UK Money News
25th July 2008
Stealth tax concerns highlighted by AA
Some 82 per cent of AA members believe road tax is being used as a stealth tax by the government.
In particular, concern has been raised with the chancellor of the exchequer requesting the scrapping of the retrospective nature of vehicle excise duty.
"Over 80 per cent of motorists now see road tax as a stealth tax and we have called it a mean tax rather than a green tax. We believe that the retrospective nature of the tax increases for cars registered between 2001-6 should be scrapped," said AA president Edmund King.
He added that if the tax increases do go ahead a number of motorists could be "fuming" from excessive rises.
Other findings show that some 70 per cent of survey respondents believe having a vehicle excise duty base on carbon dioxide emissions will influence the decision over what car to buy.
Earlier this month, the AA noted that the average car insurance premium for motorists convicted of driving while using a mobile phone rises by around £40 per year.
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