Bill 1, An Act to Repeal the Carbon Tax, received Royal Assent on June 4, 2019. The carbon levy no longer applies to any type of fuel as of the beginning of the day on May 30, 2019. Fuel sellers are expected to comply with the changes set out in the Bill.
Contact Canada Revenue Agency (CRA) if you have questions related to the federal fuel charge under the Greenhouse Gas Pollution Pricing Act (Canada).
In Alberta, carbon levy is applied to all purchased fossil fuels that produce greenhouse gas (GHG) emissions when combusted.
For fuels such as gasoline and diesel, the carbon levy is included in the price of the fuel paid by consumers, and administered through a structure similar to Alberta’s fuel tax. The levy is remitted by entities higher up the distribution chain (e.g., refineries and producers).
For natural gas, the levy will be collected and remitted by entities in the natural gas distribution system.
The application of the levy to other fuels, such as coal, propane and heavy fuel oil, will be fuel‑specific, reflecting how the product is produced, distributed, sold and used.
Tax and Revenue Administration (TRA) administers the Climate Leadership Act and Regulation, which provides for the collection of Alberta carbon levy from January 1, 2017 to May 29, 2019, and the refund or rebate of carbon levy to eligible fuel sellers and consumers.
Information for fuel sellers
- Carbon levy – Information for sellers: transportation and other fuels:
- Producing and/or selling transportation fuels (gasoline, diesel, aviation fuels, locomotive fuel, etc.)
- Producing and/or selling other fuels (butane, ethane, propane, liquids, etc.)
- Carbon levy – Information for sellers: natural gas
- Fuel tax and carbon levy – Information for sellers: marked fuel
- Alberta Indian Tax Exemption (AITE) (selling fuel on a reserve)
- Lloydminster Competitive Adjustment Grant
Information for consumers
- Alberta Indian Tax Exemption (AITE)
- Carbon levy – Consumers of aviation fuel
- Fuel tax and carbon levy – Farmers
- Fuel tax and carbon levy – Locomotive fuel users
- Carbon levy – Exemptions:
- Fuel used in an oil and gas production process before 2023
- Fuel used as a raw material, solvent or diluent (not combusted)
- Specified Gas Emitters – opted-in under the Carbon Competiveness Incentive Regulation (CCIR)
- Government of Canada
- Armed Forces and Diplomats of another Country
- Self-Assessors (exempt users using fuel for non-exempt purpose)
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To submit forms
Please note: forms cannot be sent through email. Complete and print your forms and bring, mail or fax them to:
Tax and Revenue Administration
Alberta Treasury Board and Finance
9811 109 Street NW
Edmonton, Alberta T5K 2L5