposals that would leave fresh produce tax-free. Shas wants to replace the estimated 1.8 billion shekels ($450 million) that the state could gather by taxing produce by freezing salaries and adding taxes in other areas. Among the alternative solutions proposed by Shas is a three-year salary freeze for public servants making at least three times the minimum wage. The wage freeze... [read full story]
