Vancouver (Kris Sims – BC Director, Canadian Taxpayers Federation) – The Canadian Taxpayers Federation released its annual New Year’s Tax Changes report today to highlight the major tax changes that will occur in 2022.“Everyday life is already unaffordable for many British Columbians and hiking up the carbon tax is just going to make it more difficult,” said Kris Sims, B.C. Director of the Canadian Taxpayers Federation. “The cost of getting to work, heating your home and delivering our supplies will all increase next year.”
The B.C. government is increasing the provincial carbon tax from 10 cents per litre of gasoline to 11 cents on April 1st. At that level, the first B.C. carbon tax will cost about $8 extra when filling-up a minivan.
The increased carbon tax also applies to diesel for vehicles and to natural gas for home heating.
Residents in the Metro Vancouver regional district will see a 3.5 per cent increase in their property tax for 2022, in addition to other property tax changes based on the city they live in.
The Canadian Taxpayers Federation highlighted major tax changes in the New Year across the country.
“If you’re making more than $40,000, the federal government will be taking more of your paycheck every month,” said Franco Terrazzano, Federal Director with the CTF. “From higher carbon taxes to rising alcohol, payroll and property taxes, there’s a raft of tax hikes coming in the New Year.”
Key takeaways from the report include:
- Taxpayers making $40,000 or more in 2022 will see the federal government deduct more money.
- The Canada Pension Plan tax increase will cost workers and businesses an extra $333 each in 2022.
- The Employment Insurance tax increase will cost each worker an extra $63 in 2022 and businesses an extra $89.
- The increase in the federal personal basic amount will save taxpayers $89.
- The federal carbon tax will increase for the third time during the pandemic to 11 cents per litre of gasoline on April 1, 2022.
- Alcohol taxes will increase for the third time during the pandemic on April 1, 2022. Taxes already account for about half of the price of beer, 65 per cent of the price of wine and more than three quarters of the price of spirits.
You can find the CTF’s 2022 New Year’s Tax Changes report here.