Learn about the Yukon's carbon rebate

The following groups are eligible for the Yukon Government Carbon Price Rebate:

• Yukon individuals;
• Yukon businesses;
• licensed placer- and quartz-mining operations;
• First Nations governments; and
• municipal governments.

Why are these groups eligible?

The Yukon’s rebate program responds to feedback received from Yukoners between 2017 and 2019. It also meets the Yukon’s commitments under the Pan-Canadian Framework on Clean Growth and Climate Change (PCF).

Read the Yukon Government Carbon Price Rebate Act.

How rebates are calculated

We use forecasts to estimate fuel use in the territory. This allows us to deliver timely rebates to eligible groups. 

Each year, we review fuel consumption trends and estimate the carbon levies that will be paid by each group eligible for the rebate. Our goal is to ensure that each group eligible for the rebate gets more on average in rebates than they pay in carbon levies. 

Groups such as visitors, the Government of Yukon and the Government of Canada do not get carbon rebates. In 2023-24, these groups are estimated to consume approximately 20% of fuel used in the Yukon. 

The table below shows the estimated percentage of carbon levies for 2023-24 for all groups and the percentage of the total carbon rebate that group will receive. Totals may vary due to rounding.

	Estimated levies 2023-24	Rebate
General businesses	34.5%	36.0%
Mining businesses	11.5%	12.0%
Yukon individuals	26.8%	45.0%
Municipal governments	2.6%	3.5%
First Nations governments	2.8%	3.5%
Visitors (tourists)	8.5%	0%
Government of Yukon	12.1%	0%
Government of Canada	0.7%	0%
Other	0.5%	0%

The estimated levies are current as of October 2022 and subject to change. The estimates of carbon dioxide equivalent emissions were calculated using 2021 data. Calculations do not include aviation and electricity.

Eligibility

You're eligible for a rebate if you:

• file a Yukon income tax return for the year prior to the current carbon rebate year; and
• are 19 years or older.

Carbon rebate year

July 1 to June 30

How much will you get?

2022–23 carbon rebate year

You will get:

• $320 total if you live in Whitehorse; or
• $352 total if you live outside of Whitehorse. The remote supplement increases your rebate payment by 10%.

Payments follow the schedule below.

Date	Rebate	Remote supplement
July 2022	$80	$8
October 2022	$80	$8
January 2023	$80	$8
April 2023	$80	$8

2023–24 carbon rebate year

You will get:

• $372 total if you live in Whitehorse; or
• $409.20 total if you live outside of Whitehorse. The remote supplement increases your rebate payment by 10%.

Payments follow the schedule below.

Date	Rebate	Remote supplement
July 2023	$93	$9.30
October 2023	$93	$9.30
January 2024	$93	$9.30
April 2024	$93	$9.30

How you'll get your rebate

The Canada Revenue Agency (CRA) administers the rebate for Yukon individuals.

The CRA provides payments via cheque or direct deposit. Information provided on tax returns is used to determine the payment method.

If you're eligible for the GST/HST credit, your carbon rebate payment will be combined with your GST/HST credit payment.

To reduce administrative costs, 1 payment will be made per family. 

Individuals with dependent children

Your payments will include a rebate for each dependent child.

Married and common-law partners

The 1st person to have their tax return processed will receive both rebates.

Apply for a rebate

You do not need to apply for the rebate.

If you file a Yukon income tax return as a resident of the Yukon, you're automatically applying for a rebate. The CRA uses information from your return to determine your eligibility.

Rebates in previous years

Year	Rebate for Whitehorse residents	Rebate for residents of other Yukon communities
2021-22	$176	$193.60
2020-21	$192	$211.20
2019-20 interim rebate	$86	$86

 

Eligibility

Your company is eligible for the general business rebate if it:

• is a Yukon business;
• files a tax return in the Yukon; and
• has not applied for a placer or quartz mining rebate.

General business rebate

The general business rebate is issued as a refundable credit. The rebate is assessed through your tax return and administered by the Canada Revenue Agency (CRA).

Corporation

Corporations can claim the rebate on their T2 corporation income tax returns.

Unincorporated businesses

Individuals operating an unincorporated business can claim the rebate on their T1 income tax returns.

