Canada’s carbon tax is going to mimic Alberta’s plan

May 14, 2017 by Ronjoy Bezbarua

(Source: Huffington Post Canada) The federal government’s plan to impose a carbon tax on provinces that don’t do it themselves is expected to mimic the Alberta carbon program, including rebate payments sent directly to low- and middle-income individuals. The Alberta model applies a tax on carbon generated by burning most transportation and heating fuels, except for those used on farms. It divides the tax revenue among income-based rebates to Albertans, a cut to the small business tax and investments in green infrastructure and renewable energy.Trudeau and Environment Minister Catherine McKenna have always said any revenue from a carbon tax would remain in the province where it is raised, but they have been careful not to say it would go to the provincial government. By following the Alberta model, the federal government can send some of the money raised by the tax to individuals, bypassing provincial governments which refuse to impose their own carbon price. Alberta’s rebates are income based, with a maximum rebate this year of $200 for single adults, $300 for couples and $30 per child. The rebates rise to $300 per person, $450 for a couple and $45 per child in 2018. Read full article….

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