The end of 'pay-for-slay'? PA changes welfare system to avert US Taylor Force Act fines

The Palestinian Authority (PA) on Monday claimed to have ended its infamous "pay-for-slay" policy that awarded terrorists and their families with stipends according to the number of Israelis they had killed.

In return for making the change, PA President Mahmoud Abbas reportedly requested the U.S. to repeal the Taylor Force Act, and asked for the Israeli government to stop deducting money from taxes collected for the PA equal to the amount it pays to terrorists or their families, Channel 12 reported.

“This is extremely positive news," former Member of Congress Doug Lamborn told ALL ISRAEL NEWS. Lamborn introduced the act in 2018.

"A major incentive for killing Jews and Israelis will be removed. This is what Congress intended when I introduced and we passed the Taylor Force Act during the first Trump administration," Lamborn said.

The Taylor Force Act freezes most U.S. aid to the Palestinian Authority until it ceases payments through its Martyrs Fund. Under President Biden, the U.S. resumed payments to the PA, despite the continued “pay-for-slay” payments.

U.S. President Donald Trump reinstated the policy of upholding the Taylor Force Act upon returning to the Oval Office in January. 

I see headlines claiming that the Palestinian Authority is canceling its payments to terrorists and their families, a program known as "pay for slay." They are doing no such thing - They themselves say the payments "are subject to the same standards." The PA is just restructuring…

— Lahav Harkov 🎗️ (@LahavHarkov) February 10, 2025

However, according to the PA's announcement, it seems terrorist families will continue to receive payments, albeit labeled differently and routed through an external foundation.

"The PA is just restructuring the mechanism through which they pay terrorists so that they can claim it's not them, it's an 'independent' foundation doing it. An 'independent' foundation funded by the PA and whose board is appointed by PA President Mahmoud Abbas," commented Lahav Harkov, senior political correspondent at the Jewish Insider.

The PA wrote in its announcement that "All families that benefited from previous laws, legislation, and regulations are subject to the same standards applied without discrimination to all families benefiting from protection and social welfare programs."

The Channel 12 report claims that the PA is very concerned that US courts will impose heavy fines on the Palestinian Authority, around $200-300 million, following lawsuits filed by families of terror victims in the U.S., accusing the PA of encouraging terror attacks.

The report added there is grave concern that the Israeli and U.S. court claims could cause an unprecedented financial crisis to the PA in the near future. 

In related news, the Jerusalem District Court on Sunday granted the request of hundreds of victims of the October 7 attacks, and issued a temporary foreclosure order against the Palestinian Authority in the total amount of about 2.8 billion shekels ($781 million). 

In its decision, the court ruled that there are hundreds of people who have a basis for a claim against the PA according to the Law for Compensation for Victims of Terror. Each of them could be entitled to compensation of at least 5 million shekels ($1.4 million). 

As part of the lawsuit, hundreds of victims or family members of victims of the terror attacks on Oct. 7, 2023 are seeking compensation and are represented by Attorney David Simana.

The victims argue that the Palestinian Authority has long encouraged terrorism against Israelis, including through its Deduction Law which it uses to pay stipends to Palestinians held in Israeli prisons on terror charges, or to families of Palestinians killed or injured while carrying out violent attacks against Israelis.

The funds used for the payments to the victims, if the court rules in their favor, will come from the frozen funds. 

The victims case comes following the recent Israeli Supreme Court decision that the PA provides financial support to terrorists and their families in direct connection to their acts of violence, and is therefore subject to financial claims. 

The court’s ruling in that case came after the Palestinian Authority petitioned against the freezing of funds, and asked for the overturning of a Knesset law allowing victims to sue the PA. 

"The PA claims a violation of its rights, but this alleged harm stems from its own decision to financially reward murderers whose hands are stained with the blood of innocent Israelis,” presiding justice Yitzhak Amit wrote.

“The PA has the option to choose a different path and end its policy of incentivizing terrorism.”