asked the Minister for Finance if he will state in respect of the year 1970-71 the total income from car taxation; what extra charge would need to be made per gallon of petrol to get a corresponding revenue; if there are objections to the abolition of car taxation charges and the collection instead of the revenue as petrol charges; and, if so, what they are.
Ceisteanna—Questions. Oral Answers. - Car Taxation Yield.
22.
The total revenue from car taxation in 1970-71 was £14.7 million.
At the current level of consumption it would be necessary to increase the rate of duty on a gallon of petrol by 7p approximately or on hydrocarbon oils by 6p approximately to produce a yield of £14.7 million. These figures do not take account of a probable fall in consumption arising from increased prices.
If the change referred to by the Deputy were effected, the Road Fund would be deprived of its present revenue from motor taxation for road works; tax on petrol would go to the Exchequer and the amount to be voted for roads could depend on the overall level of Exchequer revenue and the urgency of calls on that revenue for services other than roads. Because of the increase in the price of petrol the change could also have serious implications for tourism.
Can the Minister state if the figure of £14.7 million is the gross figure? Can he state what it costs to collect that amount?
It is the gross figure.
What does it cost to collect that amount?
I have not got that information at the moment.
Surely it will cost at least £1 million to collect take amount. If the Minister gives a figure of £14.7 million and states that it is necessary to increase the rate of duty by 7p to produce that amount, surely what should be compared is the net figure —not the figure of £14.7 million?
If the Deputy looks at the question he will see that it referred to the total income from car taxation, which was the figure I gave.
I understand that. What does it cost to collect this amount—is it £2 million, £3 million or £4 million?
Sin ceist eile.
I am calling Question No. 23.