Media Release

New $1 per trip transport tax should end when taxi compo ends

30/04/2017 12:00 pm

The Greens will again move in State Parliament to ensure that the $1 per trip levy on all taxi, Uber and chauffeur rides will end once the taxi compensation scheme has been paid for*.

“The Government originally acknowledged that it will collect sufficient revenue to pay its compensation commitments within four years, however the levy was legislated to last forever,” said Mark Parnell MLC, Parliamentary Leader of the Greens SA.

“This means that the $1 passenger levy will simply become a new tax on travel long after the purpose for which it was raised has been satisfied.  That is unfair and unnecessary”.

“The Greens believe that once compensation to the taxi industry has been paid, the tax should end.”

Last year, the Greens moved an amendment to the Budget Bill which inserted an end date to the levy.  Both the old Parties rejected the amendment, but now the levy is definitely coming into operation, the Greens will again move for a sunset clause.

“Taxing people who choose to use taxis or Uber rather than drive themselves will further entrench private car dependence.  It’s also unfair on those who can’t drive such as people living with disabilities.”

“Slugging people who don’t drive or penalising those who choose not to drive themselves is unfair.”

“Experience shows that taxis & Uber reduce the need for public and private car parking and can even encourage some people to dispense with a private car altogether, or perhaps avoid owning a second car.

“If the Government is serious about city living and urban consolidation, then a permanent tax on taxi and Uber passengers is counter productive”, concluded Mark Parnell.

* The Greens’ “Passenger Transport (Expiry of Point to Point Transport Service Transaction Levy) Amendment Bill 2017” will be introduced to the Legislative Council on Tuesday 9th May and debated on Wednesday 10th May. It ends the Levy in 2023, which is 6 years away, to allow time for all taxi compensation to be collected and also cover administrative costs of the scheme.

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