Australian Green groups attack luxury car tax

The Rudd Government’s luxury car tax increase from 25% to 33% is under fire from a surprising source – Green Party senators. With a very close senate and Green and Independent senators holding the balance of power this could be the key to whether the law actually passes through Parliament. Greens senator Christine Milne has expressed concern that the tax will hit some of the most advanced and fuel efficient cars on the road.

Senator Milne went on to tell The Australian Financial Review “You’ve got a situation where some of the high-end vehicles, which will be subject to a luxury vehicle tax, will be some of the most efficient on Australian roads. That’s the technology, not necessarily the brands that we need to encourage.”

The Greens want to talk with the Government about a broader car tax proposal that could see vehicles taxed on a sliding scale depending on their fuel efficiency. While the Greens are yet to officially decide whether or not to support the luxury car tax, Milne’s comments will add weight to car companies angry with the proposal.

Apparently Mercedes Benz is pushing for greenhouse gas emissions to be placed on cars.

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This entry was posted on Wednesday, August 20th, 2008 at 8:47 pm and is filed under Global Warming, Climate Change & Energy. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.