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Eyre claims victory in carbon tax dispute

The Saskatchewan government appears to have been successful in preventing the Canada Revenue Agency from garnishing funds from provincial coffers.

This news comes following an injunction filed by the province after the Canada Revenue Agency attempted to collect money the province refused to pay. At the beginning of this year, Saskatchewan Premier Scott Moe said the province would not collect or remit the federal carbon tax applied to home heating. This decision came after Prime Minister Trudeau announced an exemption for home heating oil, but nothing else. According to the CRA, the province owes north of $56 million.

“We stopped them.” That is according to Saskatchewan’s Minister of Justice and Attorney General Bronwyn Eyre. She continued, “The Province’s bank account and general revenue fund are safe and sound, and the monies remain there, thanks to the Court’s early intervention.”

In a statement, the Minister also revealed that the province reached out to CRA on June 26 to discuss alternatives. The province and CRA have agreed to let Saskatchewan establish a letter of credit that will remain in place until the Tax Court of Canada finalizes the dispute. Eyre said that the province would continue providing the same carbon tax exemption.

National Revenue Minister Marie-Claude Bibeau did not match Eyre’s victorious tone. Bibeau said, “This agreement secures 50% of the outstanding amounts under the Greenhouse Gas Pollution Pricing Act until the full resolution of the dispute, in line with legal requirements.” She continued by saying, “Saskatchewan has committed to secure future outstanding amounts in the same agreed-upon manner.”

Although the deal stops CRA from garnishing the funds directly, it remains unclear if Saskatchewan will be stuck with a multi-million dollar tab.

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Premiers gather in Halifax, tell Trudeau to ‘stick to your lane’

The Premiers from across Canada are in Halifax for annual meetings of the Council of the Federation. There is one clear theme - they want the Prime Minister to stay out of provincial business.

This year’s Chair, Premier Tim Houston of Nova Scotia, wrote to the Prime Minister to “refrain from unilateral actions in areas of provincial and territorial jurisdiction, particularly in health care, education and housing.”

Alberta Premier Danielle Smith indicated she would be introducing a ‘Stay out of my Backyard Bill’ this fall that would require provincial oversight on housing deals between the feds and municipalities. She told reporters, “I think that we share a common interest as premiers. We would really love to see them focus on those things that are economy-building, productivity-building, and stop trying to micromanage our affairs.”

Saskatchewan’s Premier Scott Moe said, “I think you'll hear, likely, a couple of other premiers talk very passionately about the equalization formula as well to maybe not get rid of the program, but to have a very grown-up conversation and a mature conversation about what the program needs to look like in the future." Moe said he'd like to see a new program where 50 percent of the equalization dollars are redistributed on a per capita basis and 50 percent under the existing formula.

The Premiers will discuss issues top-of-mind for Canadians including affordability, healthcare, and more.

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‘This is Shellbrook’: Moe’s new ad

The Saskatchewan Party has released a new 30-second YouTube ad showcasing Premier Scott Moe in his riding of Shellbrook.

In the clip, Moe praises his hometown by speaking about working and marrying his wife there, “It’s why I want to keep our economy strong and growing. So that places like this can have opportunities for our young people, for our next generation.”

The ad is positive when contrasted to the previous negative ads the Sask. Party has developed against the NDP and Justin Trudeau. This ad does not mention the NDP or Trudeau.

The ad ended with the slogan “Strong Economy, Bright Future.”

The Saskatchewan NDP appear to have recently wrapped up their street interview video ad campaign on Meta Platforms. They had been spending ~$4,000 a week on Facebook and Instagram ads.

We can expect many more ads over the coming months heading into a competitive election season this fall.

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More news and info

• Sask. TikTok star Bella Brave passes away at age 10 after lifelong health battle (Saskatoon StarPhoenix)

• Pierre Poilievre worries about threats to his family - but says there’s no need to tone down political criticism (Toronto Star)

• Inflation cools to 2.7% in June, but grocery prices heating up again (Global News)

• Airfares continue to rise from last year - and soar above pre-pandemic levels (SaskToday)

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