Officials debating how to handle tax’s impacts
Exemptions to the collection of the carbon tax in the North are not being contemplated, says a senior federal official.
Exemptions to the collection of the carbon tax in the North are not being contemplated, says a senior federal official.
Mark Johnson of Environment and Climate Change Canada says what is being discussed are concerns arising from how the carbon tax might have an additional impact on the North.
There could be extra costs associated with the delivery of food to remote communities when considering the additional tax on fuel, he explained in an interview.
Johnson said how to address those additional impacts are the types of considerations being discussed by the federal government and governments North of 60.
“There are discussions going on across all three territories on these kinds of issues,” he told the Star.
“We are definitely considering the very different circumstances of the North.”
Johnson said the expectation is to have the necessary federal carbon tax legislation before the House of Commons this fall.
The tax will come into effect in 2018, but exactly when remains unknown, he said.
Johnson and other federal officials were meeting in Whitehorse last week with representatives of the territorial, First Nation and municipal governments to discuss how to address the additional impacts the carbon tax will have on northern communities.
Prime Minister Justin Trudeau has committed to imposing a carbon tax beginning next year, with subsequent increases in the next four years to achieve a tax equivalent to $50 a tonne of greenhouse gas emissions.
The federal policy says all the money collected will be returned to the territory or province of origin.
Premier Sandy Silver has promised to return every penny to Yukoners.
The territorial government is currently conducting a survey asking how best to go about that.
The survey, for instance, asks whether low-income Yukoners should receive more of a rebate, or whether businesses located off the grid who rely on their own generation should receive more.
It asks if Yukoners living in remote communities should receive more of a rebate.
Yukoners have until Sept. 13 to fill out the survey available online.
Eric Clement of the Yukon’s Department of Finance said today it’s the government’s understanding that Ottawa will return the portion of carbon tax collected here with no strings attached.
It’s also the government’s understanding that if there is an impact on the cost of food in remote communities because of additional transportation costs, it would be up to the Yukon to address those impacts with the money it receives back from Ottawa, he said.
The federal carbon tax will apply to all fossil fuels, from gasoline, diesel and home heating fuel to propane and aviation fuel.
At some time in 2018 – year one of the five-year federal plan – an additional 2.33 cents per litre will be added to the price of gasoline, rising to an additional 11.63 cents per litre in 2022, or year five.
An additional 2.74 cents per litre will be added to the cost of home heating fuel next year, rising to 13.69 cents per litre in 2022.
The Yukon government is estimating Ottawa will collect $5 million in year one of the carbon tax, rising to $25 million in 2022.
The federal spokesman said it’s expected the carbon tax legislation will have built-in reviews for the years 2020 and 2022.
Comments (15)
Up 13 Down 0
Anie on Aug 29, 2017 at 3:36 pm
Anyone who thinks that this tax will be returned to individual Yukoners is living in a fool's paradise. It will be distributed to special interest groups in order to buy votes. If you don't want that, then take the survey and say so in the final comments section.
Up 18 Down 1
north_of_60 on Aug 26, 2017 at 1:23 pm
If they're really going to give the tax revenues back to Yukoners then use the tax rebate to reduce the price of our electricity and heating fuel.
Savings will go directly to Yukoners and business will see their operating costs reduced so they shouldn't have to increase prices.
Up 18 Down 2
Sarah w on Aug 26, 2017 at 11:42 am
He campaigned on 100% going back to Yukoners. That's not going to happen but we know those who pay less on the tax and make less will get more. I want an election already.
Up 19 Down 0
Groucho d'North on Aug 26, 2017 at 9:16 am
I'm a mechanic by trade, and as such I closely monitor fuel consumption as a means to measure performance in the fuel burning equipment I own. I have spread sheets where I record every drop of fuel and what it cost at the time. I know I'm a bit OCD in this regard, and I am sure not many others would be able to exactly report how much carbon tax they will be paying. I expect to get back all that I spend on it. I have a method to determine exactly what my tax burden will be, I wonder how government will calculate what they owe back to consumers?
Up 25 Down 1
jc on Aug 25, 2017 at 3:56 pm
Yukoner, if the tax is to change habits, please explain what habits are you or the government talking about changing?
