Beginning July 1, 2020, the Manitoba government will be implementing a flat $25-per-tonne Green Levy and at the same time reducing the PST to 6 per cent.
Premier Brian Pallister announced the plan on Thursday March 5, 2020.
“Unfortunately, the federal government ignored our request to work together as a true partner in tackling climate change, so we have no choice but to act now to protect Manitobans from the rising federal government carbon tax they are bringing in this year,” said Pallister.
The average household in Manitoba will save about $200 in 2022 and over $700 over the next five years through the Manitoba levy.
Pallister noted that 100 per cent of the Green Levy will be returned to Manitobans. A drop in the PST is expected to save about $325 million per year which is $40 million more than the actual cost of the Manitoba levy.
In real dollars the average household in the province will save about $359 in 2022 with the reduction of the PST.
This is the second reduction in the PST in the past year. On July 1, 2019 the province reduced the PST by 1% to 7%.
Manitoba expects greenhouse-gas emissions to be reduced in the province by at least two megatonnes over the five-year carbon savings account period already set in legislation.
© News4.ca 2020
