The Canadian Taxpayers Federation released its 25^th annual Gas Tax Honesty Report to shine a light on all the hidden taxes that making fueling up more expensive.

“High gas taxes make high pump prices more painful,” Jay Goldberg, Interim Atlantic Director of the CTF, said. “Politicians could immediately make life more affordable by reducing their big tax bill at the pumps.”

The CTF’s Gas Tax Honesty Report shows that taxes in Prince Edward Island make up 34 per cent of the pump price, which works out to about 60 cents per litre. The average tax on a 64-litre fill-up in New Brunswick is $38.40.

The federal government and P.E.I. calculate sales taxes after all the per-litre taxes are added. This tax-on-tax costs drivers an extra 5.5 cents per litre of gasoline.

The federal carbon tax was imposed on P.E.I. on July 1 at the rate of 14 cents per litre of gasoline. The federal government also imposed a second carbon tax through fuel regulations that took effect on the same date. By 2030, when the fuel regulations are fully implemented, the two carbon taxes will increase the price of gasoline by about 55 cents per litre and cost the average family more than $2,000 annually.

“It’s extremely tone deaf for the federal government to keep hiking carbon taxes when Canadians can barely afford to fuel up their cars now,” Goldberg said. “Canadians need relief and that means politicians must scrap their carbon taxes that don’t help the environment.”

You can find the CTF’s 2023 Gas Tax Honesty Report here.