Fuel Tax and Gasoline Tax
Gasoline and fuel is expensive at the pump in Canada because governments impose taxes. The Government of Canada imposes taxes on petroleum products pursuant to the Excise Tax Act. The Government of Ontario imposes taxes on gasoline pursuant to the Gasoline Tax Act and on fuel pursuant to the Fuel Tax Act.
In addition, companies engaged in fuel related businesses need to be aware of goods and services tax (“GST”), harmonized sales tax (“HST”) and customs issues. While not gasoline and fuel taxes, when the government is asking for more money, the title of the tax is overshadowed by the tax dispute.
We provide legal advice to companies engaged in the business of extracting resources, refining fuels, selling gasoline and fuels, importing gasoline, fuel bitumen and other petroleum-related products. We provide assistance in preparing transaction documents and in compliance with Canada’s laws. We provide supportive assistance during audits and react to assessments.
How can we help you?
- Do you need a ruling in order to comply with the law?
- Are you looking for opportunities to save non-recoverable tax?
- Are you involved in a related party reorganization?
- Are you being audited and need assistance organizing records for the audit?
- Has an auditor raised a compliance or remittance issue?
- Has the auditor asked you to sign a waiver?
- Are you near a limitation period?
- Has an auditor issued an assessment?
- Would you like to file a Notice of Objection and need assistance framing the arguments?
- Would you like to file an appeal?
- Is the government taking collection action (e.g. registered a lien against the property)?
- Has an auditor assessed a director?
- Do you need assistance in registering your business? Do you require assistance to obtain a license?
- Do you have a disagreement over the amount of security that must be deposited?
- Are you involved in a transaction involving the purchase or sale of a business that manufacturers, buys, imports, sells or packages a excisable good?
LexSage
LexSage has extensive experience in providing sage and proactive gasoline and fuel advice and reactive assistance in responding to claims. Based on almost 20 years of experience at Canada’s top law firms, Cyndee Todgham Cherniak has helped numerous clients obtain rulings from the governmental authorities, survive an audit and file notices of objection where a disagreement has arisen.
Representative transactions:
- Successfully assisting a business respond to and reduce a significant proposed assessment of federal excise tax relating to exported gasoline and fuel;
- Successfully assisting an importer of gasoline and fuel products respond to a CBSA and reverse a determination;
- Successfully assist a U.S. based company comply with Canadian gasoline and fuel tax laws (and GST) when establishing remote fueling locations and obtain a favourable ruling;
- Prepare documents in connection with the sale of a business involving the manufacture and sale of fuel;
- Assist a Canadian importer of fuel in connection with GST/HST customs rules that apply to continuous commodity transmissions; and
- Advise a company importing bitumen from outside Canada.
Cyndee is the Chair of the Canadian Bar Association, National Sales Tax, Customs and Trade Section. She has been recognized as an up and coming commodity tax lawyer in Canada’s L’Expert directory. Cyndee is the founder of www.thehstblog.com.
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