Labour pledges aid to taxis

Press, 29 August 1978, Page 2

Labour pledges aid to taxis

PA Wellington The Leader of the Opposition (Mr Rowling) has promised that a Labour Government will provide some form of sales tax relief for taxi proprietors, possibly using custom-built taxis. Mr Rowling told the Taxi Proprietors’ Federation conference in Nelson that the Labour Party accepted that it was unjust for taxi owners to have to pay the same rate of sales tax on their vehicles as private motorists. “If you are to be considered as part of an upgraded public transport service, then you are entitled to the same financial consideration as other elements of the system,” he said. However, he gave a warning that there were diffi-

culties in providing sales tax relief in a way that ensured the public interest was protected — that vehicles subject to tax relief were not sold for private use. A time clause would probably meet this problem, he said. It was here, too, that the custom-built taxi might come into consideration. “I realise that the volume of demand would probably not justify a special assembly line being created within a New Zealand company. There would either have to be a special agreement on a modified vehicle, or they would have to be imported, built-up, from Australia.” Mr Rowling said Labour would look particularly at the development of vehicles running on alternative fuels, such as diesel or liquefied petroleum gas. A Labour government would continue the review of urban passenger transport control. This would eventually include some form of organisation through which Government finance for public passenger transport vehicles would be directed. “It is our intention to extend this access to adequate and reasonably priced capital to operators within the taxi industry,” said Mr Rowling.