Israel released $100mln to Abbas because that would supposedly strengthen Fatah in the upcoming talks with Hamas. How so? Israel just has proved that the Palestinian entity will get paid, no matter what. Palestine received the money while recalcitrant Hamas is still in power, so why should Hamas step down now? To answer the Israeli goodwill in kind? Blessed are the believers.

Israel treats Palestine as rioting colony, not as an enemy at war. Colonies do get money even when misbehaving, enemies – never. Colonies, however, don’t shell their master states and don’t send suicide bombers into imperial capital. Colonies are generally profitable, except late in the wars of independence; Palestine is a net expense for Israel, given the military costs of opposing the Arab world on that issue. Customs duty on Palestinian imports isn’t crucial and doesn’t qualify the relationship as colonization. Palestinian laborers are helpful, but replaceable with Asians.

Israel should not collect taxes for Palestine. The idea behind temporary immigrant workers is to reduce the costs of local manufacturers, not to benefit the aliens. Israel has no economic or political reason to impose social security tax on the wages of Palestinian laborers; repealing it would make Israeli produce a bit cheaper. By imposing the tax on top of Palestinians’ wages, Israel makes Jewish customers subsidize the Palestinian entity.

Tax remittances are not adjusted for the major costs of compliance and enforcement. Israel bankrolls the police, tax administration, and numerous other bodies which enforce her tax laws. Israeli enforcement expenses are especially high for the Palestinian laborers many of whom work illegally. No less than 30% of the Palestinian tax remittances should be in any case deducted to cover the costs of collection.

Releasing the funds to Palestine is immoral. Jewish soldiers and police fight there, and Jewish people are routinely killed by the terrorist group which the Palestinians have elected and support. America seized the funds of hostile regimes; Israel dutifully collects and pays them. Instead, Palestinian funds should be used to satisfy the claims of Israelis who have lost relatives or property in the Palestinian attacks.

Israeli government inconsistently asserts that the remittance to Abbas would boost his security force. Boosting the Fatah-PLO is a peculiar objective for a Jewish state. Using social security taxes to pay Palestinian government salaries and subsidize its militia is misappropriation. Common Palestinians won’t thank Israel for deliberately misusing their funds. There was considerable outcry among the Palestinians when Israel started remitting their social security funds to Arafat for assured embezzlement.

Abbas’ guarantees that the money won’t reach the Hamas-controlled Ministry of Finance constitute criminal fraud and violate the very laws of the country he represents. Abbas also won’t be politically able to skip Hamas in the distribution of the Israeli $100mln gift.

Israeli collaboration with Abbas is senseless. He continues with extremely militant speeches, such as a few days ago in Ramallah on the anniversary of Fatah’s founding. He will have to step up militant rhetoric, attitude, and perhaps actions to counter the Hamas’ popularity and lure some of its constituency. Common Palestinians would take the rhetoric for incitation. Abbas will continue to drift toward the right in order to exact more money from Muslim countries. He will need an external enemy to explain the perpetual economic mishaps and draw the people’s attention away from the despair of living in the Palestinian state failed before it was established.