The Canadian government's 2022 tax budget, includes a new luxury tax for the purchase of high-cost vehicles, starting on September 1.
The Select Luxury Items Tax Act will apply to all new cars and aircraft that cost more than $100,000 and boats that exceed $250,000.
The tax is a part of the new Bill C-19 law, and the new rate would equate to 10% of the full value of the item.
Over five years, the tax would generate $600 million in revenue, according to the Parliamentary Budget Office.
The law has been criticized by various experts, some of whom believe it might lead to the loss of at least 900 jobs.
