Manitoba extends fuel tax holiday 3 months

The Manitoba government is extending its temporary cut to the provincialfuel tax until the end of September,three months later than planned, agovernment spokesperson has toldCBC News.

The cut, which removedthe 14-centtax on a litre of fuel, kicked in Jan. 1and was intended to last until the end of June, with an option to extend it for the duration of the year.

The extension comes a day after the federal government'scarbon tax increase came into effect, costing drivers an extra 3.3 cents a litre.The Manitoba government confirmed last week it intends to askOttawa to remove the carbon tax from the province.

The NDPpromised to introduce the gas-tax break legislationintroduced as Bill 3 in late November and passed days laterduring its election campaign as a way to help people with rising costs.

In March, Premier Wab Kinew boasted that the province had the lowest fuel prices in the country.

He's also said he won't let the tax get as high as it was under the former Manitoba Progressive Conservative government.The gas tax was increased under the NDP government in 2012 to the current 14 cents alitre from 11.5 cents.

Kinew will table his first provincial budget Tuesday afternoon.The NDP has signalledits budget will includechanges to education tax rebates in 2025, plans to make prescription birth control free, and rebates on electric vehicles.

The fuel tax brings in roughly $340 million a year for the province.