Senate debates

Tuesday, 23 September 2008

Tax Laws Amendment (Luxury Car Tax) Bill 2008; a New Tax System (Luxury Car Tax Imposition — General) Amendment Bill 2008; a New Tax System (Luxury Car Tax Imposition — Customs) Amendment Bill 2008; a New Tax System (Luxury Car Tax Imposition — Excise) Amendment Bill 2008

In Committee

6:03 pm

Photo of Eric AbetzEric Abetz (Tasmania, Liberal Party, Deputy Leader of the Opposition in the Senate) Share this | Hansard source

Yes, well done! Here we have a situation where the government are saying, ‘Fuel consumption, bad; therefore we will give tax relief to any vehicle that has seven litres or less fuel consumption.’ Then, all of a sudden, ‘High fuel consumption in four-wheel drives, good. They’re also deserving of a tax exemption though they consume twice the seven-litre threshold.’ Indeed, they consume up to 14.5 litres. So those listening in might ask, ‘How is this logical? How is this consistent? How can you come up with such a policy mishmash?’ It is easy: it is the Rudd Labor government not interested in sound policy but in stitching up deals—first one with the Greens, then one with Family First. What does it matter that the deals are inconsistent? I then ask: can the minister confirm that the only technology to benefit by this government amendment will, in fact, be diesel technology?

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