Wednesday, March 22, 2006

- Give drivers a break - Editorial - Give drivers a break

In 2004, the CTF says, the federal government collected $4.25 billion in direct federal gasoline taxes, an 18% increase over what was collected 10 years earlier.

There are a couple of reasons for the federal windfall.

Item 1: In 1995, the feds hiked their gas tax from 8.5c to 10c per litre to help fight the deficit. As we keep reminding the government, it has long since been slain.

Item 2: The GST is added on to the per-litre price including federal and provincial taxes -- a tax on a tax that marches steadily upward.

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