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Welcome to the AirCare news release archive. The AirCare program regularly sends press releases to keep our stakeholders, the media and the public up-to-date on general AirCare information.
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AirCare Test Fees Ruled GST Exempt
(Dec-18-2001)
The Canadian Customs and Revenue Agency has ruled that the 7 % Goods and Services Tax does not apply to AirCare tests. This reverses a decision that made AirCare inspections subject to the GST when the program began in 1992.
TransLink contracted KPMG consultants to seek a new ruling on the matter prior to taking over responsibility for the AirCare program within the GVRD in September 1999.
The AirCare test fees approved for January 2001 ($24 for annual inspections, $48 for biennial inspections) generate enough revenue to cover the program’s costs. Provincial legislation limits test fees to cover only the program’s costs and no AirCare revenue flows through to TransLink to fund road or transit programs.
Although the fees approved in January did not include an amount for the GST an equivalent amount was remitted to the federal government pending the ruling. As motorists did not pay GST on tests, the favourable decision means that the $3.5 million to be rebated will be applied to complete the program’s cost recovery.
The AirCare program is administered by Pacific Vehicle Testing Technologies, a TransLink subsidiary. Envirotest Canada has the contract to operate the twelve testing centres (ten in the GVRD and two in the Fraser Valley Regional District).
In its first eight years of operation, AirCare inspected 1,876,123 individual vehicles, of which 509,242 failed at least once. Since 1992, emissions attributed to motor vehicles in the region declined by 59 per cent, even though the number of vehicles on the road increased by about 200,000 in the same period. This is twice the reduction that would have otherwise taken place due to improvements in vehicle emission controls and the removal of older vehicles from use.
The AirCare program has been directly responsible for reducing vehicle emissions by 896,753 tonnes. This includes 76,375 tonnes of hydrocarbons, 806,454 tonnes of carbon monoxide and 13,924 tonnes of oxides of nitrogen.
For more information on AirCare, visit: www.aircare.ca
Media contact:
Ken Hardie
TransLink
Ph: 604-453-4606
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