Source: Agricultural Producers Association of Saskatchewan
Loophole leaves producers paying carbon tax on fuel purchased from Cardlocks
The Agricultural Producers Association of Saskatchewan is calling on the federal Ministers of Finance and Environment to make immediate changes to how farm fuels are treated under the Greenhouse Gas Pricing Act that comes into effect for Saskatchewan on April 1, 2019.
The intent of the legislation is to exempt farmers from paying carbon taxes on certain fuels used on-farm. In order to receive this exemption, producers will be required to complete and submit this form to their bulk fuel provider prior to delivery.
“It is our understanding that farm fuel not delivered to the farm, but picked up at Cardlocks across Saskatchewan, is not included in this exemption,” said APAS President Todd Lewis.
Lewis learned of this loophole while attending the Canadian Federation of Agriculture’s AGM last week in Ottawa. Delegates at the meeting heard that the Canada Revenue Agency (CRA) is aware of the issue and are looking at what needs to be done to address it. However, the carbon tax will be applied to Cardlock fuel until a solution is found.
APAS is writing the Ministers responsible and asking for immediate changes before the carbon tax is imposed on April 1.
“With only a few weeks before spring seeding, we have producers phoning our office and asking if they need to be buying additional tanks to store their fuel on farm,” Lewis continued. “It makes absolutely no sense for an exemption to cost producers more money or for legislation designed to reduce carbon to be forcing delivery trucks up and down Saskatchewan roads.”
Background:
APAS is Saskatchewan’s general farm organization – formed to provide farmers and ranchers with a democratically elected, grassroots, non-partisan, producer-run organization based on rural municipal boundaries. As the united voice of agricultural producers and ranchers in Saskatchewan, we strive to represent the views of a wide variety of agricultural stakeholders in order to form comprehensive policies that can benefit all sectors of society. APAS is a member of the Canadian Federation of Agriculture. Learn more at APAS.ca.