adarcy
(regular)
10/02/2004 18:41
Re: Why is boaty diesel tax free?

Axshually,

I think red diesel exemption was more the difficulty in fitting in a taxed area between subsidised fishermen and ships which could/can bunker anywhere in the world. They certainly will not fill up in a taxed area so it makes more sense to have the business here than export it. The same applies, but obviously to a lesser extent, with avgas for planes. If they're not transocean, they can choose where to refuel on their itinery.

Now that the greenies have arisen and probably a lot more diesel is used for leisure, tax looks more inviting to the taxers and b***er the consequences. The real sting in the tail is, of course, our outlandishly high road fuel duty. It is only 10 years ago when we used to wonder how the French were able to afford so much for their car fuel - now it's cheap especially diesel.

If it hits 90p/Lit it would be worth our while nipping over to France to fill up - nice trip good food + wine and a spit in the face of G Brown but I suspect the real consequence would be quite a few of the mobos will just move their boats over to France and save on mooring costs as well. Although some raggies and others would applaud, I don't think the tax rake will be that much and it is worth pointing out that it is only the poorer (marginal in economic speak) boaters or those with smaller boats that will pay it anyway.

Ain't New Socialism great!



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