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April 24, 2024, 12:39:13 am

Author Topic: Excise duty  (Read 759 times)  Share 

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costargh

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Excise duty
« on: July 19, 2008, 02:27:22 pm »
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This is a fairly minor query but if I don't ask it now, I'll probably forget.

The definition of excise duty- an indirect tax imposed on selected, locally produced goods such as coal, petrol, beer, wine spirits, tobacco.

If excise duty fits that definition given, then why do we pay an excise on all petrol, regardless of whether or not it was produced in Australia or overseas?
Wouldn't that mean that imported petrol would be free of this excise?

marbs

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Re: Excise duty
« Reply #1 on: July 21, 2008, 11:44:48 am »
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I was watching something about this on insight.

They said the $1.70 price of petrol was made up of $1 for importing the oil sent to the producers, about 53 cents on excise and tax, and about 20 cents profit for the petrol station that sells it.

The excise duty tax is collected for use in other sectors, and benefits the poor

Rudd recently proposed a cut in the tax which will aid middle income earners, but affect lower income earners who are forced to catch the train according to the greens.