The simple truth about the Carbon Tax
The carbon tax appears to be an issue that’s been fed by more misinformation than information.
There seems to even be some disagreement about whether the Carbon Tax is in fact a tax. It is. Here’s how it works: for larger industrial facilities, the charge is applied to emissions-intensive trade-exposed (EITE) industries and fossil fuels, such as gasoline and heating oil.
The idea is to put a price on carbon pollution. The confusion about whether this is a “tax” or not comes from the fact the Greenhouse Gas Pollution Pricing Act (that’s the tax’s official name) is designed to be revenue neutral.
It taxes carbon pollution and then places an equivalent back into the pockets of the consumers who will be paying higher prices for carbon-intensive products. The logic is that consumers will make greener choices when facing the premiums they will have to pay on these products.
Everyone who files a tax return is eligible for a Climate Action Incentive payment.
And the amounts are not insignificant:
These rebates are also scheduled to increase up to $718 annually for a family of four in 2022.
It being tax season, make sure you file for your Climate Action Incentive payment. We believe that every single one of our clients will be eligible to collect.
What do you need to file? It’s a simple form – Schedule 14 –available online. And for a government form, it’s very straight ahead.
So file for your Climate Action Incentive. You’re entitled.
Please pass this along to anyone in your circle who’s trying to understand the Carbon Tax.
1370 Don Mills Road, Suite 211, Toronto, ON M3B 3N7