Taxation

During oral questions on taxation, Conservatives pressed the government to support their bill, the Used Car Tax Cut Act, which would remove the GST from used vehicle sales by making them zero-rated under the Excise Tax Act. They argued used car prices have roughly doubled in recent years, that the same car can be taxed multiple times as it is resold, and that families depend on vehicles to get around. Liberal ministers replied by listing the government’s affordability measures, including the suspension of the federal excise tax on gasoline, the removal of the GST for first-time homebuyers, and programs such as dental care, child care and grocery supports, and said Conservatives should vote for those plans rather than only complain. Several exchanges also turned to broader arguments about which party’s record on affordability was stronger.Written by AI from the debate. Updated .

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4 statements

Andrew Lawton, Elgin—St. Thomas—London South

Conservative
“Used cars cost too much, and the government taxes them every time they are sold. I want the government to support our bill to take the sales tax off used cars.”
Official Hansard

Mr. Speaker, we know how bad inflation has gotten in Canada. We know grocery prices are through the roof. Fuel prices are skyrocketing, and even the cars that Canadians need to fuel up are becoming more and more unaffordable for the middle class. The prices of used cars have doubled in the last seven years in this country, and the government is still putting the federal sales tax on them each and every time they are sold, sometimes collecting double, triple or quadruple revenue off the backs of Canadians. Conservatives come armed with solutions. We have Bill C-285, which would take the GST off of used cars and save Canadians thousands. Will the Liberals support it?

Fred Davies, Niagara South

Conservative
“The price of used cars has doubled because of this government. Taxing used cars is wrong. I want the government to remove the GST from used car sales.”
Official Hansard

Mr. Speaker, there is no rhetoric or bluster here, as the minister does his fancy dance over there. The price of used cars has more than doubled over the last several years as a result of the government’s inflationary policies. Taxing a vehicle twice is wrong. We on this side believe that cars are not a luxury, and for many people, they are a lifeline. On this side of the House, we would zero-rate used vehicles under the Excise Tax Act. Will the Liberals stop profiting off of inflation and remove GST from the sale of used cars in this country?

Gérard Deltell, Louis-Saint-Laurent—Akiawenhrahk

Conservative
“Used cars cost twice as much as they did seven years ago, and families need them to get around. We want the government to remove the GST from used cars. I want the Liberals to say if they agree with us.”
Official Hansard

Mr. Speaker, used car prices have doubled over the last seven years. The average price of a used car is now $36,000. That is a lot of money, especially for families in the regions who need a car to get to work and get around. We think only one tax should apply to used cars, but unfortunately, used cars are still also subject to GST. We want to take the GST off used cars. The Liberals have already axed the carbon tax, as the Conservatives were calling for. Do they agree with us that there should be no GST on used cars?

Andrew Lawton, Elgin—St. Thomas—London South

Conservative
“I want the government to support our bill and remove the GST from used cars. Driving is a necessity, and used cars get taxed over and over again.”
Official Hansard

Mr. Speaker, if we took the tax off all used goods, their talking points would be tax-free. We asked the question four times, and got zero answers. We came with a solution: a Conservative bill to save Canadians thousands of dollars by taking the GST off used cars, which are taxed two, three and even four times, as many times as the Liberals avoided answering the question. It is a very simple question: In my part of the country and for MPs across the House, driving is not a luxury but a necessity, so will the Liberals join us and take the GST off used cars?

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