Carbon tax rate changes announced in BC Budget 2020, which were deferred to provide relief to British Columbians as part of COVID-19 support measures, will take effect on April 1, 2021.

For most fuels in BC, the carbon tax rates will increase from the April 1, 2019 rates. The carbon tax on diesel fuel will rise from 10.23 cents/litre to 11.71 cents/litre, an increase of 1.48 cents/litre. The tax on gasoline will rise from 8.89 cents/litre to 9.96 cents/litre, an increase of 1.07 cents/litre. For a complete list of the fuels subject to carbon tax and their tax rates, see Carbon Tax Rates by Fuel Type here.

Also, effective April 1, 2021, the rates for shredded and whole tires are replaced with a new category for combustible waste. Combustible waste includes tires in any form and asphalt shingles as a new taxable combustible.

Please refer to the Carbon Tax Inventory Notice here for more information.

For background on this issue, see the February 19, 2021, Bulletin article, “Carbon Tax Rates Increase April 1”