Alberta will receive its first carbon tax refund this week

According to the Canadian Taxpayer Federation (CTF), Albertans will be credited to their bank accounts on July 15 as the federal government releases the first batch of carbon tax returns for 2022.

First round on a quarterly basis Climate Change Incentive (CAI) The rebate begins with a “double-up” payment that returns revenue from the first two quarters of the fuel rate year 2022-2023. Two more quarterly payments will be released in October 2022 and January 2023.

Single adults receive $ 269.50. For couples or single parents, the first adult or single parent also receives $ 269.50, and the second adult or single parent child of the couple receives $ 135.

Additional children under the age of 18 (starting with the second child for one parent) will receive $ 67.50 each.

The Free Government’s carbon pollution pricing system sets prices in states that do not have their own systems that meet federal standards, specifically Alberta, Ontario, Manitoba, and Saskatchewan.

The federal government returns the proceeds of the pollution price to the place of origin through the payment of CAI. About 90% of direct income is returned to residents and the remaining 10% is used to support small businesses, farmers and indigenous groups.

PBO report

The federal government has stated that in the four states where Canadians receive CAI payments, “most households receive more than they pay,” but the CTF disagrees. Report According to the Parliamentary Budget Officer (PBO), the government “uses magical math,” and carbon taxes will cost more to the average household.

A PBO report released in March shows that federal carbon taxes cost $ 2,004 for the average Alberta household this year, while they receive a $ 1,333 reward. Considering the rebate, the carbon tax will still cost the average Alberta household a net total of $ 671 in 2022. Similarly, the average household spends an additional $ 360 in Ontario, $ 299 in Manitoba, and $ 390 in Saskatchewan after the rebate.

On July 14, Franco Terrazzano, Federal Director of the CTF, said: statement..

In addition to the carbon tax, he said the federal government also imposes sales and fuel sales taxes on gasoline. Ottawa also plans to impose a second carbon tax in 2023 through fuel regulations. This does not include refunds to Canadians.

Canada’s federal carbon tax is currently $ 50 per ton and will be gradually increased to $ 170 per ton by 2030. Currently, Canadians pay about 11 cents per liter for gasoline and 13 cents per liter for diesel.

According to CTF analysisIn states where Canadians receive CAI, the cost of additional carbon tax costs for the average household will be significantly cumulative over the next few years.

From 2022 to 2030, the CTF estimates that carbon taxes will cost the average household $ 13,041 in Alberta, $ 8,091 in Saskatchewan, $ 8,059 in Ontario, and $ 6,439 in Manitoba. ..

Andrew Chen


Andrew Chen is a reporter for the Epoch Times based in Toronto.