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Manitoba Won’t Charge Provincial Sales Tax on Federal Carbon Levy

March 5, 2019 11:03 AM | The Canadian Press

By The Canadian Press

Brian Pallister

Manitoba Premier Brian Pallister speaks to media after the reading of the throne speech at the Manitoba Legislature in Winnipeg, Tuesday, Nov. 20, 2018. (THE CANADIAN PRESS/John Woods)

WINNIPEG — Manitoba won’t be charging the provincial sales tax on top of the federal government’s carbon levy that kicks in April 1.

Premier Brian Pallister says it wants to shield Manitobans as much as it can from an increase in the cost to their home-heating bills.

He says the exemption will save Manitoba families and businesses a total of $3.6 million this year.

Manitoba is one of four provinces that will have the federal carbon tax imposed on them because it has not come up with a plan acceptable to Ottawa.

Pallister says the government will continue to move forward with its own made-in-Manitoba climate initiatives.

He points out the federal government intends to charge the five per cent GST on top of the carbon tax.

“Ottawa is charging federal sales tax on top of its carbon tax, meaning Manitobans will be hit twice on their natural gas bills,” Pallister said in a release Tuesday.

“The added cost of charging GST on top of the federal carbon tax means Manitobans will have less disposable income at the end of the month.

“Affordability matters and we are ensuring Manitobans will not be triple charged.”

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