No carbon tax relief at the gas pumps

No carbon tax relief at the gas pumps

B.C.’s carbon tax jumping to $35 per ton in April

An increase in B.C’s carbon tax to about 8.5 cents a litre will hit Okanagan drivers at the gas pumps in 2018.

The impact on gas prices is the result B.C.’s carbon tax jumping to $35 per ton in April, making it the highest carbon tax in Canada.

That will translate to about an extra $5 every time you fill up your car and about $10 tacked on if you drive an SUV, according to the Canadian Taxpayers Federation.

The carbon tax is also applied to natural gas and home heating oil.

Kris Sims, BC director for CTF, said starting in 2018 the B.C. carbon tax will no longer be labelled as “revenue neutral” and the money will pour into government coffers without earmarks or tracking as to where it’s spent.

Related: Gas price spike in fall 2017

Sims said with more than 5.7 billion litres of gasoline sold in B.C. last year, that means the provincial government will rake in an average of $490 million in gasoline carbon tax, and when the diesel carbon tax is included, that jumps to more than $600 million in tax revenue taken from motorists in one year.

“The carbon tax is going to cost us even more and now we have no idea where it’s going,” said Sims.

“If you have two vehicles in your family this means the carbon tax now costs you about $360 per year just to drive your kids to school and get yourself to work and the grocery store. This doesn’t include the costs of all those goods that need to be trucked in. We will pay for that too.”

But that depressing news aside, Sims said there are some positives on the tax front for the year ahead.

Sims points to cuts to the Medical Services Plan, with payments sliced in half as of Jan. 1, 2018.

Sims explained that MSP reduction will save an average two adult home $900 per year in mandatory health care taxes. The government has promised to eliminate the MSP completely within their four-year mandate.

Sims said the CTF has long argued that this unfair, inefficient fee needed to be axed, and will maintain the pressure on government to get rid of it altogether, saving an additional $900 per year per average household.

“The CTF campaigned hard for a cut to MSP, so we’re very pleased this unfair tax will be halved.”

Federally, Employment Insurance (EI) premiums will rise slightly, costing employees and employers an additional $9 and $13 per year, respectively. The indexation of the Canada Child Benefit (CCB) will also come into force on July 1, 2018, leading to a slight decrease in payments to eligible families on Jan. 1.

“There are no dramatic income tax changes on the federal side,” said CTF federal director Aaron Wudrick. “Canadians can for the most part breathe easy, but they shouldn’t expect to have much more money in their pockets.”

Wudrick noted that while 2018 did not hold many large tax changes, Canadians can expect further changes in 2019.

“The Trudeau government has delayed imposing its national carbon tax until 2019, and Canada Pension Plan premiums will begin to rise annually as well,” said Wudrick.

“There is still considerable uncertainty on the business tax front, both with respect to the Trudeau government’s controversial small business tax proposals, and due to recent dramatic tax cuts south of the border which will impact Canada’s competitiveness.”


 


newsroom@vernonmorningstar.com

Like us on Facebook and follow us on Twitter.

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Dr. Christine Perkins is the new superintendent of schools for the Vernon School District, effective Aug. 1. Perkins moves to the North Okanagan from the Kootenay Lake School District in Nelson. (Vernon School District photo)
Vernon School District names new superintendent

Dr. Christine Perkins moves from Kootenay Lake district to take over from the retiring Joe Rogers

Vernon Public Art Gallery executive director Dauna Kennedy and board member Kyle Britton accept a $43,400 grant from the BC Arts Council one-time StrongerBC fund amid the COVID-19 pandemic April 9, 2021. (VPAG)
$43K boost for Vernon gallery

Province backs local art gallery with one-time pandemic grant

A 46-year-old man from Armstrong died in Revelstoke hospital after being injured in the Lumby area. (File photo)
Armstrong snowmobiler dies in Revelstoke hospital

46-year-old man injured in Tsuius Mountain area of Monashees around Lumby area

Part of the massive mess left behind in a Spallumcheen rental home owned by Wes Burden, whose tenants bolted from the property in the middle of the night. Burden is now facing a hefty cleaning and repair bill as a result. (Photo submitted)
Spallumcheen landlord’s home trashed by tenants

Rooms filled with junk, garbage, human and animal feces; landlord scared to rent again

B.C. wineries are open for indoor tasting despite new provincial health regulations. Photo- 
50th Parallel Winery, Instagram.
Indoor wine tastings still allowed in B.C., not considered a ‘social gathering’

“Tasting is really just part of the retail experience. The analogy I use is you wouldn’t buy a pair of pants without trying them on.”

Burnaby MLA Raj Chouhan presides as Speaker of the B.C. legislature, which opened it spring session April 12 with a speech from the throne. THE CANADIAN PRESS
B.C. NDP promises more health care spending, business support in 2021 budget

John Horgan government to ‘carefully return to balanced budgets’

The Red Pill Rapper performs to the crowd gathered for the Rally For Food Security at Blackburn Park on Saturday, April 10, 2021. (Kristal Burgess Photography)
The Red Pill Rapper performs to the crowd gathered for the Rally For Food Security at Blackburn Park on Saturday, April 10, 2021. (Kristal Burgess Photography)
Suspicion of ‘fake news media’ makes rally uncomfortable for Salmon Arm event photographer

More than 300 people counted at city park for ‘Rally For Food Security’

A lady wears a sticker given out after receiving a COVID-19 vaccine at a clinic in Richmond, B.C., Saturday, April 10, 2021. THE CANADIAN PRESS
B.C.’s COVID-19 case count slows after last week’s peak

3,219 new cases since Friday, 18 additional deaths

North Cowichan councillor Tek Manhas did not violate the municipality’s code of conduct by posting a sexist meme on Facebook, council concludes. (File photo)
B.C. municipality to take no action against councillor who posted sexist meme

Tek Manhas’s meme doesn’t violate North Cowichan council’s code of conduct, municipality concludes

The former Summerland Asset Development Initiative building on Prairie Valley Road in Summerland was suggested as the site for a temporary transitional housing facility for the community. However, Summerland council has rejected this proposal. (John Arendt - Summerland Review)
Summerland council rejects transitional housing facility

Concerns raised about short timeline and condition of municipally-owned building

Shayla, an 8-pound black and grey Havanese, was stolen from outside a store on Banks Road on Saturday. (Contributed)
Stolen pup located, Kelowna RCMP confirms

Mounties said on April 12 that Shayla, the 8-pound, black and grey Havanese dog, has been located safe and sound

Penticton Vees continue their winning streak carrying a 5-0 win title as of Sunday night's hockey action. (Cherie Morgan/Cherie Morgan Photography)
Penticton Vees continue winning streak

Sunday night’s 6-1 win has them with five in a row since the start of the season

A sign on a shop window indicates the store is closed in Ottawa, Monday March 23, 2020. The Canadian Federation of Independent Business is raising its estimate for the number of businesses that are considering the possibility of closing permanently. THE CANADIAN PRESS/Adrian Wyld
Small business struggling amid COVID-19 pandemic looks for aid in Liberals’ budget

President Dan Kelly said it is crucial to maintain programs to help businesses to the other side of the pandemic

The National Security and Intelligence Committee of Parliamentarians says that includes attempts to steal Canadian research on COVID-19 and vaccines, and sow misinformation. (AP Photo/Esteban Felix)
Intelligence committee warns China, Russia targeting Canadian COVID-19 research

Committee also found that the terrorist threat to Canada has shifted since its last such assessment

Most Read