Hamas confirms deaths of 2 members from Israeli tank fire

Watch: Two Hamas Terrorists Dead as Israel Returns Fire from Gaza

Watch: Two Hamas Terrorists Dead as Israel Returns Fire from Gaza

An IDF tank destroyed a Hamas watchtower after shots were fired at Israeli soldiers near the Gaza border.

The military said the tank responded to shots fired at soldiers from the post.

The two men killed in northern Beit Lahiya were Hamas snipers taking part in a live-fire exercise within a compound on Gazan territory, the group's armed wing said in a statement.

The military released footage that it said was of the incident.

Hamas warned Israel that it would pay for the attack, without elaborating. It then cuts to footage of a shell hitting the post and an explosion.

"The resistance can not allow the occupation to impose a policy of bombing sites and targeting fighters without paying the price", it said in a statement.

Israel's security cabinet discussed the proposal on Sunday, but afterwards ministers said only that the Israeli military was "prepared for any scenario".

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Hamas threatened "dire consequences" for Israel following an IDF retaliatory strike against a Hamas position on Tuesday.

The cross-border incident came after a delegation of senior Hamas officials visited Gaza to discuss a ceasefire agreement with Israel proposed by the United Nations and Egypt.

United Nations and Egyptian-led efforts are underway to mediate a long-term truce between Israel and Hamas that would end a four-month upsurge of violence along the Israel-Gaza border.

It added that no Israeli troops were injured in the exchange.

The truce, which is expected to last for at least five years, would also include the release of four Israelis, including two soldiers, now held by Hamas. At least 160 Palestinians have been killed by Israeli fire, including at least 120 in protests near the border fence.

The protests call for Palestinians to be able to return to the land they or their families fled or were expelled from in the 1948 war surrounding the creation of Israel.

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