PETROL TAX

Dominion, Volume 23, Issue 219, 12 June 1930, Page 13

PETROL TAX

Talk of an Increase

MOTORISTS PROTEST What the Figures Show Dominion Special Service. Dunedin, June 11. A strong protest against any proposed increase in the petrol tax was made at last night’s meeting of the Otago Motor Club. . In introducing the subject, the chairman (Mr. H. Halliday) said they would no doubt have read of the proposed agitation in certain quarters to increase the petrol tax. The Farmers’ Union had apparently started the agitation, and the proposal was receiving support from the county councils in the North Island. The proposal, said Mr. Halliday, was to increase the tax from 4d. to lid. The former tax was bringing in roughly £900,000, and the increased taxation would raise the amount to £2,600,000. Of that amount, however, only £1,000,000 was to go to the Highways Board, the other £1,600,000 being devoted to a reduction in the hospital and charitable aid rate. This relief might be a very nice thing for the farmer, but It was not a fair thing to put it on to the shoulders of the motorists. In 1927 £586,000 was provided by motorists; 1928, £716,000; 1929, £1,344,000, and 1930 £1,420,000. This was the actual amount of money paid by motorists into the highways fund. Of this sum, however, 8 per cent, from'the petrol tax went back to the cities.

Other Burdens. On top of the charges required to provide the amounts he had enumerated, Mr. Halliday said, they had to pay drivers’ licenses, insurance, third party risk, and 2/- for number plates; and there was also the heavy traffic taxation. At the present time they were paying £3,000,000 a year, this Including the amount received from heavy traffic licenses. The chairman said he thought they as motorists should strongly protest against any proposal to Increase the petrol tax. Mr. A. I. Wood moved: “That this meeting protests against any further taxation being levied on motorists, more particularly seeing the way it is proposed to utilise the extra money, and that the matter be discussed at the next quarterly meeting of the South Island Union.” Mr. Wood said motorists were taxed to keep the roads in order, and not to pay for the upkeep of hospitals. (Laughter.) , A member: We don’t kill them all, do we? (Laughter.) The motion was carried unanimously.