Canada's New Fuel Surcharge

Video: Canada's New Fuel Surcharge

A new federal fuel surcharge came into effect on April 1, 2019. Fuel purchases that will be eligible for exemption must be delivered and stored on the farm. Fuel must be used exclusively on the farm in eligible farm machinery. That means anything used for farming including farm trucks, tractors, stationary or portable engines, etc. Cars, or equipment used to heat or cool a building do not quality for the exemption. Visit Canada Revenue Agency for a full listing of eligible machinery and vehicles. To qualify for the exemption, farmers must complete a Fuel Charge Exemption Certificate for Farmers (Form L402) – a form available from the Canada Revenue Agency website.