You can expect to pay more for fuel again soon. This is the reason
Australian drivers have been suffering from bowser pain this year, with petrol prices topping $2 per liter. That’s despite the federal government’s move earlier in March to half of the fuel excise tax in a bid to ease financial pressure on drivers. But the cuts are not forever and the reduced rates are coming to an end. So what does it mean for drivers when they are again saddled with full excise duty in about three months? What is a fuel tax? Every time Australians buy gasoline, they contribute to a pool of funds that the federal government uses for roads and infrastructure. Simply put, you usually pay 44.2 cents in tax for every liter of fuel you buy — included in the price at Bowser. Excise duty was halved on March 30 to 22.1 cents per liter. Why did the Morrison government cut fuel taxes? The move is aimed at battling a spike in gasoline prices to ease cost-of-living pressures. The government estimates cutting fuel excise taxes will save midsize car owners about $13 when...