The
Canadian federal excise tax on fossil fuels, also known as the
gas tax, rises in proportion with the price of fossil fuel
?s, which as the
price of oil increased sub in the 1998-2008 period, was a common
hot issue issue in Canada.
[+] Graph: Inflation adjusted price of Gasoline in Canada
Positions:
[+] "Gas taxes are a user tax? on motorists"
Adrianne Batra
?, Canadian Taxpayers Federation
?
[+] Increase gas taxes to cover the full cost of carbon emissions.
"to encourage conservation, gas taxes should never be cut" - a typical position of the
Green Parties
[+] Repeal or reduce the Gas Tax to counter high prices.
The federal government could stabilize the price of gasoline at the pump by lowering (or raising) the gas tax to counterbalance movements in the price of gasoline.
- Pro: the government uses the gas tax as a cash cow; dramatic increases in the price of gas propotionally increase the tax bite at the pumps.
[+] Fix the gas tax as flat fee.
The government should not have a tax windfall as a result of jumps in oil prices. The government used to get only 15 cents per litre, now it gets 28 cents.
- Pro: an increasing gas tax is a regressive tax?.