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The truths they don't want you to read....

Wednesday, January 14, 2009

Rural fuel duty

So according to the Chancellor:
in a letter to Scottish Finance Secretary John Swinney, said drawing the boundaries of any fuel duty rebate area would be "extremely complicated".
This is from the man who manages the Tax Credit scheme, that is so complex that no-one can produce an accurate working spreadsheet to calculate the benefits due.

This is from the man who introduced a new tax rate for earnings between £100,000 and £150,000 that involves a complex sliding scale of allowances that means that anyone affected cannot get an accurate tax code.

Look, it is bloody simple:

If fuel duty is abolished on all the islands, and maximum deliveries are set at (say) £100 for cars and £500 for HGVs then the local petrol stations can recover the duty they pay through an amended fuel duty rebate scheme. No more complex to administer than VAT, and subject to exactly the same requirements for documentation which can be examined at any time by VAT Inspectors.

You are not going to get smuggling across the Minch for such small values.

Onto the mainland, and you can prescribe the same principle by postcode, based on where the petrol station is situated. A petrol station in Kinlochbervie could easily have a lower duty rate than one in Inverness, and by carefully rolling it out, you can minimise displacement i.e. someone driving from Inverness to Kinlochberive to get a cheaper tank of petrol.

Move over Darling, and let me have a go at running the economy!

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