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Government Rethinks Safety Levy:

Following a massive groundswell of industry resentment against the Federal Government’s proposed Safety Tax, Minister for Shipping and Aviation, Senator Bob Collins announced on May 7

that the Government is to re-examine its decision as to future cost recovery for aviation safety regulation. (referp67 April 92, p4 May 92 and p23 of this issue for more data on the controversial Safety Levy) AA’s understanding is that the Caucus backbench advisory committee rejected the Bill as unacceptable with it then being referred to the Treasurer, John Dawkins, and the Cabinet for reconsideration in view of the damage it would do to every sector of the aviation industry and the likely consequences that would unfold close to election time if thousands of peo- ple should choose not to pay the levy and have their aircraft consequently dereg- istered. The $10m slated for collection in 1993/94 will now come from consolidated revenue, as the Government promised originally when it accepted the Bosch Report recommendations back in 1984/85.

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