• The Alberta government is appealing a decision by the Alberta Court of Queen’s Bench ordering the government to give back revenues collected under an unconstitutional tax law

• The Canadian Taxpayers Federation is intervening to uphold the lower court decision and ensure the money is paid back

CALGARY, AB: The Canadian Taxpayers Federation is going to court to force the Alberta government refund beer taxes it collected through an unconstitutional law. The CTF will be participating as an intervener in today’s appeal of Steam Whistle v. Alberta Gaming and Liquor Commission, in which two out-of-province beer companies successfully challenged unconstitutional legislation imposed by the Alberta government.

“The Alberta government collected $2 million in beer taxes based on an unconstitutional law, but it doesn’t want to give the money back even after the legislation has been struck down,” said CTF Federal Director Aaron Wudrick. “When Canadians get overcharged by government, the government should have to give back the money and we’re happy to go to court to help defend that principle.”

In June 2018, the Alberta Court of Queen’s Bench ruled that two changes to mark-up rates on craft beer produced outside Alberta were unconstitutional. The mark-up regime had different rates applied to different regions, along with a grant for Alberta brewers to offset the mark-up they would otherwise pay. As a result, brewers from outside Alberta were charged more than $2 million in taxes that the court deemed unconstitutional. The Alberta government refused to repay the money and chose instead to appeal the decision to the Alberta Court of Appeal.

“When governments take money they are not entitled to take, they cannot simply keep the proceeds after the law is struck down,” said Wudrick. “Taxpayers deserve the certainty that if they face an unlawful tax, they will get their money back.”

The CTF is represented by one of Canada’s top interprovincial trade lawyers, Benjamin Grant of Conway Baxter Wilson.