-- CTF Takes Fight for Lower Gas Taxes Straight to the Pumps --

Gas Tax Honesty Day Report

Fact Sheet

BURLINGTON: The Canadian Taxpayers Federation (CTF) today held a national news conference in Burlington, Ontario and regional news conferences in Edmonton, Calgary, and Winnipeg to raise awareness of government tax gouging at the pumps. The CTF also released a research paper documenting the growth in gas taxes over the past 30 years as the major contributor to high gas prices.

"The real problem with gas prices is that taxes are keeping them high," said CTF federal director Walter Robinson. "On average, 54% of the pump price is taxes and nothing else. With each $20 fill-up, almost $11 goes directly to various levels of government. And the feds only return only 5% of the $5 billion they collect each year in fuel taxes back to the provinces for road development and construction."

Speaking outside a service station in Burlington, Ontario, Robinson unveiled a CTF banner noting that gas taxes are 50% of the pump price. The banner also contains a simple message to all levels of government when it comes to gas tax, 'Use it or Lose it.' In addition to CTF signage, a roadside sign indicating the pre-tax price of gas also demonstrated the full extent of the tax take at the pumps.

The CTF also released a position paper that documents the increase in gas taxes over the past 30 years as the major driver toward higher gas prices. The CTF recommends:

• A reduction of federal and provincial fuel taxes to levels commensurate with highway funding;
• Dedication of fuel tax revenues to highway construction and maintenance;
• Elimination of GST and HST charges on the tax component of the pump price;
• Elimination of municipal tax levies at the pump; and
• The encouragement of service stations to post pre- and post-tax prices on appropriate exterior signage.

"Many consumers are hyper-price sensitive before long weekends so this is the ideal time to re-frame this debate with all the facts at hand," added Robinson. "Gas taxes are at an all-time high, while actual costs for oil are at record lows. Lower fuel taxes will lead to lower pump prices. It's time for motorists to demand an end to government tax gouging at the pumps."