MOTOR TAXATION.

Marlborough Express, Volume LXVIII, Issue 149, 26 June 1934, Page 6

MOTOR TAXATION.

A CRUSHING BURDEN. IN STRUCTI VE GRAPHS. A most striking series of graphs d ealing with the crushing burden oi motor taxation in New Zealand) has just been published by the Automobile Associations. One sketch iHustrates that the taxation on petrol is equal to> three times the landed cost, so that if one pays for eight gallons the Government takes two-thirds of the money, the remaining third being the actual landed cost. Of this enormous tax, criginally imposed solely for roading purposes, the national exchequer retains 75 per cent. for the national exchequer and spends only 25 per cent. on the roads. Is it any wonder that the roads are deteriorating? The petrol tax last year amounted to well over £2,000,000, so that there was £500,000 for the roads and the 'Consolidated Fund gobbled up £1,500,000. On topof the petrol tax, the motorcar is subject to Customs duty, body duty, tyre tax, saies tax and ;so on, to such an extent that the prices of cars are almost doubled. It is shown in the publication that on a new car valued at £213 for Customs duty, a motorist in his first year has to pay taxes totalling £179 7s lOd, the items being as follows: Customs duty and tyre tax £85 4s, body duty £33, surtax £26 13s 4d, registration fee £1, licence fee £2, driver's licehce 5s, number plates 2s 6d. petrol tax (9600 miles at 18 m.p.g.) £10 16s 4d, tax on oil 6s 8d, saies tax £20,. The Automobile Associations have carried out a real servioe to motorists in producing the diagrams, which should deter the Minister for Finance from making further raids, even if they do not convince him that some reiief is justiflable.