Up 29 Down 0
June Jackson on Aug 25, 2017 at 1:31 pm
The survey is merely lip service and the carbon tax a money grab for a government that is spending like a drunken sailor on shore leave... Just like everyone else, I also know who is going to foot that bill and who is not.. Silver campaigned on a we wouldn't have to pay a carbon tax not on a we'll give it back.. Silver has been a huge disappointment as a leader as has Pauline Frost.. Paslowski still had to go.. but, I just expected better from this government. Federally we are hooped..and it's going to get much worse if Trudeau actually goes after small business and the professional corporations.. (I can see our doctors heading over the border now for 1/3 the taxes, and 75% more money.)
Up 16 Down 4
Yukoner on Aug 25, 2017 at 12:55 pm
Before you solve a problem you develop a plan and than look how to fund it.
Environmental people who understand this subject better then I do, or most people, don't agree with approach of a carbon tax. Tell me what country has a carbon tax? All the BC carbon tax has done has driven up the cost of living residents of that province. CO'2 are still increasing. Just a new source of revenue for Territorial/provincial/Federal Government. Right now our cost of food has gone up in the Yukon because of the carbon tax in BC. Take a part of the infrastructure dollars and use those funds to reduce carbon. For example, City of Winnipeg and Scotland are changing to electric driven transit buses. The Feds fund City of Whitehorse new transit buses that create so much CO's that they are creating an unhealthy situation for the residents of Whitehorse especially our seniors. Wilf Carter
Up 30 Down 3
north_of_60 on Aug 25, 2017 at 12:10 pm
Bagnell and Silver might as well start looking for new jobs now. The TrudeauTax will ensure their defeat in the next elections. Both of them could have worked for Yukon exemption, instead they followed the orders from their Liberal masters. We need politicians who work for Yukoners, not the Liberals.
Up 36 Down 1
Max Mack on Aug 25, 2017 at 11:04 am
I am completely opposed to a carbon tax. In addition to slowing the economy and having no discernible impact on levels of anthropogenic CO2 or climate change, I see it both as a wealth-transfer scheme and a cleverly veiled tax designed to massively subsidize the "green energy" sector. Hardest hit will be the middle class.
Why bother filling out YTG's "survey"? There is no option to oppose a carbon tax from what I can see. Answering their loaded questions is tantamount to agreeing to a carbon tax.
Up 7 Down 27
Yukoner on Aug 24, 2017 at 7:37 pm
Wilf: The tax is national initiative. It is the territory that has chosen to return the tax collected directly to Yukoners. Other provinces (and possibly territories) do not have to do so. BC has had a carbon tax for years and they do not return 100% of it to the rate payers. The point of the tax is the change habits, which may still occur despite a once yearly or quarterly rebate cheque in the mail.
Up 29 Down 2
Just Say'in on Aug 24, 2017 at 7:21 pm
Look who is sitting in on the negotiation. They do not care about us, it is just about which of them will get it.
For instance why are the First Settlers at the table? They already get all their taxes back from the feds and now they want more.
Up 29 Down 0
jc on Aug 24, 2017 at 5:38 pm
I know none of these ideas are coming from Silvers. He'll just wait till the feds come up with an idea and go along with it. So far, he hasn't come up with anything except to say he will go along with the fed government. Which is why his gov sent out the questionaire to Yukoners. Which is also a scam cause his gov won't impliment any of our ideas anyway. Then, he can say later, I asked.
Up 32 Down 1
Boyd Campbell on Aug 24, 2017 at 5:01 pm
You need only take a drive to Vancouver to see the carbon tax in action. Van/Squamish area 1.35 to 1.40 a litre. The further you drive north the cheaper gas becomes.(go figure) North of 60 is selling gas to limited companies for .91 cents a litre in Whitehorse. The carbon tax is the biggest scam you will encounter in your lifetime.
Up 47 Down 2
truth on Aug 24, 2017 at 2:50 pm
This tax, like all other is based on lies and deceit. It is an extortion racket, steeling from honest wage earners. Save money by NOT implementing legalized theft. This collection of fools is clearly running out of other peoples' money. Ponzi schemes always fail... Destroying the working class will end the welfare nanny state for all.
Tax is theft. End the theft.
Up 50 Down 1
The carbon tax does not work on Aug 24, 2017 at 2:32 pm
Why go through collecting the tax and giving it back to all Yukoners on what they paid in carbon tax in actual terms by actual receipts, showing how much carbon tax each individual paid.
If 100% is given back to Yukoners, than why have the tax at all?
Wilf Carter