InfoPEI

Environment Tax

Each year thousands of tires that are discarded by their owners and stored in land fill sites cause a potential environmental hazard.

The Government of Prince Edward Island is committed to protecting the environment today and for future generations. To meet this objective, the government instituted an environment tax in April 1991. The authority to impose and collect environment tax is provided by the Environment Tax Act.

The Environment Tax Act requires the end consumer to pay a tax or levy of $4.00 on every pneumatic (air filled) tire sold for the first time in the province.

Every retailer of tires sold in the province for the first time (including motor vehicle dealers) is required to obtain a Vendor Permit under the Revenue Administration Act and is responsible for collecting and remitting the environment tax. Reporting periods are monthly, quarterly, semi-annually, or annually. Environment tax payments are due on the 20th day of the month immediately following the period covered by the return.

Please note:
This page is prepared for information purposes only, and should not be considered a substitute for the applicable statutes. Should there be any conflict between the contents of this page and the statutes, the statutes shall prevail.