In her endless thirst to confiscate more money from taxpayers, Ontario premier Kathleen Wynne is planning on a tax increase for air travelers in her province:
The fuel tax, currently at 2.7 cents per litre, will jump to 6.7 cents by 2017, under Ontario’s budget proposal — an “unbelievably punitive” hike according to Ben Smith, Air Canada’s chief commercial officer. Smith isn’t wrong. Airlines, which continue as barely profitable in 2014, operate on the tightest of margins. The hike is expected to cost Air Canada alone more than $50-million next year. To put this figure into context, the airline generated just $50-million in net profit in 2012.
Sadly, Leftists like Wynne, have never understood the Law of Unintended Consequences:
So news of Ontario’s fuel tax hike is sure to set hearts aflutter at U.S. border airports. The tax increase is expected to direct an additional 300,000 to 400,000 Canadian passengers to U.S. airports, according to Canada’s National Airlines Council. This will do serious damage to Canada’s airports, critical generators of job growth, and thus the Canadian economy overall.
h/t Peter J.

