New Knesset Bill Reduces Penalties for Delayed Payment: A Positive Step Towards Fairness and Justice in the Legal System

The Knesset cuts penalties for late fine payments

The Knesset has passed a bill that reduces the penalties imposed on administrative and criminal fines for delayed payment. Under the new law, the fine will be set at 30% of the original amount, instead of the previous 50%. Additionally, penalty interest will be applied to the debt every three months under the Penalty and Indexation Law, without the calculation of compound interest.

This means that a fine of 1,000 shekels that is not paid on time will increase to 1,420 shekels within a year, as opposed to the previous 1,600 shekels. It’s important to note that these new regulations will only take effect starting on January 1, 2025.

The bill was approved in both second and third readings by members of the Knesset. This move aims to provide relief to those who have fallen behind on their fines due to financial difficulties or other reasons. The reduced penalties will make it easier for individuals and businesses to manage their debt and avoid accumulating additional charges.

Overall, this bill is a positive step towards ensuring fairness and justice in the legal system. By reducing penalties for delayed payment, individuals and businesses can better manage their finances and avoid falling into debt spirals. This measure is expected to have a positive impact on society as a whole and promote financial stability.

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