deepthought wrote on May 31
st, 2008 at 7:10pm:
Alex wrote on May 31
st, 2008 at 7:03pm:
I havn't seen any proposal that will provide "cheaper fuel for those who struggle to survive" beyond $2.50 off a 75 dollar tank of petrol which will be completely clawed back anyway by the GST which takes 1 more cent every time the price goes up by ten cents. Thats why.
Funny you should be so worried about a few cents off excise but completely unconcerned about the effect of GST which will claw it back.
"
You provided the evidence that fuel excise is not the problem, and I accept it. When you see a real proposal to help "those struggling to survive", let me know.
I have.
$2.50 is a chocolate bar to helian, but it is a kilo of spuds, a kilo of rice, a litre of milk or a loaf of bread to a pensioner.
I know that it doesn't seem very much to you but it is a lot to others who you show apparent disregard for.
GST can never claw back the excise reduction. Ever.
The GST on 33 cents will always be 3.3 cents. Whatever else happens to fuel the price will always be 5.5 cents cheaper per litre. GST can never take back the excise.
"GST can never claw back the excise reduction. Ever."
Except when the base price goes up by 50 cents.
The GST applies to the entire price, not just the excise component. Example:
base price of $1.00 + 33 cents excise +
13.3 cents GST per litrebase price of $1.50 + 33 cents excise +
18.3 cents GST per litrebase price of $2.00 + 33 cents excise +
23.3 cents GST per litreSheesh I'm glad I decided never to hire you.
Anyway, this topic is dead to me. Evidence shows there is no problem with our rate of fuel excise and some of us know the GST applies to the entire price of petrol and will continue adding 1 extra cent for every 10 cent rise in the base price of petrol until infinity.
All in favour of the honourable Mr freediver's proposition that "Nelson's petrol tax cuts are a bad idea" say aye
AYE
ps, There aren't many pensioners who use a tank full of petrol a week and would save 2.50 for a litre of milk, but theres a heck of a lot of people who will soon be getting substantial tax cuts from the nice Mr Rudd. Up to 40-50 dollars a week in some cases, I understand. Now thats real help for "people who are struggling"
You will be singing Rudds praises to the rooftops!