THE TIRE TAX

Evening Post, Volume CVIII, Issue 120, 16 November 1929, Page 11

THE TIRE TAX

REVENUE VARIES

EFFECT OF BETTER KOADS

Tho variation which has taken place from year to year in the amount of tire tax received by the Main Highways Board is pointe out -iv the board's annual report. In 1925-26, when there- were 130,715 motor-vehicles using the roads of the Dominion, tho return from tire tax was £.223,699, being approximately £27,000 more than the return from tire tax in 1928-29, when there were 66,000 more motor-vhieles on-the roads. While there has been a 40 per cent, increase in the number of motor-vehicles, there has been a 12 per cent, reduction in the return from tire-tax. If.the average amount collected per annum during the four years prior to 1928-29 is taken, it is found to be greater than the amount collected during 1928-29. "Although during-this period there has been a reduction in the price of tires, which would have the effect of reducing the amount of Customs duty, the figures afford striking evidence of the improvement in the highway system," says the report. No doubt there has been an improvement in the design of tires, but the better standard of road surface brought about by the expenditure of special -motor taxation must be recognised as the outstanding reason."