- Updated Report Part of CTF's 3rd Annual Gas Tax Honesty Day -
- Taxpayers Launch National Worst Highway Contest -

Study -- Refining Tax from Gas

Provincial Fact Sheets

WINNIPEG: The Canadian Taxpayers Federation (CTF) today held a news conference on McPhillips Ave. near the Perimeter Hwy to raise awareness of Manitoba's deteriorating roads and government tax gouging at the pumps.

The launch of the CTF's 3rd annual Gas Tax Honesty Day campaign included an updated report that details federal and provincial gas tax gouging, the lack of government investment in roadways, and a national petition campaign to culminate in the fall with presentation to the federal Minister of Transport.

"For an off road adventure take a cruise down one of Manitoba's ripped up highways," said Victor Vrsnik, CTF provincial director. "The teeth-chattering experience will not numb motorists to government tax gouging and negligence on road renewal."

"For example, only four percent - or a paltry $190 million - of Ottawa's $4.7 billion take in gas tax revenues last year was plowed back into pavement. This is highway robbery. When it comes to gas taxes, the message is clear: use 'em or lose 'em, added Vrsnik"

"Today we are also launching Canada's 'Worst Highway Contest' and once selected, we'll challenge the Prime Minister and Minister of Transport to drive this patch of pavement," said Vrsnik. "Our guess is that they won't spend much time reading or signing any correspondence on this drive if they have the courage to rise to our challenge."

The CTF study, entitled Refining Tax from Gas provides an historical overview of gas taxes collected by the federal and provincial governments and makes the following recommendations:

• Legislate federal and provincial gasoline tax as a user fee;
• Dedicate gasoline tax revenues to highway construction and maintenance;
• Reduce federal and provincial gasoline tax rates to levels commensurate with road and highway funding;
• Transfer greater share of federal gasoline tax revenues to the provinces for the express purpose of highway development;
• Having fulfilled provincial highway funding requirements, transfer a share of federal gasoline tax revenues to large urban centres for municipal roadway renewal;
• At a minimum, eliminate the 1.5 cent gas tax introduced in 1995 as a deficit fighting measure;
• Eliminate the HST and GST charges on the tax component of the pump price.