ID :
20804
Tue, 09/23/2008 - 18:19
Auther :
Shortlink :
http://m.oananews.org//node/20804
The shortlink copeid
Coalition fails to amend luxury car tax
The Senate has rejected an opposition proposal to have the government's planned luxury car tax increase applied only to vehicles worth more than $90,000. All seven balance of power senators sided with the government to vote down the coalition amendments, 36 to 34.
The government's legislation seeks to lift the luxury car tax, which applies to cars
worth more than $57,180, from 25 per cent to 33 per cent.
The coalition on Tuesday sought to amend the government's bills so that only
vehicles worth more than $90,000 would be taxed at the increased rate, while cars
worth between $57,180 and $90,000 would be taxed at the current rate.
The coalition believed such a change would ensure people with 4WDs and people movers
would not be slugged with the increase.
The deputy leader of the government in the Senate, Stephen Conroy, attacked the
opposition's proposal.
"This is just another part of the raid on the budget surplus," he said.
"By lifting the tax threshold, they are giving a tax break to Porsche drivers."
But Liberal frontbencher Eric Abetz said the government's plan would hurt country
people and could destroy the jobs of Australian car industry workers.
Senator Abetz also said Family First's proposal to exempt farmers and tourist
operators from the tax should be extended to other country people, such as
veterinarians, Australia Post contractors and stock agents.
Senator Abetz said country women often had to drive their children long distances to
school each day.
"It is not just the primary producer's vehicle you have to look at," he said.
He said mothers,in country areas, taking their children 40 or 50 kilometres to
school each day, also needed four wheel drive vehicles.
An Australian Greens amendment, sponsored by the government, to exempt fuel
efficient cars from the tax later passed the Senate with the added support of Family
First and independent senator Nick Xenophon.
Under the Greens amendments, the tax will no longer apply to cars valued up to
$75,000 which use no more than seven litres of fuel per 100 kilometres.
Cars such as the Audi A4, BMW 3 series and Jaguar X-type would be exempted from the
tax as a result of the Greens amendment.
Senator Abetz said only about 1,500 of the one million cars sold in Australia each
year would be affected by the Greens' change.
"Nobody could argue that this is going to have a serious impact on climate change,"
Senator Abetz said.
"Nothing but window-dressing."
Senator Abetz said the Greens amendment was "cobbled together on the run" and made
no sense.
The government's legislation seeks to lift the luxury car tax, which applies to cars
worth more than $57,180, from 25 per cent to 33 per cent.
The coalition on Tuesday sought to amend the government's bills so that only
vehicles worth more than $90,000 would be taxed at the increased rate, while cars
worth between $57,180 and $90,000 would be taxed at the current rate.
The coalition believed such a change would ensure people with 4WDs and people movers
would not be slugged with the increase.
The deputy leader of the government in the Senate, Stephen Conroy, attacked the
opposition's proposal.
"This is just another part of the raid on the budget surplus," he said.
"By lifting the tax threshold, they are giving a tax break to Porsche drivers."
But Liberal frontbencher Eric Abetz said the government's plan would hurt country
people and could destroy the jobs of Australian car industry workers.
Senator Abetz also said Family First's proposal to exempt farmers and tourist
operators from the tax should be extended to other country people, such as
veterinarians, Australia Post contractors and stock agents.
Senator Abetz said country women often had to drive their children long distances to
school each day.
"It is not just the primary producer's vehicle you have to look at," he said.
He said mothers,in country areas, taking their children 40 or 50 kilometres to
school each day, also needed four wheel drive vehicles.
An Australian Greens amendment, sponsored by the government, to exempt fuel
efficient cars from the tax later passed the Senate with the added support of Family
First and independent senator Nick Xenophon.
Under the Greens amendments, the tax will no longer apply to cars valued up to
$75,000 which use no more than seven litres of fuel per 100 kilometres.
Cars such as the Audi A4, BMW 3 series and Jaguar X-type would be exempted from the
tax as a result of the Greens amendment.
Senator Abetz said only about 1,500 of the one million cars sold in Australia each
year would be affected by the Greens' change.
"Nobody could argue that this is going to have a serious impact on climate change,"
Senator Abetz said.
"Nothing but window-dressing."
Senator Abetz said the Greens amendment was "cobbled together on the run" and made
no sense.
