Alberta Regulation 71/2024 introduces significant amendments to the Fuel Tax Act and its accompanying regulations. These changes aim to streamline the application of fuel tax, update key definitions, and adjust the administrative process for fuel tax exemptions and remittances.

A practical update in the regulation involves the taxation of liquefied petroleum gas (LPG). According to Section 3 of the amended regulation, no tax is payable on LPG when purchased in sealed containers of up to 4 liters or in pre-filled or refilled cylinders holding up to 28 liters. This adjustment simplifies the process for consumers who purchase small amounts of LPG, often used for personal or recreational purposes, by relieving them of the need to pay taxes on these minor transactions.

In terms of remittance and timing, Section 6(8) has been modified to require individuals or entities liable for fuel tax to remit payments to the Minister within seven days of the tax becoming payable. This replaces the previous, less stringent timeline and is intended to ensure timely remittance and compliance with tax obligations. The amendment is likely aimed at improving the efficiency of tax collection and encouraging prompt payment.

Changes to fuel tax exemption certificates have also been introduced. Under the new regulation, farmers are eligible to apply for certificates to purchase tax-exempt or partially exempt fuel for agricultural operations. This change consolidates farming-specific exemptions into a more accessible framework. Additionally, the Minister of Alberta is granted authority to invalidate federal identification cards in cases where a debt is owed by the certificate holder. The amendments clarify the process for reinstating these cards once the debt is paid, ensuring that individuals and bands can regain access to tax exemptions after resolving financial issues.

The regulation also removes various outdated sections, further streamlining the administrative process under the Fuel Tax Act. For example, Sections 22 and 24–26 have been repealed, as have subsections (2) and (3) of Section 14. These removals eliminate redundant regulatory frameworks. Additionally, the regulation repeals and replaces Section 34, which outlines the duty of consumers holding fuel tax exemption certificates to notify the Minister of any changes in their status, such as bankruptcy or a change in partnership. This ensures that significant status changes are reported promptly.

The removal of obsolete sections and outdated language ensures that the regulation remains relevant to current practices, while the introduction of new provisions, such as the tax exemption for liquefied petroleum gas, reflects the province’s evolving fuel economy. These changes collectively promote both clarity and efficiency within Alberta’s fuel tax framework.

Alberta (71/2024) June 15, 2024