Ready to pay more for fuel? Ready or not, the Government is coming after your car juice in the next fortnight thanks to a loophole that allows it to collect more revenue without subjecting the plan to Senate scrutiny.
From November 10, the Government excise on fuel will rise from $0.38.143 cents per litre to $0.38.6 cents per litre.
The Government signalled its intentions to increase the excise on fuel in this year’s Federal Budget.
Since its announcement, however, the Government has had to deal with a hostile Senate not convinced by the Government’s plan for tighter purse strings, meaning that key tranches of the budget are yet to be passed.
The plan would see the Government run a “tariff proposal”. Basically it means that rather than raising the price of fuel, it raises the tariff collected by the Tax Office and Australian Customs from 10 November.
The plan to press ahead and increase fuel excise duty has enraged the Labor Opposition, seeing as how the Government figured out how to do it without the Senate’s approval. It’s a move that Opposition Leader Bill Shorten has branded as “sneaky”.
Finance Minister, Mathias Cormann has said that the impact on households will be “modest”, and will allow the Government to pocket an extra $2.2 billion in revenue per year. [Business Insider]