How important is excise revenue to your Government Essay Example

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How important is excise revenue to your Government

The current Australian law advocates the excise duty is imposed on the domestic manufacture of petroleum fuels, biogas, wines and other alcoholic beverages as well as tobacco and lubricants. There are identical duties that are imposed on the imported products through the customs duties as well as the tariffs imposed on the imported goods this is to give protection to domestically manufactured goods. The Australian government has taken into consideration the impact on alternative fuels in the excise collection budget. As of the present, the current figure stands at about 641 million dollars as the ongoing gain to revenue estimates Works cited (Australia’s Budget, 6).

However, the tax offset for entrepreneurs will be abolished by the government in the coming year. At the current time there are various goods that earn the most excises for the government. Theses are domestic manufacture of petroleum fuel which tops the list. The other two are tobacco products as well as alcoholic beverages other then wine because wine has a separate taxation under a specific scheme called the wine equalizations tax or (WET) (Reinhardt and Steel, 22).

The analysis of the budget of the current year was stated to hit about 49.4 billion dollars. The excise duty on the other hand was stated to be in the vicinity of 641 million dollars which puts the portion to be roughly 1.29 percent of the national budget. This figure arrived later and was to be introduced on 1st December 2011. This was because of prior arrangements on excise and excise equivalent customs that were given on the alternative fuels. This would move to reduce the receipts over the forward estimates period by this figure.

Works cited

Australia’s Budget. “Federal Budget 2011/12: Tough or Timid? “.Economic Insights . 2011.

Web. Retrieved September 7 2011 from <http://images.comsec.com.au/newsresearch/articles/Australias%20Budget%20-%2010%20May%202011.pdf>

Reinhardt, Sam & Steel, Lee. “A brief history of Australia’s tax system”. Tax Analysis Division.

Australian Treasury. 2006. Web. Retrieved September 7 2011 from <www.treasury.gov.au/documents/1156/PDF/01_Brief_History.pdf>