09/29/2026
⛽ CANADA PROPOSES EXTENDING FEDERAL FUEL TAX RELIEF
On September 21, 2026, Finance Minister François-Philippe Ch*****ne introduced Bill C-38, the Canadian Fuel Affordability Act, proposing an extension of the temporary federal fuel excise tax suspension.
Here’s what the proposed timeline looks like:
📅 Until January 31, 2027: Full federal fuel excise tax suspension continues.
📅 February 1 – March 31, 2027: Federal fuel excise tax returns at 50% of its regular rate.
📅 April 1, 2027: Regular federal fuel excise tax rates return.
WHAT DOES THIS MEAN FOR BUSINESSES?
For businesses that rely heavily on fuel, including transportation, delivery, construction and agriculture, the proposed extension is worth considering when preparing 2027 budgets and cash-flow forecasts.
Lower fuel taxes do not guarantee lower pump prices, other factors also influence fuel costs.
Bill C-38 has been introduced. The extension remains proposed until enacted.
At Acestar, we help business owners understand their numbers and plan for what’s ahead.
Source: Department of Finance Canada, September 22, 2026.