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Major alcohol tax to hit April 1st

By Ryan Forbes Mar 27, 2023 | 1:51 PM

Canadians should stock up on their beer, wine and spirits before Friday, as Ottawa will be introducing a 6.3 per cent tax on all alcohol sales as of April 1.

The Liberal government introduced the ‘escalator tax’ on all beer, wine and spirits in 2017 – which called for excise taxes on alcohol to automatically increase at the rate of inflation, without approvals.

But when it was introduced – no one was expecting a multi-year global pandemic and economic crisis. Now, Canadians are facing inflation rates above 6 per cent and alcohol is the next to feel the increase.

Kenora MP Eric Melillo notes he and the PC party continues to fight against the tax, which passed with support from all opposition parties in 2017.

“This year’s increase on alcohol will be the largest in decades and will unfairly punish craft breweries, local restaurants and lodges that are already struggling with increased costs due to 40-year inflation highs,” he explains.

“It will also make it more difficult for Canadians to enjoy a drink after a long day’s work, or while relaxing with friends or celebrating with their families,” he adds.

The Canadian Taxpayers Federation is calling for a stop to the scheduled tax hike, noting Canadians already pay about half the price of beer in taxes as it is.


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