Small Business Carbon Rebate Will Be Taxed for Now Despite Government Promise

Small Business Carbon Rebate Will Be Taxed for Now Despite Government Promise
Canadian Revenue Agency (CRA) national headquarters in Ottawa on June 28, 2024. The Canadian Press/Sean Kilpatrick
|Updated:
0:00

The federal government has confirmed that small businesses will have to pay tax on their carbon rebate, despite government promises otherwise, because Parliament can’t currently pass legislation to make the payment exempt from income taxes.

But if legislation passes to do that the government says the businesses can apply for a rebate for the taxes paid on their rebate.