NSW treasurer begins legislative process to exempt trucking operators from paying stamp duty when purchasing new trailers
By Brad Gardner | September 21, 2012
Trucking operators are one step closer to being exempted from paying stamp duty when buying new trailers in New South Wales.
Treasurer Mike Baird has introduced the State Revenue Legislation Further Amendment Bill, which will reform stamp duty to discourage NSW operators from buying and registering new trailers interstate.
Baird says removing stamp duty on new trailers will contribute to the state economy through more registration revenue while also creating opportunities for NSW-based trailer companies.
“The application of stamp duty on new trailers in NSW is a key factor that encourages heavy vehicle operators to purchase and register their vehicles in other states, notably in Queensland and Victoria,” he says.
“The exemption will see NSW come into line with Queensland and Victoria, which for a number of years have charged less or no stamp duty for heavy vehicle trailers.”
Baird says NSW roads support the majority of road freight movements in Australia but the state does not receive an adequate share of revenue from heavy vehicle charges.
“This is due to the low number of trucks and trailers currently registered in NSW relative to Queensland and Victoria,” he says.
“The stamp duty exemption for new trailers aims to help reverse this trend and remove a barrier that discourages operators from registering trailers in NSW.”
The Bill is part of a number of government measures aimed at the trucking industry and announced earlier this year.
Roads Minister Duncan Gay in July unveiled a series of registration rebates for operators with tri-axle dollies, tandem-axle dollies and spare trailers. The move is designed to offset the effect of higher registration charges introduced on July 1.
New registration fees also coincided with a 10.4 percent increase to the fuel excise, taking it to 25.5 cents per litre. Opposition spokesman on transport Warren Truss earlier this week narrowly lost a motion to scrap the increase.
Livestock and Bulk Carriers (LBCA) President Barney Hayes says the motion, had it passed, would have brought much-needed relief to regional businesses. Truss wanted the excise reduced to 24.4 cents per litre.
“For regional Australia, there was a small glimmer of hope when Mr Truss moved a disallowance motion, demonstrating that the devastating impacts of these increases were understood by some and that this would encourage a sensible outcome. Unfortunately this was not the case,” Hayes says.
