Re: Fuel excise regime for Rail & Road after 1 July

["Chris Downs" <cvdowns@ozemail.com.au>]

The basic problem is that the GST is 10% added to the value of the petrol
(cost + excise + profit).  The existing fuel excise will be reduced to
offset the introduction of the GST (I assume the excise is levied at
cents/litre and will have a consistent c/litre decrease rather than a %
decrease).

Therefore petrol in Sydney with a value of 88c/litre would remain 88c/litre
(88c/litre minus 8c/litre excise = 80c/litre plus 10% = 88c/litre).  In the
country at 98c/litre (98c/litre minus 8c/litre excise = 90c/litre plus 10% =
99c/litre).  The price remained the same in Sydney but rose by 1c/litre in
the county.  Thus a significant political problem.

Chris

< Tell > <telljb@netozemail.com.au> wrote in message
03mnhs8l6areg3js925l0eqjfp993p517e@4ax.com">news:03mnhs8l6areg3js925l0eqjfp993p517e@4ax.com...
> No not really.  The closer we get to GST day the
> murkier it gets.  Fuel in country areas was "supposed"
> to be cheaper under the GST according to the drones in
> Canberra when it was first proposed.  Some time ago it
> was discovered it would actually be *dearer*, so now
> there is some sort of compensation plan proposed, well
> I think that is what I heard.
>
> Beats the hell out of me.!
>
> ....Tell
>
>
> >mauried@tpg.com.au (Maurie Daly) wrote:
> >
> > Does anyone have any idea what is the situation facing rail post GST.
> > From wading thru the ATOs rules on excise it seems a great mess.
> > I have been able to deduce that
> > 1/ Rail wont pay any excise on fuel ,but will it have to pay a GST on
fuel.?
> > 2/ There seems to be a variety of rebates available for road users,based
on
> > where the trucks go and their weight.
> > How this will be enforced is beyond me.
> >
> > One potentially unfair aspect of the rebate scheme seems that trucks
that are
> > used solely in delivering goods within a city are not subject to any
rebates.
> > Now this would include trucks which are delivering goods to and from
rail
> > terminals to the customer.
> > The incentive here is simply for the customer to not use rail and truck
the
> > goods directly to their final destination which if it is regional or
> > interstate means that the truckie gets a rebate on the fuel used.
> >
> > MD
> >
>