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Federal government introduces bill to extend gas tax pause to January 2027
The bill would keep the 10-cent-per-litre break in place for farmers, families and truckers as fuel prices remain elevated.
On Monday, Finance Minister François-Philippe Champagne introduced legislation to extend the federal gas tax pause until January 2027, with the bill facing its first significant debate today, Tuesday, September 22, 2026.
The Liberals initially suspended the 10-cent-per-litre excise tax on April 14, 2026, following global fuel price spikes caused by the U.S. war on Iran, with the pause originally scheduled to last until Labour Day.
Under the new proposal, the government will maintain the tax pause through January 2027, then set the excise tax at five cents per litre until the end of March 2027.
The Conservatives are pushing for a longer extension and demanding the government lift the GST off gas purchases, while Champagne maintains the measure will help farmers, families, and truckers across Canada.
Parliament resumes debate on the legislation today, Tuesday, September 22, 2026, as the government addresses economic concerns regarding global fuel instability's impact on Canadian consumers.