Canadian Supreme Court upholds carbon tax in 6-3 vote

News

Constitutional challenge could have caused a huge headache

At issue was whether the Federal Government had the power to force provinces to implement a carbon tax. In a 6-3 decision, the Canadian Supreme Court agreed with Trudeau’s Liberals that they did.

“This matter is critical to our response to an existential threat to human life … As a result, it passes the threshold test and warrants consideration as a possible matter of national concern,” the judgement said.

Canadian politics will be interesting this year. Trudeau has a minority government and will roll out a new budget next month. After that or after the vaccine rollout, he’s likely to call an election and try to get a majority.

He’s riding fairly high in the polls and a vaccine will help.

The playbook will be for him to say as little as possible during the campaign and then hike taxes after he has a majority, particularly on the wealthy and focusing on capital gains as well. This decision could also give him the power to increase the carbon tax.

Invest in yourself. See our forex education hub.

Articles You May Like

TJ Maxx parent says holiday shopping is off to a ‘strong start,’ but its guidance tells another story
Rocket Lab stock surges almost 30% to near all-time high after company’s Q3 results
Trump might name Kevin Warsh as Treasury chief then Fed chair later, report says
Sterling Gains Slightly as UK Inflation Accelerates; Euro Struggles Despite Wage Surge
Gold prices continue to drop amid a strong dollar and US inflation concerns; check rates in your city