Budget 2016 moves Alberta forward with rebates to help families adjust to the carbon levy

Budget 2016 moves Alberta forward with rebates to help families adjust to the carbon levy

Families - carbon rebateBeginning in January 2017 to coincide with the introduction of an economy-wide price on carbon, low and middle income families and individuals will be eligible for rebates to help them adjust.

“Every dollar collected from our Climate Leadership Plan will be put to work here in Alberta— diversifying our economy and creating jobs while helping families, businesses and communities adjust. We are committed to providing Albertans with the support they need to take action and help make Alberta a leader in the fight against climate change.”

Shannon Phillips, Minister of Environment and Parks and Minister Responsible for the Climate Change Office

To offset the typical consumer costs that may result from Alberta’s new carbon levy, 60 per cent of Alberta households will receive a full Climate Leadership Adjustment Rebate. An additional six per cent will receive a partial rebate. This rebate is a key part of Alberta’s Climate Leadership Plan to take action on climate change and protect Albertans’ health, environment and economy for future generations. It is being introduced as new performance standards on heavy emitters are established to ensure industry is doing its part.

To help lower- and middle-income households in 2017, the government will implement rebates of up to:

  • $200 for single adults,
  • $300 for couples, and
  • $30 per child under 18 years of age (to a maximum of four children).

To coincide with the scheduled increase to the carbon levy, in 2018, rebates will increase to a maximum of:

  • $300 for single adults,
  • $450 for couples, and
  • $45 per child.

Rebates will be fully phased out when income reaches $51,250 for singles, $100,000 for couples, $101,500 for couples with two children, and $103,000 for couples with four children. To be eligible, recipients must be Alberta residents, file tax returns beginning with a 2015 tax return and meet income parameters. Albertans can expect to see rebates starting in January 2017.