Lapid is harassing Haredim: Benefit for army servants only
According to information revealed this morning, the Minister of Finance is planning a revolution in housing: exemption from VAT for a new apartment, reduction of about 18% of cost • Sting: One criteria is that at least one spouse served in the military • Treasury officials strongly opposed the proposal • want to rent? Serve!
- Globes
- י"ז אדר ב' התשע"ד
Lapid, smug as usual. Photograph: Flash 90
Dramatic suggestion by the Treasury: every couple with at least one child who purchases a first apartment from a contractor will not pay VAT to the state, which means a discount of 18 % . This was published this morning (Tuesday) in Yediot Aharonot newspaper.
According to the proposal of the Minister of Finance Yair Lapid, which received an intense objection of professional officials in his office, within a few months housing prices will be reduced by 18 %, with a further discount permeating into second hand flats due to a decrease in demand from young couples.
The proposal, which has not passed legislation yet, of course, is accompanied by other conditions: at least one spouse served in the military service, at least one spouse works, the couple reside in Israel, the house price does not exceed the average defined for each region of the country, and if the apartment is sold within five years of purchase – the benefit amount will be refunded immediately.
The criterion by which the benefit depends on work and service, is designed to block the Haredi young couples, thus keeping it a "secular benefit only".
According to estimates, as the program progresses, a complete halt to purchases of new homes on behalf of young couples and homeless is expected to occur. Therefore, there may be a reduction of new apartments by contractors in order to release stocks.
As mentioned above, the benefit will dispossess the Haredi and Arab sectors, who will not enjoy it because of the blocking criterion.
According to the proposal of the Minister of Finance Yair Lapid, which received an intense objection of professional officials in his office, within a few months housing prices will be reduced by 18 %, with a further discount permeating into second hand flats due to a decrease in demand from young couples.
The proposal, which has not passed legislation yet, of course, is accompanied by other conditions: at least one spouse served in the military service, at least one spouse works, the couple reside in Israel, the house price does not exceed the average defined for each region of the country, and if the apartment is sold within five years of purchase – the benefit amount will be refunded immediately.
The criterion by which the benefit depends on work and service, is designed to block the Haredi young couples, thus keeping it a "secular benefit only".
According to estimates, as the program progresses, a complete halt to purchases of new homes on behalf of young couples and homeless is expected to occur. Therefore, there may be a reduction of new apartments by contractors in order to release stocks.
As mentioned above, the benefit will dispossess the Haredi and Arab sectors, who will not enjoy it because of the blocking criterion.
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