Gas Tax Cut Saves $260 per Family
October 31, 2023NORTH BAY – Vic Fedeli, MPP for Nipissing announced that the provincial government is helping Ontario families and businesses keep costs down, by proposing legislation through its upcoming 2023 Fall Economic Statement that would, if passed, extend the gasoline and fuel tax rate cuts to June 30, 2024.
“We know that every dollar helps, and this gas tax cut will provide an average savings of $260 per household,” said MPP Vic Fedeli. “Our government is continuing to make life more affordable by providing people and businesses relief at the pumps for another six months.”
Since July 1, 2022, Ontario has lowered the gasoline tax by 5.7 cents per litre and the fuel tax by 5.3 cents per litre. The government is proposing to extend the rate cuts so the tax rate on gasoline and fuel (diesel) would continue to remain at 9 cents per litre until June 30, 2024.
The proposed extension to the gasoline and fuel tax rate cuts builds on the government’s other measures to help put more money back into people’s pockets, including:
- Generating $1.1 billion per year in savings, for a total of $3.3 billion since March 2020, to Ontario vehicle owners by refunding licence plate renewal fees and stickers.
- Increasing the general minimum wage by 6.8 per cent to $16.55 per hour as of October 1, 2023.
- Providing an estimated $115 million through the Ontario Seniors Care at Home Tax Credit this year to over 200,000 low-to moderate-income seniors with eligible medical expenses.
The government continues to call on the federal government to, at the very least, pause increases to the carbon tax.
QUICK FACTS
- The government will provide an update on the plan for Building a Strong Ontario through the 2023 Fall Economic Statement, which will be released on November 2, 2023.
- The price paid at the pump is made up of the cost of crude oil, wholesale margins, retail margins, federal excise tax, the federal carbon tax, Ontario gasoline/fuel tax and HST.
ADDITIONAL RESOURCES
- Ontario To Cut Gas and Fuel Taxes For Additional Year
- Ontario Cutting Gas and Fuel Taxes For Six Months To Provide Relief For Businesses and Families
- Gas and fuel tax rate decrease
- Gasoline Tax
- Fuel Tax