Cash Ceilings to Crash in 2022

YERUSHALAYIM -
The Israeli 200 shekel note. (Nati Shohat/Flash90)

Israelis who still conduct transactions in cash will soon have to adjust to a new set of rules:

The Knesset Constitution, Law and Justice Committee on Wednesday morning approved a directive from Minister of Finance Avigdor Liberman to lower the ceiling on cash payments from NIS 11,000 to NIS 6,000, as of August 2022, according to Globes.

Cash deals between private individuals will come down from NIS 50,000 to NIS 15,000, except for the sale of second-hand cars where the ceiling will remain at NIS 50,000.

The new regime is to have teeth. New penalties will be introduced for violations of the ceilings with an administrative fine of NIS 6,000 up to NIS 50,000. Fines for payments between NIS 6,000 and NIS 8,500 will be 5% and from NIS 8,500 up to NIS 25,000 in cash will be 10%. Fines for payments between NIS 25,000 and NIS 50,000 will be 15% and above NIS 50,000, the fine will be 25%.