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Matzav

Tax Authority to Move Against Yeshivos, Threatening Tens of Millions in Lost Funding

Jun 25, 2026·2 min read

A new Israeli government initiative targeting the Torah world is expected to begin in the coming weeks, as Israel’s Tax Authority prepares to strip tax benefits from chareidi nonprofit organizations that support yeshivos attended by students classified by the military as draft evaders.

According to a report aired Wednesday evening on Kan News, the Tax Authority is expected to contact yeshivos whose donors currently receive tax deductions and require them to disclose whether any of their students are officially designated as “draft dodgers” under military records.

As part of the process, yeshivos will reportedly be required to submit lists of students for cross-checking against army databases. Under the planned policy, any yeshivah found to have students classified as draft evaders would lose eligibility for tax-benefit status. Estimates suggest that the financial impact could amount to tens of millions of shekels annually.

The move is being viewed by many in the chareidi community as another step in what they describe as an ongoing campaign against the Torah world.

The initiative follows a directive issued approximately one month ago by Attorney General Gali Baharav-Miara, who instructed that donors to yeshivos whose students do not serve in the military should no longer qualify for tax benefits. The directive drew fierce criticism from chareidi political parties, which warned that the financial damage to yeshivos and Torah institutions could ultimately reach tens or even hundreds of millions of shekels each year.

Kan News further reported that even before responding to petitions filed with the High Court of Justice, the attorney general had already instructed the Tax Authority and other relevant government agencies to begin preparing the groundwork necessary to halt the subsidization of donations to chareidi yeshivos through the tax-benefit system.

The expected implementation of the policy comes amid escalating tensions surrounding the status of yeshivah students, military draft enforcement, and the arrest of bnei Torah, issues that have sparked widespread protests and political turmoil across the country in recent weeks.

View original on Matzav