Note: Where available, the PDF/Word icon below is provided to view the complete and fully formatted document
 Download Full Day's HansardDownload Full Day's Hansard    View Or Save XMLView/Save XML

Previous Fragment    Next Fragment
Thursday, 9 December 1971
Page: 4634

Mr Keogh asked the Treasurer, upon notice:

(1)   What sum in diesel fuel tax was paid by each local authority in Queensland in the financial year 1970-71.

(2)   In view of the very restricted- financial situation of each of these -local authorities, especially those affected by the drought, and as they are providing essential government services to their communities and are non-profit concerns, will the Government take steps to refund this tax and "exempt the authorities from future-payments

Mr Snedden - The answer to the honourable member's question is as follows:

(1)   Duty on diesel fuel is paid by oil companies to the Department of Customs and Excise before fuel is removed in bulk quantities from companies' licensed installations. The fuel is subsequently told to companies' customer); at either the dutyinclusive price, or duty-free in the case of holders of certificates exempting them from payment of duty.

The Department of Customs and Excise, therefore, has no information on amounts of diesel fuel duty paid by local authorit es or -other individual customers supplied by oil. companies:

(2)   The' excise duty on diesel fuel was first imposed' in 1957 and was designed specifically to remove an anomaly in that fuel' used in- dieselpowered road vehicles was then "tax free' whereas operators of petrol-driven vehicles were required lo pay tax on the fuel they used. The diesel fuel lax, therefore, applies only 'to soc* 'fuel used in road- vehicles transporting persons.. or goods, on public loads.- Local government: authorities, like other- users, -are exempt from duty on- diesel fuel used for 'other purposes: -To grant -'exemption for fuel' used in- road - vehicles- -operated- by 'local government authorities would re-introduce; however,the kind of anomaly -that the present tax -was originally designed to avoid.

On the more specific question, of local authorities in .Queensland, . it . would npt .be .passible lo exempt these authorities from the diesel. fuel tax, as Section 51 (ii) of the Constitution prohibits discrimination between States , or parts ..of States in laws. relating to taxation.. <

Suggest corrections