Fuel tax pause offers bigger break to higher-income families: budget watchdog
The parliamentary budget officer says the average family saves $276, but households in the highest income quintile will save $468.
- Parliamentary Budget Officer Annette Ryan reported Thursday that the fuel tax pause disproportionately benefits high-income households, saving the average family $276 over roughly one year.
- Ottawa suspended federal excise taxes on gasoline, diesel, and jet fuel in April to offer Canadians relief from a global energy shock driven by the war in Iran.
- The PBO estimates households in the highest income quintile save an average of $468, while those in the lowest quintile receive just $132 in relief.
- John Fragos, spokesperson for Finance Minister Philippe Champagne, defended the pause as a blanket measure applying evenly to all Canadians based on driving habits, noting the Canada Groceries and Essentials Benefit targets lower-income households.
- The government extended the fuel tax pause into 2027 after originally planning to end it Sept. 7, with total costs estimated at $4.9 billion by the budget office.
35 Articles
35 Articles
Ottawa's suspension of the excise tax on fuel provides greater pump relief to the most affluent households, mainly because they consume more fuel, says the Office of the Parliamentary Budget Officer (BDPB) in a new report.
Federal excise tax leave on fuel will cost more than twice what was originally estimated, according to the Parliamentary Budget Director.
The Toronto Star
Fuel tax pause offers bigger break to higher-income families: budget watchdog
OTTAWA - The parliamentary budget officer says Ottawa's gas tax pause is offering a bigger break at the pumps to the households that earn the most.
Les Affaires
lechodelarivenord.caHalf of the tax rate will be re-applied as of February 1.
PBO Pegs Ottawa's Fuel-Tax Relief at $4.94 Billion, Below Gov't Estimate
Canada’s extended fuel-tax relief is projected to reduce federal revenues by $4.94 billion this fiscal year, roughly $350 million less than Ottawa previously estimated, while the program’s projected household savings depend on an assumption that all tax relief reaches consumers. A new Parliamentary Budget Office assessment, released Thursday, puts the total cost of suspending and temporarily […]
Coverage Details
Bias Distribution
- 60% of the sources lean Left
Factuality
To view factuality data please Upgrade to Premium
