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Stop 'tax-on-tax' at the pumps: Taxpayers Federation
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CTV.ca News Staff
Date: Thu. May. 26 2011 9:08 PM ET
Motorists already feeling the pinch at the pump are being reminded Thursday how much of the cost is actually tax.
The 13th annual Gas Tax Honesty Day, held by the Canadian Taxpayers Federation, is a call for Prime Minister Stephen Harper to stop charging HST or GST on top of the provincial and federal gas taxes.
"At one time Stephen Harper's Conservatives were committed to ending the nefarious practice of charging the GST on the entire pre-tax price of gasoline and the provincial and federal gas taxes," said Derek Fildebrandt, national research director for the federation, in a press release. "We're hoping he still feels the same way."
The federation said the average tax paid across Canada is more than 28 per cent of the purchase.
Motorist Dave McManus told CTV Atlantic the cost of even filling jerry cans is getting too expensive.
"Years ago it would be nothing to fill up a couple of jerry cans. Now, it's just brutal," he said. "The price of gas is just going right through the roof."
The federation calculated that the tax-on-tax at the pump costs Canadians 2.4 cents a litre and the average two-car family will pay more than $1,000 in gas tax every year.
"Part of the ambition of this campaign is to raise that issue and to show people exactly how much tax you're paying – 38 cents per litre on the price of gasoline is outrageous," said Kevin Lacey, the Atlantic Canada director for the federation.
Nova Scotia's Finance Minister Graham Steele said he doesn't understand why the organization is getting as much attention as it does.
"It's a right wing anti-tax organization that has no commitment to fairness or accuracy" Steele said.
Still, Canadian drivers like Ray Joyce wonder where all the money is going.
"It's supposed to fix the roads, road taxes. But the roads are terrible," Joyce said. "I mean it's the worst condition I've ever seen them. So hopefully they'll spend the money on that if they're going to keep taking it from us."
With files from CTV Atlantic's Mike Cameron
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