Alcohol is about to get more expensive in Canada. Can the price hike be stopped?
Canadian residents might notice that their next trip to the liquor store sets them back further than usual.
On April 1, the federal government's annual escalator excise tax will go into effect, raising the price of beer, wine, and spirits by just over six per cent.
While buying a few beers at The Beer Store in Markham, Ont., customer Scott Maple told CTV News Toronto he didn't support the price hike.
“I really hope they don't implement that,” Maple told CTV News Toronto. “It just seems so unnecessary at this time.”
Some brewers and consumers are hoping the tax can be stopped before it goes into effect.
According to the Canadian Taxpayers Federation (CTF), taxes already make up 50 per cent of the cost of beer, 65 per cent of the cost of wine, and 75 per cent of the cost of spirits.
"Canadians are already paying enough tax, more than enough tax every time you buy a pint of beer," Franco Terrazzano, federal director of CTF, told CTV News Toronto.
The CTF is calling on the federal government to scrap the alcohol tax increase.
Terrazzano noted that the price hike would go into effect the same day that Members of Parliament and Prime Minister Justin Trudeau would get a raise.
“On the very day the carbon and alcohol tax are to go through, Members of Parliament are taking their fourth pay raise since the start of the pandemic," he said.
Beer Canada, a lobby group for brewing companies, believes there is still time to stop the alcohol tax increase when the federal budget is tabled on March 28.
“There is an opportunity for the Minister of Finance Chrystia Freeland to do the right thing and recognize that the automatic increase that is in law today, was not meant to be applied in circumstances like these2," CJ Helie, president of Beer Canada, said.
The Federal Conservative leader and leader of the official opposition, Pierre Poilievre, has said that “Conservatives believe this is the worst possible time to raise taxes,” stating that “planned tax increases on alcohol should be cancelled.”
Even some liberal MPs said they're hearing from their constituents that the tax hike should be stopped, or at least reduced.
Peter Fragiskatos, the Liberal MP for London North Centre, agrees with reducing the alcohol tax.
“I don't believe the tax increase should go ahead and I don't think it should be tied to the rate of inflation," Fragiskatos said.
If the tax does go through some pubs and restaurants say it will impact their bottom line as they continue to try and financially recover from the pandemic.
Even if the tax doesn't go through, beer, wine, and liquor prices are still likely to increase due to transportation, energy, and packaging costs. Beer Canada says beer prices could rise another 10 per cent in 2023.
CTVNews.ca Top Stories
4th Indian national arrested, charged with murder of Hardeep Singh Nijjar
Homicide investigators in B.C. say murder charges have been laid against a fourth Indian national in connection to the killing of Sikh activist Hardeep Singh Nijjar outside a Surrey gurdwara last year.
'I am angry': Alberta farmers will continue fight over world class motorsport resort
The rolling hills leading to the hamlet of Rosebud are dotted with sprawling farms and cattle pastures -- and a sign sporting a simple message: No Race Track.
Man ticketed after allegedly trespassing again at Drake's Bridle Path mansion to get his bike
A man who tried to access Drake’s Bridle Path mansion earlier this week returned to the property Saturday and was apprehended again for allegedly trespassing, Toronto police say.
Couple randomly attacked, 1 stabbed, by group of teens in Toronto, police say
A man has been transported to hospital after police say he was stabbed in a random attack carried out by a group of teens in Toronto on Friday night.
Millions of Canadians have been exposed to potentially toxic chemicals, and they're not going anywhere
For decades, North Bay, Ontario's water supply has harboured chemicals associated with liver and developmental issues, cancer and complications with pregnancy. It's far from the only city with that problem.
Biden calls Trump 'unhinged,' says 'something snapped' in former president after he lost 2020 U.S. election
U.S. President Joe Biden on Saturday called Donald Trump “clearly unhinged” and claimed that “something snapped” in the former president after he lost the 2020 election.
Wildfire that forced evacuation of Fort Nelson, B.C., caused by tree falling on wires, mayor says
The wildfire that prompted the evacuation of more than 3,000 people near Fort Nelson, B.C., was caused by a tree falling on wires, according to the municipality's mayor.
Switzerland's Nemo wins 68th Eurovision Song Contest
Swiss singer Nemo won the 68th Eurovision Song Contest on Saturday night with 'The Code,' an operatic ode to the singer’s journey toward embracing their nongender identity.
IN PICTURES Northern lights dance across the night sky in southern Ont.
From London, to Grand Bend, Collingwood and Guelph, here are some highlights of Friday night and Saturday morning's northern lights display.