Israel Will Ban Cash Payments Over $4,400 From 1st August

Israel’s hold on money is becoming more strict. Lawmakers have decided to ban cash payments to combat financial crimes. Cash will no longer be accepted for purchases over $4,400 or $1,760, depending on the business transaction by Israeli citizens starting Monday (August 1st). Citizens of Israel won’t be allowed to pay cash for purchases worth more than 6,000 shekels ($1,760) in business transactions. According to Herzog Law, this provision applies to loans, salaries, gifts, and other business-related payments. Additionally, there is a ban on making cash payments for personal transactions worth more than 15,000 shekels ($4,400). These sums represent a decrease from the transaction ceilings Israel imposed in 2019. The maximum amount for commercial transactions was 11,000 shekels ($3,220), while the maximum for personal transactions was 50,000 ($14,660). Israel Tax Authority Charities, specific religious institutions, Palestinians living in the West Bank, and family and close friends are exempt from the regulation, but tourists must abide by it. Future legislation is anticipated to prevent Israelis from keeping more than 200,000 shekels ($58,660) in cash at home. Lawbreakers will be subject to harsh consequences. Depending on transaction magnitude, those who engage in business transactions in violation of the restriction may be subject to fines ranging from 15% to 30% of the value of the payment. A violation of the law in a perso...