LONDON, ON, July 15, 2024 /CNW/ - Building fairness for every generation means combatting pollution and the devastating and costly impacts of the climate crisis while making everyday life more affordable for Canadians. Canada's approach to pricing carbon pollution achieves both.

The Honourable Steven Guilbeault, Minister of Environment and Climate Change, was at Pizza Quest in London, Ontario, to highlight that today is the final opportunity for eligible small businesses in provinces with the federal pollution pricing system to file their tax returns to benefit from the retroactive payment of the Canada Carbon Rebate for Small Businesses.

The Canada Carbon Rebate for Small Businesses is a new measure that will return $2.5 billion from the revenue collected from the price on carbon pollution between 2019–2020 and 2023–2024 through an automatic refundable tax credit to an estimated 600,000 small businesses that operate in provinces where the pollution pricing system applies.

Also, as of today, July 15th, households in provinces that use the federal pollution pricing system will receive their latest quarterly Canada Carbon Rebate payment for individuals, putting more money back into Canadians' pockets. In jurisdictions where the federal carbon pricing system is in place, eight out of 10 households get back more money through these rebates than they pay. All direct proceeds collected are returned to the province or territory in which they were collected. The federal carbon pricing system helps cut pollution while supporting household budgets.

A family of four in these provinces receives the following every three months:

  • Alberta: $450
  • Saskatchewan: $376
  • Manitoba: $300
  • Ontario: $280
  • New Brunswick: $190
  • Prince Edward Island: $220
  • Nova Scotia: $206
  • Newfoundland and Labrador: $298

To further recognize rural Canadians' higher energy needs and more limited access to cleaner transportation options, the government doubled the rural supplement available for households in rural areas and smaller communities from 10 percent to 20 percent of their base Canada Carbon Rebate amount.

To estimate their potential rebate, eligible residents can use the Canada Carbon Rebate estimator tool for individuals. 

Carbon pollution pricing is the cornerstone of Canada's comprehensive plan to lower emissions and build a more sustainable and prosperous future for all Canadians.

Quotes

"Pricing pollution works. It is the most cost-effective and proven way to cut emissions, while all revenues are returned to Canadians. The impacts of climate change aren't pausing, and we can't afford to, either. The Canada Carbon Rebate puts more money in your pocket every three months. It means Canadians have extra cash on hand for groceries, rent, and the things that matter. This is what climate action is all about—supporting the middle class while leaving a better world for future generations."
– The Honourable Steven Guilbeault, Minister of Environment and Climate Change

"Small and medium-sized businesses are Canada's economic engine, employing nearly two thirds of all Canadian workers. We are empowering our entrepreneurs to scale-up their ideas, grow their businesses, and create good, sustainable jobs, by delivering the tools they need to succeed—like the Canada Carbon Rebate. When carbon pollution pricing is done right, all Canadians—including entrepreneurs and businesses—benefit."
– The Honourable Chrystia Freeland, Minister of Finance

"Small and medium businesses in Canada play a vital role in our economy and communities. They drive local economies, provide employment opportunities, and embody the entrepreneurial spirit. With the upcoming introduction of the Canada Carbon Rebate for Small Businesses, our government is fulfilling its promise to return proceeds from the price of pollution directly to SMEs in provinces under the federal pricing system."
– The Honourable Marie-Claude Bibeau, Minister of National Revenue

"The return of these pollution pricing proceeds are empowering Canadians and encouraging cleaner growth and a more sustainable future. We need to listen to economists, scientists, youth, our communities, and our businesses. It is essential that our businesses can thrive so they can continue being the bedrock of our communities and our economy."
– Arielle Kayabaga, Member of Parliament for London West

Quick facts

  • Carbon pollution pricing is the simplest and most cost-effective way to cut the pollution driving climate change and build a cleaner economy. Without it, it would cost Canada $20 to $48 billion more in subsidies to achieve the same emission reductions by 2030.
  • Canada Carbon Rebate payments are made every three months via direct deposit or cheque to eligible households who have filed their 2023 personal income tax return.
  • The first of four quarterly Canada Carbon Rebate payments for the federal pollution pricing system was issued in mid-April 2024, with subsequent quarterly payments coming in mid-July, mid-October, and mid-January 2025.
  • The Canada Carbon Rebate for Small Businesses was first announced in Budget 2024.
  • The Canada Carbon Rebate for Small Businesses is estimated to return fuel charge proceeds from 2019–2020 through 2023–2024 to approximately 600,000 businesses that operate in provinces where the federal fuel charge applies.
  • The Canada Carbon Rebate for Small Businesses will be available to eligible Canadian-controlled private corporations that had 499 or fewer employees throughout Canada in the calendar year in which the fuel charge year begins and that file their 2023 corporate income tax return no later than July 15, 2024.

Related products

  • How Canada's pollution pricing system works (backgrounder)

Associated links

  • How Carbon Pricing Works
  • How Pollution Pricing Reduces Emissions
  • Canada Carbon Rebate Amounts for 2024–2025
  • Canada Carbon Rebate

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SOURCE Environment and Climate Change Canada

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