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ACC Double Charging Must Stop

ACC Double Charging Must Stop

Farmers have asked for an assurance that ACC's double charging of farm vehicles will stop and that they will be able to claim receive a refund of the ACC fuel levy charged on fuel used in exempt farm vehicles.

Farmers meet the cost of on-farm vehicle accidents through levies paid to ACC's Self-employed, Employers' and Earners' Accounts.

Under the Transit New Zealand Act 1989 farmers can claim back the proportion of fuel excise that goes into the Land Transport Fund paid on fuel used in exempt farm vehicles. However that refund does not include the proportion of fuel excise going to ACC.

In a submission on the Injury Prevention, Rehabilitation and Compensation Amendment Bill Federated Farmers of New Zealand (Inc) Vice President Charlie Pedersen congratulated the Government for agreeing to provide a mechanism to address this anomaly when the Federation drew it to their attention.

"Under current legislation farmers are paying twice for the cost of on road accidents to the tune of $4 million per annum, said Mr Pedersen.

"If the Federation had not uncovered this anomaly this amount would have increased to $10 million per annum. "The Federation strongly endorses the formation of dedicated fuel levies including a dedicated ACC fuel levy to address this double dipping.

"A dedicated ACC fuel levy further erodes any moral argument that Government can make for siphoning off fuel excise into the Crown Accounts."

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