petrol tax tagged posts

Oil Slop Leads to $71 Million Tax Dispute

September 7, 2015 New Zealand Taxation

The New Zealand oil industry could be facing a NZD 71 million tax bill, as Customs claims nearly 30 years of back taxes.

Late last week Z Energy announced that it is considering launching legal proceedings against New Zealand Customs over a dispute regarding the taxation of slop oil.

Customs New Zealand has recently claimed as much as NZD 71 million of taxes could be owed by Z Energy, BP, Mobil and Chevron, due to the fact that all four companies co-mingle slop oil in the petrol products they sell in the country.

Currently, the majority of the oil imported into the country is refined at the Marsden Point oil refinery near Whangarei, and the refined product is then sent to the Wiri Oil Service Limited terminal in Auckland via the Refinery to Auckland pipeline.

The pipeline handles petrol, d...

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Fuel Efficient Cars Cause Tax Hike

July 2, 2014 New Zealand Taxation

RoadworksFuel efficient cars are one of the reasons behind the government’s recent hike to petrol taxes.

In a statement made on June 30th the Prime Minister John Key indicated that improvements in the fuel efficiency of cars has led to the government raising the taxes applicable to the sale of petrol in New Zealand.

According to the Prime Minister, while tax rates applicable to the sale of petrol have been rising in recent years, the total tax revenues collected from the sale of petrol has been falling, as newer and more efficient cars require less fuel to operate.

The impact of the falling tax revenues is made even more sever by the fact that the government’s demand for the funds is growing larger, due to its ongoing roading projects and infrastructure improvements.

John Key conceded that the ...

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Petrol Tax Hike on the Horizon

May 20, 2013 New Zealand Taxation

Cost of PetrolPetrol in New Zealand will soon be even more expensive following the passage of a new bill through parliament.

On May 19th parliament passed under urgency new legislation to hike petrol taxes by an extra 3 cents per litre each year over the next three years.

Following the implementation of the raised tax, petrol taxes will hit 59.5 cents per litre by the end of July in 2015.

The bill to raise the tax was passed with 67 votes in favour and 26 votes in opposition.

Prior to the vote the Minister of Transport Gerry Brownlee explained that any extra funds raised from the hiked rate will be used to pay for improvements in the national roading system, and he added that “we have a big programme in front of us that is going to see very significant time savings for a lot of people in the areas where...

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New Hikes to Petrol Taxes

November 16, 2012 New Zealand Taxation

RoadworksMotorists could soon be paying more for petrol or could face delays to major roadworks around the country.

On November 15th One News revealed the contents of a briefing issued to the government by the New Zealand Transport Association, showing that the Association is facing a shortfall in funding for road building projects, and is now suggesting that petrol taxes should be raised by as much as 9 cents per liter over the next three years.

Commenting on the shortfall and the proposal to hike taxes, the spokesperson for the New Zealand Traffic Institute Andy Foster said “…we’re not surprised, in fact we’ve been telling the Government that was likely anyway.”

Mike Noonan, a representative of the Automobile Association, said that the impact on motorists would be reduced if the tax increases wer...

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