MX: Tax relief ticket cuts in sight for commuters

Published by Alex Makin on Monday 5th of June, 2006

Melbourne’s MX newspaper has reported on the latest efforts to provide much needed taxation incentives for public transport users.

Australia’s top transport brass voted unanimously at the weekend for an inquiry into tax breaks for train, tram and bus passengers.

If approved, monthly and yearly tickets could be eligible as tax deductions.

Taxation reform is required to ensure that commuters who use public transport are provided with similar taxation incentives to commuters that drive cars. The current inequitable arrangements strongly disadvantage public transport commuters.

Public Transport Users Association spokesman Alex Makin welcomed the idea, but said disincentives for motorists were needed as well as commuter incentives.

“Fringe benefits tax provides an incentive to use your car for as much mileage as possible, and that obviously hampers efforts to encourage public transport users,” he said.

Given the unanimous backing from the participants within the Australian Transport Council it is crucial that the Federal Government legislate to ensure taxation equity between car drivers and public transport commuters.

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