23 APRIL 2019
With petrol prices increasing, tax relief would keep costs manageable, says the New Zealand Taxpayers’ Union.
Taxpayers’ Union Economist, Joe Ascroft, says “With fuel prices increasing due to global conditions it’s a good time to remind taxpayers that half the cost of fuel is tax – once fuel excise, ACC levies, GST and emissions trading scheme costs are accounted for. Cutting excise on fuel would ensure taxpayers receive some relief over winter.”
“It’s easy to forget that when the price of fuel increases for non-tax reasons, the Government still collects more revenue in the form of GST. However, as prices increase, all kinds of costs increase for taxpayers as the higher cost of transporting goods and services ripples through the economy. Tax relief would smooth over the pressure on consumers.”