CALGARY — The Canadian Taxpayers Federation (CTF) is calling on Prime Minister Mark Carney to slash fuel taxes, arguing Ottawa has a direct hand in driving up costs for Canadians already struggling with high prices at the pump.The CTF says the federal government can deliver immediate relief by reducing or eliminating fuel taxes, rather than exploring new measures to offset rising costs. “Carney says he’s looking at how to ‘cushion the blow’ of high fuel prices right now and the fastest, simplest and easiest way for him to do that is to stop charging high gas taxes,” said Franco Terrazzano, the federation’s federal director.Carney has acknowledged affordability concerns, telling reporters his government is examining ways to ease pressure on drivers as fuel prices remain elevated..But the CTF argues Ottawa is part of the problem, pointing to a layered system of taxes and regulations that add significantly to the price of gasoline.Federal fuel taxes alone account for roughly 26 cents per litre at current prices, while provinces impose additional levies ranging from 7.5 cents to 19 cents per litre.On top of that, most provinces east of Manitoba apply sales taxes to both the base price of fuel and the taxes already embedded within it — a “tax-on-tax” system critics say compounds costs as prices rise.In major urban centres such as Vancouver, Victoria and Montreal, drivers also face additional transit-related levies at the pump, pushing total taxes in some cities to as much as 65 cents per litre.The CTF notes several countries — including Australia, Italy, Spain, Ireland and Portugal — have moved to cut fuel taxes in response to rising global energy costs, urging Ottawa to follow suit.“Drivers are feeling the pain of high gas prices and taxes are making things more expensive,” Terrazzano said.“Carney needs to immediately make life more affordable by ending all carbon taxes, cutting fuel taxes and eliminating tax-on-tax.”
