Terrorism is using violence to engender fear in the population. The Hamas incursion into Israel meets that test comfortably. Why? There is nothing more terrifying than being made to believe that people can come and kidnap and or murder your women and children in their homes.
The oppression of Palestinians for decades also meets that test.
There's nothing more terrifying than a group of Israelis with the support of IDF, coming to turf you out of your family home, taking your land and kicking you onto the street, and killing you if dare to resist.
The subtle difference is that Hamas had to cross the border to commit its violence, a border that is normally very highly supervised and guarded. Israelis commit such violence against palestinians within their borders, and with the support of the Israeli army and government.
So Roy, was it terrorism?
(The Israelis telling innocent Palestinians to move or you will be sorry also meets the test.)
As does the collective revenge against the Palestinians, the destruction of homes, schools, hospitals, churches, the targeting of ambulances. doctors, etc.
As also does decades of oppression, the illegal ignoring of human rights, the illegal disposession of Palestinians' homes, (not just in Gaza), etc.
With an average of 300 Palestinians each year, becing killed (outside of specific conflicts) and the danger of being imprisoned without trial, Israel has applied a system of oppression through terror for decades.