Fuel Excise Tax on Hold But Inflation is Not

The U.S.-Israel war on Iran has thrown global oil prices into turmoil and there is plenty of fallout for consumers. Travelling to Europe this summer? That’s in jeopardy, as jet fuel may run out.  Looking for relief at the pumps instead? The recently announced suspended federal excise tax on gasoline, unleaded aviation gasoline, diesel fuel and aviation fuel here in Canada will soften the blow, but only temporarily: it will be zero from April 20 to September 7, 2026. Here’s what you need to know:

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Happy New Year 2025!  In case you missed it, there was some late year tax news to share from Finance Canada: an extension to the charitable donation contribution deadline from December 31, 2024 to February 28, 2025. In a second announcement, the automobile expense limits for 2025 were finally announced. Here’s what you need to know:

The federal government will restrict the deductibility of rental income expenses where short term rental ventures fail to meet local regional by-laws starting in 2024; based on tax law passed on June 20, 2024.  However, there are also provincial tax consequences when it comes to real estate taxation in two provinces, that should be noted:  

Tax Filing Milestones for January, February and March 2025:  Mark your calendar for these upcoming tax, investment and financial milestones and remind your clients.  Check it out - don’t forget the brand new deadline on February 28, 2025 below:

It was a controversial move that contributed to the resignation of Canada’s Finance Minister:  a GST/HST Holiday and a proposed $250 Working Canadian’s Rebate for those who filed a 2023 tax return, had a net income under $150,000, and also contributed to the CPP.  Was it a good idea? The future of the Working Canadian’s Rebate remains uncertain, as it was noticeably absent from the government’s December 16 Economic statement, and that’s okay by Knowledge Bureau Report readers:  85% answered no to going ahead with this poorly-received program.  Here’s what our readers said: