In a rare step, the Knesset moved ahead this week with efforts to override Finance Minister Bezalel Smotrich’s order expanding the value-added tax exemption on personal imports.

Smotrich’s order, which allows citizens to purchase up to $150 of personal goods from overseas, including from popular sites like Amazon and Temu, without incurring an additional 18% VAT charge, was hailed by the general public but drew sharp condemnation from local business owners who fear being unable to compete.

The previous cut-off was $75.

In recent weeks, since the executive order went into effect on December 24, business lobby groups have succeeded in garnering support from elements in the coalition, in particular Prime Minister Benjamin Netanyahu’s ruling Likud party, leading to calls for the Knesset Finance Committee to hold a discussion on the matter.

The committee voted Tuesday to move the discussion to the full Knesset, where lawmakers will vote on whether to revoke it. It’s highly unusual for the Knesset to overrule ministerial orders.

Smotrich, who leads the far-right Religious Zionism party, criticized the committee’s decision to send the order to the Knesset for a........

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