Tax Authority freezes war compensation claims in Bnei Brak after attacks on staff

The Israeli Tax Authority has halted processing war damage claims in Bnei Brak following violent attacks on its employees, according to a letter from the agency’s director. The move comes after Tax Authority workers were assaulted by a large group of residents on July 16 while conducting enforcement activities in the city. In the letter, Director Shay Aharonovich stated that employees were “violently attacked” by hundreds of individuals and required police intervention to extract them from the scene. The decision to freeze claims follows similar unrest on July 8, when Tax Authority staff again faced aggression from local residents. The attacks occurred amid ongoing tensions in Bnei Brak, a predominantly ultra-Orthodox city located near Tel Aviv. According to footage shared online, groups of Haredi men surrounded a vehicle believed to be carrying Tax Authority officials and threw objects at both the vehicle and police officers present at the scene. The employees were eventually rescued by security forces, but the incident has raised concerns about the safety of civil servants operating in the area. Aharonovich emphasized that the attacks reflect a broader pattern of hostility towards Tax Authority personnel in the city. The Tax Authority’s director expressed frustration over the lack of official condemnation from Bnei Brak’s municipal leadership. In the letter, he wrote that he could only conclude that Tax Authority employees are “not welcome” in the city due to the repeated failures of the local government to address the violence. Aharonovich ordered the Compensation Fund to cease processing claims related to damages sustained during military operations such as “Rising Lion” and “Lion’s Roar” until the municipality issues a public statement denouncing the attacks through ultra-Orthodox media platforms. This decision marks a significant escalation in the relationship between the Tax Authority and Bnei Brak’s administration. Earlier in the month, Finance Minister Bezalel Smotrich, who oversees the Tax Authority, condemned the July 8 incident in a social media post, expressing solidarity with the affected employees and demanding legal action against the perpetrators. However, the mayor, Hanoch Zeibert, has not issued any formal response to date, leaving the situation unresolved. Bnei Brak has long been a flashpoint for disputes involving religious communities and state institutions. Recent protests erupted over the arrest of Haredi men who avoided mandatory military service, leading to mass demonstrations and clashes with police. On July 16, hundreds of protesters gathered along Road 4, blocking traffic and confronting law enforcement. These incidents highlight the deepening divide between certain segments of the ultra-Orthodox population and the broader Israeli society, particularly in matters of national service and governance. The freezing of war damage claims affects thousands of residents in Bnei Brak who rely on compensation for property losses incurred during previous conflicts with Iran. The city suffered extensive damage from missile strikes in 2025 and 2026, prompting widespread calls for financial assistance. With the Tax Authority’s decision, many families may face delays in receiving much-needed aid, adding to the economic strain already felt by the community. Local officials have yet to respond to the Tax Authority’s demand for a public apology. Meanwhile, the situation continues to draw attention from national figures and media outlets, underscoring the sensitivity of the issue. As the standoff persists, the future of war damage claims in Bnei Brak hinges on whether the city’s leadership chooses to address the violence and restore cooperation with the Tax Authority.