Provinces and territories in Canada that do not have their own carbon pricing must follow this Federal Carbon Charge program. It is managed by the Canadian Revenue Agency or CRA (Canadian IRS equivalent).
The provinces and territories that are part of this Federal Carbon Charge program are: Manitoba, New Brunswick, Ontario, Saskatchewan, Nunavut, and Yukon.
Starting in quarter two (Q2) the motor carriers operating or traveling through Manitoba, New Brunswick, Ontario, and Saskatchewan will need to report this Carbon Charge Report as it was enforced on April 1, 2019. The reporting for the territories of Nunavut and Yukon will start in Quarter Three (Q3) as it was enforced on July 1, 2019.
By the time you have to submit quarter three reports in October, you will have to file this new Carbon Charge report for any of these six jurisdictions (four provinces and two territories) if you drive through any of them.
The following link will take you to the Government of Canada website on this matter where you can learn more, specifically how to register and submit this Carbon Charge report for road carriers:
When it comes to fuel taxes, IFTA rates are often impacted by the regulation changes that some jurisdictions do. If individual states or provinces raise their fuel tax, it will in most instances affect motor carriers or trucking companies with a higher IFTA rate for diesel.
In the province of Alberta during the quarter two of 2019, Alberta dropped their own Carbon Charge program causing a split rate for IFTA. So if you traveled in Alberta during this quarter you would have had to pay attention to the dates of this IFTA split rate.
The IFTA split rates and dates for Q2 2019 for Alberta were released as the following:
- April 1 to May 29, 2019
- U.S. 0.5945
- Can. 0.2103
- May 30 to June 30, 2019
- U.S. 0.3760
- Can. 0.1300
So if your motor carrier or trucking company went from Oakland, CA to Calgary, AB between April 1 to May 29 you would have to enter the correct trip date within this time range to calculate the correct rate.
You will find any IFTA rate changes in eTrucks under the IFTA Rates screen. These IFTA rates are used in the program to calculate your IFTA report.
Also when it comes to important new regulation from the U.S. or Canada that affects or forms part of your fuel tax reports, eTrucks will implement these updates. For instance, now you can generate the new Canadian Carbon Charge Report in eTrucks.
Here is ‘How to use the Carbon Charge Report’ in eTrucks:
- Choose year in the drop-down menu.
- Choose quarter in the drop-down menu and
- Click the Show Results button and it will display on the screen. You can also Print Results or Download to PDF or CSV.
Your Charge / (Rebate) will be displayed per province on the table. The total balance will be displayed in the Charge / (Rebate) at the top of the table in Canadian dollars.
Select the checkbox next to Show per Equipment to generate a per truck report.
You never have to worry about IFTA rate changes before or during reporting quarters for your fuel tax reporting with eTrucks.
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