Taxpayers group urges B.C. to suspend fuel tax amid high gas prices

The Canadian Taxpayers Federation is calling on the Government of British Columbia to suspend its provincial motor fuels tax, arguing the move would reduce costs for drivers as gasoline prices remain elevated.

In a statement, the group said drivers in regions including Metro Vancouver and the Capital Regional District are paying more than $2 per litre for fuel, while prices in other parts of the province are մոտ $1.80 per litre. “B.C. drivers pay the highest gas prices in the country because of the highest gas taxes from the province and regional districts,” said Carson Binda. He added that Premier David Eby could provide relief by reducing provincial taxes.

According to estimates cited by the federation, taxes on a typical 64-litre minivan fill-up amount to about $40.07 in Vancouver, $35.65 in Victoria and $31.55 elsewhere in the province. The provincial motor fuels tax contributes 8.5 cents per litre in Metro Vancouver and 14.5 cents per litre in other regions, with additional levies in Metro Vancouver tied to regional transit funding.

The group said suspending the provincial portion of the tax would save drivers about $5.44 per fill-up in Vancouver and $9.28 in other parts of B.C. It also linked rising fuel costs to global factors, including conflict in the Middle East, while arguing provincial policy choices can still affect final prices at the pump.

The federation also criticized a recently announced $400 million provincial fund for defence-related industries, stating the money could instead be used to offset the cost of a temporary tax suspension. Connect Newsroom contacted the B.C. Ministry of Finance for comment. No response by publication time.