Liberal tackles fire tax
By Brett Worthington • Apr 28th, 2010 • Category: News Birregurra farmer and Liberal candidate Simon Ramsay has joined a campaign to abolish a fire services levy which costs district businesses hundreds of thousands of dollars.
Mr Ramsay has called on the State Government to end its fire services charges on insurers to make the system fairer for rural residents.
Mr Ramsay said country people paid 72 per cent tax on their insurance premiums compared with 18 per cent for Melbourne households.
For every $100 regional businesses pay in insurance, they must pay an extra $72 on the fire levy.
The State Government has considered raising the fee to 84 per cent, increasing the payments of businesses such as Colac timber company AKD Softwoods, whose payments would rise by $100,000 to $400,000.
Mr Ramsay said the fire service levy was a “discriminatory tax against people living in regional Victoria”.
About 75 per cent of fire services’ funding comes from the fire services levy.
Insurance companies pay the levy to the Victorian Government and pass the additional costs on to insurers.
Mr Ramsay is a Liberal candidate for the state upper house. His comments come after lawyers assisting a Bushfires Royal Commission called for the abolition of the levy.
Counsel Lisa Nichols told the commission the levy was inequitable and lacked transparency.
The government announced its plan to raise the fire service levy for rural people after Black Saturday’s bushfires.
About 30 per cent of houses affected by the fires were under insured or not insured.
To read the full story click on the TITLE above.
Mr Ramsay has called on the State Government to end its fire services charges on insurers to make the system fairer for rural residents.
Mr Ramsay said country people paid 72 per cent tax on their insurance premiums compared with 18 per cent for Melbourne households.
For every $100 regional businesses pay in insurance, they must pay an extra $72 on the fire levy.
The State Government has considered raising the fee to 84 per cent, increasing the payments of businesses such as Colac timber company AKD Softwoods, whose payments would rise by $100,000 to $400,000.
Mr Ramsay said the fire service levy was a “discriminatory tax against people living in regional Victoria”.
About 75 per cent of fire services’ funding comes from the fire services levy.
Insurance companies pay the levy to the Victorian Government and pass the additional costs on to insurers.
Mr Ramsay is a Liberal candidate for the state upper house. His comments come after lawyers assisting a Bushfires Royal Commission called for the abolition of the levy.
Counsel Lisa Nichols told the commission the levy was inequitable and lacked transparency.
The government announced its plan to raise the fire service levy for rural people after Black Saturday’s bushfires.
About 30 per cent of houses affected by the fires were under insured or not insured.
To read the full story click on the TITLE above.
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