Canada Extends Federal Fuel Tax Break Into 2027

Canada is extending its temporary suspension of the federal fuel excise tax on gasoline and diesel, giving truckers and other businesses more time to benefit from lower fuel costs.

The tax suspension will continue through January 31, 2027. The regular federal rate is 10 cents per litre for gasoline and 4 cents per litre for diesel.

Starting February 1, the government plans to restore 50% of the regular rate through March 31, 2027. The measure is intended to provide continued relief as fuel prices remain under pressure.