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Green Levies and Taxes

The content below is for informational purposes only. If you are looking to import a vehicle please contact an LP Auto rep to verify information and processes

If you are importing a vehicle into Canada, mostly sports cars or SUVs, you need to know whether or not it will be subject to a "Green Levy" for being fuel inefficient. Check your desired model against the lists provided below.

  • Did you know that vehicles registered prior to March 21st 2007 are not subject to the "Green Levy"?
  • Did you know that Pick-Up Trucks are exempt from any green levies?
  • The excise tax on fuel-inefficient vehicles is calculated on the basis of the weighted average fuel consumption rating as determined in accordance with information published by Natural Resources Canada. For purposes of this tax, the weighted average fuel consumption rating is calculated by combining 55% of the city fuel consumption rating with 45% of the highway fuel consumption rating.

Automobiles that have a weighted average fuel consumption rating of 13 or more litres per 100 kilometres will be subject to the excise tax at the following rates:

  • at least 13 but less than 14 litres per 100 kilometres, $1,000;
  • at least 14 but less than 15 litres per 100 kilometres, $2,000
  • at least 15 but less than 16 litres per 100 kilometres, $3,000; and
  • 16 or more litres per 100 kilometres, $4,000

For greater clarity, the formula in the Notice of Ways and Means Motion for calculating an automobile's fuel-efficiency rating is as follows: .55A + .45B

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