B.C. proves to Ontario Conservatives that ‘revenue neutral’ carbon taxes are a myth

There are lessons to learn from British Columbia’s carbon tax, and the biggest one is for the leader of Ontario’s official Opposition, Patrick Brown.

The lesson is a simple one. Revenue neutrality doesn’t happen.

Politicians sold a carbon tax to British Columbians on the promise of revenue neutrality – the idea that the overall tax burden on the public remains the same because the carbon tax is offset by tax reductions in other areas.

But a recent study by the Fraser Institute has found that British Columbians are on track to experience a $599 million net tax hike from 2013–14 to 2016–17 as a result of a carbon tax that politicians sold to them as “revenue neutral.”

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