Saskatchewan wins injunction to block CRA from collecting carbon tax

The Saskatchewan government says its application for  an  injunction to stop the Canada Revenue Agency from collecting the  province's  federal carbon tax  has  been  successful.
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Watch;
https://globalnews.ca/video/10611565/saskatchewan-wins-injunction-to-block-cra-from-collecting-carbon-tax/
 
 
  "The  court  has  ruled in our  favour  and  stopped  the federal government from unconstitutionally  seizing  money  pending the full hearing and  decision  on  whether  to  uphold  the injunction by the Federal  Court,"  Bronwyn Eyre, the  province's  justice minister and attorney general, said Monday.
 
  Eyre said  the  seizure  of  a provincial bank account  violated  section  126 of  the  Canadian  Constitution.  The  matter  will now go  to  a full hearing. 
 
 
  The showdown between the province and the federal government has been brewing since late 2023, when Premier Scott Moe announced there would be no carbon  tax  on electric  heaters  in Saskatchewan following  the  federal decision to exempt  the  residential  carbon  price  in Atlantic  Canada.
 
  Moe called the exemption unfair and politically motivated and said Saskatchewan should get a similar exemption for natural gas.
 
  Even  though  Saskatchewan  has  stopped  collecting  the federal carbon price on natural gas,  the  province's  residents  will  continue  to  receive  carbon rebate cheques.
 
 
  Warnings in  effect  as  the  remnants  of  Hurricane  Beryl  hit parts of Canada. 
 
  Eyre said the  government  has  threatened to  cancel  refunds,  impose  fines or even  bring  charges against Saskatchewan executives.
 
  In April, the Canada Revenue Agency announced it would audit the province for  nonpayment  of  carbon  taxes.
 
  Prime Minister Justin Trudeau said the CRA is  "very,  very  good"  at  collecting  amounts  owed and wished Moe  "the  best  of  luck"  working  with the agency.
 
  Trudeau has defended his decision to exempt  users  of  diesel  for  heating  homes,  saying  diesel  is  more expensive than natural gas.  Rule  out offering exemptions to other users.
 
 

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