Federal fuel tax relief extended through January 2027

On September 8, 2026, the Government of Canada announced an extension of the temporary suspension of the federal fuel excise tax, first introduced on April 20, 2026. The relief keeps gasoline and unleaded aviation gasoline 10 cents per litre cheaper, leaded aviation gasoline 11 cents per litre cheaper, and diesel and aviation fuel 4 cents per litre cheaper than usual rates.

The full suspension now runs through January 31, 2027. From February 1 to March 31, 2027, rates return at half their normal level before going back to full rates on April 1, 2027. The extension is expected to cost about $2.9 billion, bringing total fuel tax relief for 2026-2027 to roughly $5.3 billion.

For more details, see the original announcement on Canada.ca.