THE TYRE TAX

Hokitika Guardian, 19 November 1929, Page 3

THE TYRE TAX

; • EFFECT OF BETTER ROADS. .J;WELLINGTON, Nov. 17. , ‘ The variation which has taken place from year to year' in the amount of /tyre; tax' received by the Main. High-. ways. Board is pointed out in the Board’s annual import. : In 1925-26, when there were 136,715 motor-vehicles using the roads of the. D'orhi'nion, the return from tyre tax, was <£223,699, being approximately £27,000 mono than the return from, tyre tax in 1928-29, when there were, 56,000 more motor-vehicles on the, roads. While there has been a 40 per cept increase in the number of; motor-vehicles, there has been a 12 per cent reduction in the return from tyre 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 tyres, which would have the effect of reducing the amount of Customs duty, the figures afford striking evidence of tlie improvement in the highway system,’’, says the report. “No doubt there has been an improvement in the design of tyres, but the better standard of road surface brought about by the expenditure of special motor taxation must be recognised as tlie outstanding reason.”