Friday, 23 February 2018 14:23

BC Government moves to exempt foreign shipping from Motor Fuel Tax

498 bunker

In its 2018 Budget and Fiscal Plan released Feb 20, the BC Government has moved to support the competitiveness of BC marine fuel exports by eliminating the Motor Fuel Tax on purchases of marine diesel fuels used for international shipping. The impact this tax exemption is forecasted at $7 million per year in savings to the shipping industry.

Thanks in large part to the lobbying efforts led by CLIA North West & Canada, the 2018 Budget report states that “Effective April 1,2018, marine diesel fuel used in interjurisdictional cruise ships and ships prohibited from coasting trade under the Coasting Trade Act is exempt from motor fuel tax. This exemption parallels the existing exemption from carbon tax for these ships. Previously, a ship was only exempt if it had a gas turbine engine.“  

Read 254 times Last modified on Friday, 23 February 2018 14:43
Login to post comments