Refund for handing in motor vehicle licence plates

19/11/93

Motor vehicle owners who surrender their licence plates before expiry will now be entitled to a proportional refund of both the compulsory third party insurance premium and the $50 premium levy.

Announcing the move today, Finance Minister Max Evans said the non-refundable nature of the $50 levy was an unintended consequence of the decision to separate the premium and premium levy.

The two premium components will now be shown as one sum on registration papers under the heading INS, with a separate notation explaining that the total includes a $50 premium levy for WA Inc losses.

Bringing the two components together will also have the effect of allowing a 50 per cent rebate on the premium levy for vehicles registered as farm vehicles under classes 2 and 4 in the SGIC Schedule of Premiums.

The Minister said the change would take effect retrospectively from August 1, 1993, the date of the introduction of the premium levy.

"It was never the Government's intention that vehicle owners surrendering their licence plates should be penalised in terms of an inability to secure a pro rata refund of the premium levy," Mr Evans said.

"Similarly, it was never the Government's intention that farmers, who may have ten or more vehicles of one sort or another for on and off-farm use, should have to contribute such a disproportionately higher amount than other citizens towards the WA Inc clean-up.

"These were unintended consequences of separating the premium and premium levy, and by now combining the two sums these consequences have been addressed."

Mr Evans said vehicle owners and farmers who believed they were entitled to refunds after either handing in licence plates or registering farm vehicles in the period since the introduction of the levy should contact their nearest licensing facility.

Media contact:  Tony Barker-May 481 3244