Ostroff, Fair and Company
*Ostroff, Fair and Company>>>Australia Taxes

Taxes and Tolls?



Why do we need to pay road tolls in the tunnels through Sydney when we pay state taxes for roads etc?

Road tolls are use taxes. They are designed to raise money from the people who most use a government resource. Although the road could be paid for with any type of tax (and part of its funding does come from a general tax) most people consider use taxes to be a fair way of apportioning responsibility for some government services.
Because whoever they give the rights to build the tunnel basically wins the right to make money out of it - therefore the government doesn't have to pay a cent.
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