Around 100 Palestinian flags were held up by supporters in the new safe-standing area at Celtic Park prior to the UEFA Champions League play-off first-leg tie against the Israeli side last Thursday morning (AEST).
As UEFA forbids political expressions in football, the governing body confirmed that Celtic had breached Article 16 (2) of their disciplinary regulations.
While the case will be dealt with by UEFA's Control, Ethics and Disciplinary Body on 22 September, Celtic fans have responded to the breach and said they will cover any potential fine.
Hoops' supporters have taken to Twitter using #matchthefineforpalestine, with the hashtag trending online as football fans joined in slamming UEFA's decision.
It isn't the first time that Celtic fans have landed their club in trouble however, with the latest indiscretion marking the ninth time in the past five years they have been in hot water with UEFA, totalling $172,000 (£100,000).
One of those misdemeanours included the Scottish champions being charged by UEFA for the waving of Palestinian flags in the past, during a game against KR Reykjavik in July 2014.
