OTTAWA, ON: The Canadian Taxpayers Federation is calling on the federal government to scrap its carbon tax following today’s Parliamentary Budget Officer report confirming the carbon tax costs average households more than they get back in rebates.
“Once again the PBO confirms the carbon tax costs average families hundreds of dollars more than they get back in rebates,” said Franco Terrazzano, CTF Federal Director. “This PBO report proves that politicians’ favourite talking point is incorrect and it proves the carbon tax is making life harder for Canadians.”
The Trudeau government claims “families are going to be better off” with its carbon tax and rebates. However, today’s PBO report shows the carbon tax costs average households more than they get back.
“The average household in each of the backstop provinces will see a net cost, paying more in the federal fuel charge and GST, as well as receiving lower incomes (due to the fuel charge), compared to the Canada Carbon Rebate they receive,” according to the PBO.
The carbon tax will cost the average household up to $399 this year more than the rebates. The table below shows the net federal carbon tax costs for the average household in each province, according to the PBO.
The PBO also noted that, “Canada’s own emissions are not large enough to materially impact climate change.”
The government also charges its GST on top of the carbon tax. The PBO report shows this carbon tax-on-tax will cost taxpayers $400 million this year. That money isn’t rebated back to Canadians.
“It’s simply not credible to believe the government can impose a carbon tax, skim some money off the top, charge its sales tax on top of the carbon tax and then make families better off,” Terrazzano said. “Prime Minister Justin Trudeau should take this PBO report as a wake-up call and scrap the carbon tax to make life more affordable.”
Carbon tax cost, per PBO
Province |
Net cost (total cost – rebates) for average household, 2024-25 |
Alberta |
$213 |
Saskatchewan |
$154 |
Manitoba |
$152 |
Ontario |
$399 |
New Brunswick |
$197 |
Nova Scotia |
$238 |
Prince Edward Island |
$240 |
Newfoundland and Labrador |
$170 |
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