The new Federal Fuel Charge (Carbon Tax) will be effective April 1, 2019 in Saskatchewan, Manitoba and Ontario and July 1, 2019 in Nunavut and Yukon (collectively referred to as "Listed Provinces"). The Fuel Charge rates are as follows for the most commonly sold fuel products:
|April 1, 2019||April 1, 2020||April 1, 2021||April 1, 2022|
Exemptions for Farmers
There is also an exemption for fuel that is sold to a farmer if and only if all of the following criteria are met:
- the fuel is "qualifying farm fuel" (which is defined as gasoline or diesel that is for use exclusively in the operation of eligible farming machinery and that all or substantially all of the fuel is for use in the course of eligible farming activities). [Note that propane is not exempt for farmers];
- the fuel is delivered to the farmer at a farm or a cardlock facility (no exemptions at gas bar) [Note that "delivery" is defined to include making the fuel available];
- all or substantially all of the fuel is for use in the course of eligible farming activities; AND
- the farmer provides (and the seller retains) an exemption certificate in this regard.
See Form L402 Fuel Charge Exemption Certificate for Farmers fillable pdf, as well as a Mock example with detailed instructions. Each qualified farmer customer should complete this form as soon as possible and provide it to their Retail (who must keep it on file) and retain a copy for themselves.
Please send in the exemption certificate to email@example.com or fax to (306) 867-1812.