• Provincial government hiking fuel tax Jan. 1

LETHBRIDGE, AB: The Canadian Taxpayers Federation is sounding the alarm for Albertans in the New Year with the provincial government set to hike fuel taxes Jan. 1, 2024.

“Premier Danielle Smith did the right thing one year ago when she fully suspended the Alberta fuel tax because people are struggling with affordability so it’s mindboggling that she would hike the fuel tax back up now,” said Kris Sims, CTF Alberta Director. “With the Trudeau government hiking its federal carbon tax in a few weeks and with so many still people struggling to afford food and home heating, increasing the Alberta fuel tax is the wrong way for the Smith government to go.”

The Alberta government just released a statement saying it’s going to partially reinstall the suspended provincial fuel tax, bringing it up to nine cents per litre of gasoline and diesel.

Citing an affordability crisis for Albertans, Smith fully suspended the provincial fuel tax one year ago, saving families and truckers 13 cents per litre of gasoline and diesel.

That move saved about $10 every time a driver filled a minivan. It saved truckers about $130 when they filled their big rig tanks with diesel, saving people money on shipped groceries and supplies.

The provincial government is not lacking in tax revenue.

In 2020-21, the government took in more than $19.5 billion in total taxes. In 2021-22 it collected more than $23.5 billion and in 2022-23 the government pulled in more than $26.5 billion, not including bitumen royalties.

The province has a surplus of $5.5 billion. The provincial government has said the fuel tax suspension saves taxpayers about $100 million per month.

“The provincial government can easily afford to extend this fuel tax suspension for hardworking Albertans for at least the next six months,” said Sims. “Manitoba’s NDP Premier Wab Kinew is fully suspending his fuel tax on Jan. 1, so do we want Albertans paying higher fuel taxes than in Manitoba?”

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