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Fuel Taxes Increasing While Government Dithers on Tax Relief

Fuel Taxes Increasing While Government Dithers on Tax Relief


1 JULY 2014

Motorists now pay another 3 cents per litre at the pump thanks to a rise in excise tax that comes into effect today. The rise foreshadows another 3 cent tax increase scheduled for next year.

"Fuel taxes have already increased by a third since National came into office,” says Taxpayers’ Union Executive Director Jordan Williams.

“By this time next year, petrol excise will have increased by 40% since 2008. To top it off, an increased GST rate now applies.”

"Politicians often use fuel and excise taxes to increase revenue by stealth. There's no point calling it ‘tax relief’ when they take with one hand and give with the other. Politicians should stop treating motorists like a drive through ATM."

“For every dollar you spend on petrol, only 57 cents goes into the car. Now that the books are in surplus we’re calling on the Government to signal meaningful tax relief, including at the pump.”

ENDS

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