DISCLAIMER:I am not an accountant and do not profess to be. If anyone out there can correct me if I am way off base please do. If I am off by a few dollars here or there, oh well. It’s close enough for guesstimating.

The goods and services tax (GST) will be reduced by 1 percentage point as of July 1, 2006.

It’s about time. Canadians have been waiting for this one since the Liberals promised it over a decade ago. Yet it took the Conservatives to deliver. I think that tells you a bit about who are the talkers and who are the doers around Ottawa.

Here is a simple calculation to figure out your savings per gas fill up.
Savings per fill up =[0.01(TxP)]
…………………………(1.1342)

where T is Tank Size (in liters) and P is Price of gas (per liter in dollars). Extending this, you could replace TxP with the amount of money you spend on GST taxable goods.

But to stick to gasoline expenses, below is a chart indicating how much you would save annually for 1 to 4 weekly fill ups based on the price of gas (from 90 cents to $1.00 per liter) and tank sizes from 60 to 80 liters.

The green boxes represent size of your gas tank.