Federal Government Promotes Canada Carbon Rebate for Small Businesses and Households

The federal government continues its promotion of the Canada Carbon Rebate, emphasizing its benefits for small businesses and households nationwide. The Honourable Steven Guilbeault, Minister of Environment and Climate Change, visited Pizza Quest in London, Ontario, to mark the final opportunity for eligible small businesses to file their tax returns and receive the retroactive payment of the rebate.

The Canada Carbon Rebate is a substantial initiative aimed at returning $2.5 billion from carbon pollution pricing revenues collected between 2019-2020 and 2023-2024 to approximately 600,000 small businesses. The rebate operates as an automatic refundable tax credit in provinces where the federal pollution pricing system applies.

Starting July 15th, households in provinces under the federal pollution pricing system will receive their quarterly rebate payments, bolstering the finances of Canadians. The federal carbon pricing system ensures that eight out of 10 households benefit more from these rebates than they pay, making a significant impact on household budgets and the overall economy.

A family of four in these provinces can expect specific rebate amounts every three months, providing regular financial support. In a bid to support rural communities, the government has increased the available rebate for households in rural areas and smaller communities from 10 percent to 20 percent of their base Canada Carbon Rebate amount.

The Canada Carbon Rebate is part of Canada’s comprehensive strategy to combat climate change, lower emissions, and pave the way for a sustainable future. Minister Guilbeault highlighted the effectiveness of carbon pricing in reducing emissions while simultaneously supporting Canadian households and businesses.

The Honourable Chrystia Freeland, Minister of Finance, emphasized the positive impact of proper carbon pricing on the economy, ensuring that all Canadians, including entrepreneurs and businesses, reap the benefits. Additionally, the Honourable Marie-Claude Bibeau, Minister of National Revenue, underlined the importance of delivering proceeds from pollution pricing directly to small and medium-sized enterprises (SMEs).

Arielle Kayabaga, Member of Parliament for London West, echoed the sentiment that the return of pollution pricing proceeds empowers Canadians and fosters cleaner growth. She stressed the significance of businesses thriving to support local economies and communities, thus contributing to a sustainable and prosperous future.