Trusts

Trusts may be able to claim the rebate on their T3 income tax returns. See the T3 Trust Guide (Canada.ca).

Placer- and quartz-mining businesses

Placer- and quartz-mining businesses can elect to claim the business rebate. However, if your company applies for a mining rebate, you cannot claim the general business rebate for assets at your mining operation for that taxation year. This applies up to January 1, 2023.

How is the credit determined?

Businesses receive a credit based on the value of eligible Yukon assets.

Clean technology assets that reduce fossil fuel consumption are eligible for a Super Green Credit.

This credit is significantly higher than the credit for buildings and other types of equipment.

Eligible Yukon assets

Eligible Yukon assets are divided into 3 categories based on the Capital Cost Allowance (CCA) class as follows:

• Buildings: classes 1 and 3
• Equipment: classes 10, 10.1, 13, 16, 22, 28, 29, 38, 39, 40, 43 and 53
• Assets eligible for a Super Green Credit: classes 43.1, 43.2, 54, 55, and 56 

See an explanation of all the capital cost allowance classes.

How much will you get?

	Categories (per $1,000 in assets)
	Buildings	Eligible equipment	Assets eligible for a Super Green Credit
2023–24	$10.95	$54.73	$109.45
2022–23	$19.81	$99.05	$198.10
2021–22	$4.41	$22.03	$44.05
2020–21	$3.45	$17.24	$34.48
2019–20	$1.72	$8.62	$17.24

Super Green Credit for businesses

The Super Green Credit supports your business as we transition to a cleaner economy. To further encourage future investments in clean technology and equipment, eligible assets have now been expanded to include (but are not limited to):

• zero-emission vehicles 
• electric vehicle charging stations
• air-source heat pumps
• pumped hydroelectric storage equipment

Eligible assets are listed under CCA classes 43.1, 43.2, 54, 55 and 56. For details see classes of depreciable property on the Government of Canada website or seek professional advice.

The full list of eligible assets is available in Schedule II of the federal Income Tax Regulations.

You may also be eligible for a Good Energy rebate for your energy efficient choices.

Why will the rebate decrease in 2023-24?

The Yukon’s carbon rebate program is revenue neutral. All revenues are returned to Yukoners and each eligible group receives a percentage of the total federal levies paid in the Yukon.

Rebates for mining businesses after January 1 , 2023

Starting January 1, 2023 there is a new rebate for mining businesses. This replaces the previous rebates for placer-mining and quartz-mining operations.

Important note

Corporate income tax return forms will not be updated to include the new mining business rebate until August 2023.

If you want to claim the mining business rebate and you have a year-end before August, you can:

• wait to file your income tax return until the updated forms are released; or
• file an amended tax return later on.

Eligibility

Your mining business is eligible for the mining business rebate if it:

• is a Yukon business;
• files a tax return in the Yukon;
• conducts substantially all of its mining activities under a valid class 4 placer mining land use approval or a valid quartz mining licence issued under section 135 of the Quartz Mining Act.

How to get the mining business rebate

The Canada Revenue Agency (CRA) administers the mining business rebate and it is assessed through your tax return. The mining business rebate is issued as a refundable credit. 

Corporations

Corporations can claim the rebate on their T2 corporation income tax returns.

Unincorporated businesses

Individuals operating an unincorporated business can claim the rebate on their T1 income tax returns.

How is the credit determined?

Mining businesses receive a credit based on the value of eligible Yukon mining assets.

Clean technology assets that reduce fossil fuel consumption are eligible for a Super Green Credit.

This credit is significantly higher than the credit for buildings and other types of equipment.

Eligible Yukon mining assets

Eligible Yukon mining assets are divided into 2 categories based on the capital cost allowance (CCA) class as follows:

• Buildings and equipment: classes 1, 3, 10, 10.1, 13, 16, 22, 28, 29, 38, 39, 40, 41, 41.2, 43 and 53.
• Assets eligible for a Super Green Credit: classes 43.1, 43.2, 54, 55, and 56. 

See an explanation of all the capital cost allowance classes.

How much will you get?

