Manitoba eliminated all provincial taxes on Manitoba-produced pure biodiesel in its 2006 budget presented last week.
“The elimination of the tax on biodiesel further demonstrates our government’s commitment to find innovative solutions to the issues of climate change and rural economic development,” said agriculture minister Rosann Wowchuk in a News release
news.
The province will cease to collect the road tax and provincial sales tax on pure biodiesel that meets the American Society for Testing and Materials fuel-quality standard. The incentive will remain for five years. It provides an 11.5-cent-per-litre advantage over regular diesel and is in addition to the four-cent-per-litre tax break offered by the federal government.
The tax advantage applies to the biofuel portion of biodisel blends.
