Where does the tax revenue go? We all know the tax is paid to the government, but where does it end up? We answer the FAQs.
How much is carbon tax?
The tax on CO2 emissions is calculated to $23 per tonne of CO2 pollution.
Will the tax go up?
The tax is meant to increase 2.5% per year for the next three years. This will amount to $24.15 per tonne in 2013, and $25.40 per tonne by 2014.
How long will the tax on carbon last?
The tax on carbon emissions is set on a 3 year course. By July 1, 2015 the tax will not exist in this same form, but rather as an emissions trading scheme.
Who does the tax affect?
The tax is imposed on 500 of our major companies as the biggest producers of CO2 emissions.
How does this affect the individual?
Although the tax is claimed to not affect the individual/households, the introduction of the carbon tax will cause major companies to pass the cost of the tax onto their consumers through bills and increase cost to living, thus the taxation on CO2 emissions is indirectly affecting consumers.
Where does our tax go?
Over the 3 year course the tax revenue will amount to $24.5 billion paid directly to our government. It is said that this will be returned through household energy efficient measures…(track record of government returns on tax revenue? Perhaps the Carbon Tax will be an exception?)
What’s your thought?
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