Financial Post: 'In some major cities, Canadian drivers pay six different gas taxes. For example, Montreal drivers pay provincial and federal gas taxes, provincial and federal sales taxes, a transit tax and a carbon tax. Drivers in Vancouver, where taxes account for 38 per cent of the pump price, also pay six different taxes. With taxes averaging more than 55 cents per litre of gasoline, a family pays about $40 in taxes to fill their minivan. That’s a lot of money that could help pay for groceries, baseball cleats for the kids or any other family needs.
'The federal government and some provinces charge sales tax on top of other taxes. That means politicians tax the fuel you need to drive, then they tax those taxes. This tax-on-tax adds more than four cents to the average pump price.
'Provincial politicians could provide relief today by following Alberta’s example. Beginning April 1st, it cut its 13 cent per litre fuel tax on a sliding scale related to the price of crude oil. “While the inflation rate nationally rose in April, the rate declined in Alberta,” said University of Calgary economist Trevor Tombe. “Falling gasoline prices because of the tax holiday is the reason.”...'
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