	Categories (per $1,000 in assets)
	Buildings and equipment	Assets eligible for a Super Green Credit
Transitional amount: January 1 to March 31, 2023	$5.27 for quartz-mining operations $21.08 for placer-mining operations	$198.10 for quartz-mining operations $792.40 for placer-mining operations
April 1, 2023 to March 31, 2024	$21.08 for quartz-mining operations $84.32 for placer-mining operations	$109.45 for quartz-mining operations $437.80 for placer-mining operations

 

The January 1 to March 31, 2023 values are special transitional amounts available for businesses whose taxation year-end occurs between January 1, 2023 and March 31, 2023. This ensures that all eligible mining businesses can claim the mining business rebate in 2023 no matter when their year-end occurs.

The April 1, 2023 to March 31, 2024 amounts apply for businesses with year-ends between April 1, 2023 to March 31, 2024.

Super Green Credit for mining businesses

The Super Green Credit supports your mining business as we transition to a cleaner economy. It also encourages future investments in clean technology and equipment.

Eligible assets are listed under CCA classes 43.1, 43.2, 54, 55 and 56. This includes:

• zero-emission vehicles (classes 54, 55 and 56); and
• electric vehicle charging stations (classes 43.1 and 43.2).

Find more tax savings and the energy technical guide for CCA classes 43.1 and 43.2 on the Government of Canada website.

You may also be eligible for a Good Energy rebate for your zero-emission vehicle or electric vehicle charger.

Exploration companies

Operations that do not meet the licensing requirements for the mining rebate may be eligible for the general business rebate.

Rebates qualify as income

You must report your rebate as income on your tax return.

You cannot claim both the general business rebate and the mining business rebate for the same assets.

Rebates for Yukon placer- and quartz-mining operations before January 1, 2023

Yukon placer- and quartz-mining operations will continue to be eligible for the pre-2023 mining rebate for fuel purchased in 2022.

The application deadline is September 30, 2023.

After January 1, 2023 there is a new rebate for mining businesses.

You can apply for a rebate if you're an eligible:

• placer-mining operation; or
• quartz-mining operation not subject to the federal Output Based Pricing System (OBPS).

Eligibility

You can apply for a rebate on carbon levies paid for mining purposes permitted by:

• a valid class 4 placer mining land use approval; or
• a valid quartz mining licence issued under section 135 of the Quartz Mining Act.

Placer-mining operations

The rebate is for 100% of carbon levies paid for production on eligible placer-mining claims.

Apply for a rebate

Quartz-mining operations

The rebate is for:

• 100% of the carbon levy on the initial 6 kilotonnes; and
• 50% of the carbon levy on all emissions between 6 to 10 kilotonnes.

Apply for a rebate

Exploration companies

Operations that do not meet the licensing requirements for the mining rebate may be eligible for the general business rebate.

Rebates qualify as income

You must report your rebate as income on  your tax return.

Rebates for First Nations governments

First Nations governments receive a rebate by March 31 each year. It covers the period from April 1 of the previous year to March 31 of the current year.

Rebates for municipal governments

Municipal governments receive a rebate by April 1 each year. It covers the previous fiscal year.

The current federal price on pollution is $50 per tonne of carbon dioxide equivalent (C0₂e) emissions.

On April 1, 2023, it will increase to $65 per tonne.

The federal price on pollution will rise by $15 per tonne on April 1 each year until it reaches $170 in 2030.

Fuel charge rates

As of April 1, 2023, the federal fuel charge rates will be:

• gasoline 14.31 cents per litre;
• light fuel oil (diesel or heating) 17.38 cents per litre; and
• propane 10.06 cents per litre.

See the Yukon’s fuel charge rates for 2023 to 2030. Look under Table 2.

Exemptions

Federally exempt industries include:

• commercial fishing; and
• agriculture.

Negotiations with Canada since 2016 also resulted in targeted relief for:

• aviation fuel in the territories;
• diesel for electricity generation in remote communities; and
• partial relief for greenhouse operators.

Register for a fuel-charge program or exemption certificate

Carbon pollution pricing is a federal initiative. Visit Carbon pollution pricing – what you need to know for information on:

• registering for the federal fuel-charge program; and
• exemption certificates.