• Lower Mainland drivers pay the second-highest gas taxes in North America – 49 cents per litre (1 cent behind Montreal)
• Gas prices (untaxed) virtually identical between Lower Mainland and Washington State; but taxes 34 cents per litre lower in U.S.

• BURNABY, B.C.: The Canadian Taxpayers Federation (CTF) unveiled statistics today showing that it’s a 34 cent per litre difference in gas taxes that are driving Lower Mainland taxpayers south at numbers unseen in 15 years.

Greater Vancouver drivers pay 49 cents per litre in gas taxes – the second-highest on the continent. But just a few miles away, in Washington State, gas taxes (with currency exchange and conversion from gallons) work out to 15 cents per litre.

“It’s pretty simple – the lower the taxes, the cheaper the gas,” said Jordan Bateman, the CTF’s B.C. Director. “Lower Mainland gas prices would be competitive with the U.S. if our tax burden wasn’t three and a half times heavier.”

Cheaper gas in the U.S. has become the draw for Canadians to head south. While there, many drivers also pick up cheaper dairy products and purchase groceries and consumer goods. Some are now regularly flying out of Bellingham Airport to save even more money.

“Canadians made 15.4 million trips south just into Whatcom County last year – the most since 1997,” said Bateman, adding that Whatcom statistics don’t include Point Roberts or crossings east of Abbotsford. “The first quarter this year saw a 10 per cent jump from that – the number keeps growing, and it’s cheaper gas taxes that is the gateway to getting us hooked on going south.”

In recent months, media have reported on higher visitor numbers in the U.S., a Facebook page dedicated to getting American-only shopping times at Bellingham Costco, Canadians filling jerry cans to bring back across the border, and a $17-million, 60,000 sq. ft. expansion to Bellingham Airport, fueled almost exclusively by Canadian flyers.

“Canadians are voting with their cars and wallets,” said Bateman. “We are stalling our own economic growth with these high gas taxes – not only do they increase the cost of every good and service moved in our province, they drive overtaxed Canadians south looking to save a few bucks.”

To help bring gas taxes down in B.C., the CTF supports killing the carbon tax and eliminating the federal GST tax-on-tax. These changes would save drivers more than 9 cents per litre.

Bateman noted that drivers are further taxed through tolls, ICBC’s auto insurance monopoly, municipal property taxes for roads, development cost charges, vehicle registration fees, vehicle purchase taxes, parking taxes and drivers’ licence fees.

“The only tiny piece of good news for B.C. drivers is that AirCare will cease to exist on December 31, 2014,” said Bateman. “This will save drivers with older cars $23 per year. It’s a pittance, but when gas taxes are this high, every nickel is welcome.”

For a regional breakdown of total gas taxes paid (Lower Mainland, Victoria, rest of B.C. and total B.C.), please see our backgrounder here.

For the CTF’s national Gas Tax Honesty Day data, click here.