GAZA CITY, Gaza Strip — Money that the Palestinian Authority (PA) currently uses to compensate families of those captured, injured or killed in confrontations with Israel would go to Israelis instead under a bill the Israeli parliament is considering.

The Knesset approved the first reading of the bill May 7, and Defense Minister Avigdor Liberman pledged to shepherd the legislation swiftly through its required second and third readings. Chief among those calling for the change have been Liberman, Israeli Prime Minister Benjamin Netanyahu and Education Minister Naftali Bennett.

Israel collects taxes from Palestinians in occupied territories at commercial crossings and ports, keeps 3% and then returns the rest to the PA in the West Bank. Israel's share amounts to about 21 million shekels ($5.9 million) per month. The PLO channels about $300 million of the remainder to compensate the families in the form of monthly salaries. The money also goes to prisoners themselves.

Palestinian taxes cover 80% of the Palestinian government's annual budget, which Al-Monitor estimated in March amounts from $5 billion to $5.8 billion for 2018. The remaining 20% of the budget is covered by grants from foreign countries such as Saudi Arabia.