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Monday, 24 May 1965


Senator HENTY - The Treasurer has supplied the following reply -

1.   State Governments and their instrumentalities pay duty on motor spirit and diesel fuel at the same rates as do other purchasers, namely: Motor spirit11¾d. per gallon. Diesel fuel - for use in a road vehicle on a public road 1 2d. per gallon - for other use nil.

2.   Duty on motor spirit and diesel fuel is paid by oil companies in bulk amounts to the Department of Customs and Excise prior to the removal of the motor spirit or diesel fuel from company storage terminals. The Department, therefore, has no knowledge which would enable it to state the individual amount of duty paid by every State Government instrumentality.

3.   The very considerable sums which the Commonwealth makes available each year to the States by way of general revenue grants and specific purpose payments would very greatly exceed the amounts collected by way of fuel tax from State Governments and their instrumentalities.







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