Palestine Monetary Authority

Palestine Monetary Authority

Circular No. (28/2006)

To all banks operating in Palestine
Date: Monday, October 30, 2006

Subject: Circular No. (54) dated 2006/03/26 regarding property tax

Further to the aforementioned circular regarding the non-payment of any financial dues to property owners unless a tax clearance certificate is obtained from the Property Tax Directorate or the rental value is paid with the tax allocated from it, we wish to remind you that the aforementioned circular was issued based on cooperation and coordination with the Palestinian Authority's bodies and institutions. However, its implementation remains contingent upon not violating the provisions or objectives of the law, and is also contingent upon not causing or exposing any bank to potential damages as a result of this cooperation or coordination.

Therefore, the bank has the right, and indeed the obligation, to always ensure the proper application of the law's provisions and to shield itself from any liabilities or damages it may incur, provided this is done within the framework of the law and within the limits of the responsibilities assigned to it.

In this context, the Palestine Monetary Authority has no objection to any bank contacting the Property Tax Directorate and informing it of any issues related to the subject, as well as presenting the bank's viewpoint to address those issues.

Please accept our highest regards,

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Banking Supervision Department
Palestine Monetary Authority

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Ramallah - Al Bireh P.O. Box 452, Tel. 02 240 9920, Fax: 02 240 9922 Gaza P.O. Box 4026, Tel. 08 282 5713, Fax: 08 284 4487 E-mail: info@pma.gov.ps www.pma-palestine.org

Ramallah - Al Bireh P.O. Box 452, Tel: 02 240 9920, Fax: 02 240 9922 Gaza P.O. Box 4026, Tel: 08 282 5713, Fax: 08 284 4487