The Financial Commission approved the law on tax benefits for working parents

The Financial Commission approved for the second and third readings at the plenary session of the Knesset the law on tax breaks for working parents and on increasing employment benefits for low-paid workers.

The law provides:
1. Tax incentives for working families that will save parents an average of NIS 5,332 per child aged 6 to 12.
2. A 40% bonus to the employment allowance for low-paid maanak avod workers (initially it was 20% and increased to 40% at the request of the chairman of the commission).
3. In order to encourage young people to enter the labor market, a decision has been made to lower the age of benefits to 21 years.
4. As during the corona crisis, workers employed by their relatives will also be eligible for this benefit.

Knesset Finance Committee Chairman Alex Kushnir (Israel Our Home) said: “During the parliamentary recess, I convened weekly meetings of the Finance Committee to prepare the finance minister’s economic program for second and third readings in the Knesset plenary session. The main goal is to increase free income for 610,000 families”.

By Editor

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