Why Is Ottawa Taxing the Same Car Over and Over Again?

Jun 17, 2026 | Canada Watch: National Headlines | 0 comments

By Kevin Dick

Poilievre and Lawton Push to Scrap GST on Used Vehicles
Folks,
I’ve always wondered how governments justify taxing the same product over and over again.
When a new vehicle is sold, GST is collected. Fair enough. But when that same vehicle is sold again as a used vehicle, Ottawa takes another cut. Then it gets sold again, and the government takes yet another cut. The car gets older, but the tax bill never seems to end until it’s finally towed to the wrecker.
Now Pierre Poilievre and Andrew Lawton are proposing to scrap the GST on used vehicle sales. It’s a simple idea rooted in common sense.
For the average used vehicle, that could save Canadians approximately $1,800. At a time when families are struggling with the cost of living, that’s real money that could be used to pay bills, buy groceries, or fill the gas tank. And if provincial governments followed suit by eliminating their sales taxes on used vehicles, the savings would be even greater for Canadians outside Alberta.
Ronald Reagan once criticized government with this famous line:
“If it moves, tax it. If it keeps moving, regulate it. And if it stops moving, subsidize it.”
In Canada, the GST on used vehicles could be summed up this way:
“If it moves, tax it. If it keeps moving, tax it. And if it’s still moving, tax it again.”
According to CTV News, the average price of a used vehicle has climbed from roughly $18,900 in 2019 to about $36,700 in March 2026. As prices rise, governments collect even more GST without lifting a finger. Just like higher gas prices generate more tax revenue, rising vehicle prices mean a bigger payday for Ottawa.
Last year, Mark Carney was accused of plagiarizing Conservative ideas for his election platform. Here’s one more policy he should consider copying. It would put real money back into the pockets of Canadians who rely on their vehicles every day…to get to work, drive their kids to soccer practice, pick up groceries, and visit family.
Bottom line: Canadians are taxed enough. Families are struggling with the cost of living, and government should learn to live within its means instead of treating taxpayers like an endless ATM. It’s time to end the GST grab on used vehicles.

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