Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Fill up to avoid the tax increase

Fill up to avoid the tax increase

Motorists should fill up now if they want to beat the tax going up on petrol on 1 July, says the AA.

The 3 cents per litre increase is the second of three scheduled annual tax increases. The latest will take the total amount of petrol excise (not including GST) to just over 67 cents per litre. 56.5 cents of this is dedicated to the National Land Transport Fund to pay for road repairs, road safety upgrades, road safety enforcement, public transport subsidies, and building new roads. Another 9.9 cents per litre pays for ACC motor vehicle accident costs.

“No one likes paying more taxes, but motorists can take some comfort that, unlike other countries, every cent of excise pays for transport projects which they benefit from. Even though taxes make up about 43 per cent of the cost of a litre of petrol, or 97 cents per litre including GST, New Zealand still has the fifth lowest fuel taxes in the OECD, and amongst the lowest fuel prices,” AA PetrolWatch spokesperson Mark Stockdale said.

“Motorists should fill up to avoid the tax increase, and also shop around to take advantage of the discounted fuel and supermarket vouchers that are on offer,” Mr Stockdale added.

Pump up your tyres to beat the tax
The AA says other ways motorists can offset the tax rise and reduce their fuel bills is by pumping up tyres once a month, braking and accelerating gently and switching the air conditioning off when not needed.

According to the AA, the extra 3 cent per litre tax will add about 90 cents to the cost of a typical fill of 30 litres. For the average motorist doing 12,000km a year in a typical car (up to 2 litres engine capacity), that will add about $27 a year.

The price of diesel is not expected to change on 1 July, because there is no tax on diesel other than GST. But diesel Road User Charges will also be rising $5 per 1000km – double what it should be according to the AA.

“The reason diesel prices are much lower than petrol is because it doesn’t incur the 67 cents per litre excise included in petrol. But diesel vehicles pay Road User Charges instead and the $5 increase per 1000km is too much. To match the extra 3 cents per litre petrol tax other motorists are paying, owners of diesel cars should only be paying an extra $2.50 per 1000km, or $30 over 12,000km,” says Mr Stockdale.

· For fuel saving tips, check out the AA’s short video: http://youtu.be/IWkVHhKtieM

Ends

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Future Brighter Money: RBNZ Releases New Bank Note Designs

New Zealand’s banknotes are getting brighter and better, with the Reserve Bank today unveiling more vibrant and secure banknote designs which will progressively enter circulation later next year. More>>

ALSO:

Commerce: Supermarket Inquiry Finds No Breaches By Countdown

The Commerce Commission inquiry into anti-competitive behaviour by Countdown supermarkets, alleged by former Labour Party MP Shane Jones, has found nothing to warrant prosecution, although it warns supermarkets to take care in the way they communicate... More>>

ALSO:

Crown Accounts: English Flags ‘Challenge’ To Budget Surplus

Finance Minister Bill English is warning next month’s half yearly fiscal and economic update from the Treasury may not forecast a budget surplus, saying that returning the government’s accounts to surplus in 2015 will be “a challenge”, given the decline in commodity prices and weak global inflation. More>>

ALSO:

March 2015: Netflix To Launch In Australia And New Zealand

World’s Leading Internet Television Network to Offer Original Series, Movies, Documentaries, Stand-Up Comedy Specials and TV Shows for Low Monthly Price More>>

ALSO:

Price Of Cheese (Is Up): Dairy Product Prices Fall To Five-Year Low

Dairy product prices fell in the latest GlobalDairyTrade auction to the lowest level in more than five years, led by declines in rennet casein and skim milk powder. More>>

ALSO:

Gordon Campbell: On The Australians Scoring Trade Points Against Us With The Chinese

It hasn’t been a great year for Trade Minister Tim Groser... To top it off, Australia has just signed a FTA with China that has far better provisions on dairy exports than what New Zealand currently enjoys in our own FTA with China. More>>

ALSO:

Iwi & Local Consultation: Oil And Gas Block Offer 2015 Begins

Energy and Resources Minister Simon Bridges today announced the start of the Block Offer 2015 process for awarding oil and gas exploration permits. More>>

Industrial Action: Stats NZ Throwing Public Money Away Duplicating Data

The Public Service Association (PSA) says Statistics NZ are throwing money away by collecting the same data twice for official statistics such as the Consumer Price Index... As part of the ongoing industrial action, field interviewers who are PSA members are continuing to collect data, but are not sending it through to Statistics NZ. More>>

ALSO:

Other Stats:

Space: Rosetta's 'Philae' Makes Historic First Landing On A Comet

After more than a decade traveling through space, a robotic lander built by the European Space Agency has made the first-ever soft landing of a spacecraft on a comet. More>>

ALSO:

Get More From Scoop

 
 
Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news