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All MPs should end double tax on used cars

Author: Franco Terrazzano 2026/06/15

OTTAWA, ON: The Canadian Taxpayers Federation is calling on all members of Parliament to support the private member’s bill to remove federal sales taxes from the sale of used vehicles.

“Politicians shouldn’t be treating used Civics as their cash cows,” said Franco Terrazzano, CTF Federal Director. “Removing sales taxes from all used vehicles is a simple way for the government to make life more affordable for people who are struggling the most and all MPs should support this bill.”

Member of Parliament Andrew Lawton introduced Private Member’s Bill C-285, the Used Car Tax Cut Act. The bill would remove federal sales taxes from the sale of all used vehicles.

The bill would save buyers $1,835 on the average used car from a dealership and return $900 million a year to taxpayers, according to the Conservative announcement.

The Canadian Taxpayers Federation has been the leading group calling for all governments to stop charging sales taxes on used vehicles. Charging sales tax on used cars is a form of double taxation as governments already impose taxes on the original sale. Passing Bill C-285 would be a win for every taxpayer shopping for an affordable, second-hand vehicle.

“Canadians already pay GST on new cars and taxing the car again every time it’s resold is double taxation and that’s wrong,” Terrazzano said. “Every MP who says they care about affordability has a simple way to prove it: Pass Bill C-285.”


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Franco Terrazzano
Federal Director

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