I think they have the proper hardware, but they likely don't have the necessary codes for secure comm, nor for IFF settings. If we don't give the codes to the Israelies, which we could and then change them later when the sitution is resolved, then we couldn't tell the difference between Israeli airplanes and Iraqi ones, except if we see them take off, which we might or might not, depending on where the AWACS was positioned. JSTARS of course is used for tracking stuff on the ground, and then passing target coordinates off to the bomb droppers, artillery and of course the commaders in the field. If it sees a big column of tanks heading east accross Jordon, I think we'll be able to figure out that they are Israeli. Confusion could arise if Syria were to jump in on Iraq's side, something I don't consider likely, even if Merkavs (Israeli tanks) are on the road to Bagdad.
Iraqi doesn't have any airplanes (anymore)... Just 3 kites and 2 hot air ballons.