Friday February 24 2023

Automobile Allowance Rates are set annually by the Canada Revenue Agency, in December, for the following year. The 2023 rates are now set, and Canada Post Corporation has confirmed they will begin paying the new rate effective February 5, 2023.

RSMC are paid the maximum automobile allowance as per clause 33.01 of the collective agreement. This rate is set by the CRA and therefore is not a taxable income.

The 2023 Automobile Allowance Rates are:

  • 68¢ per kilometre for the first 5,000 kilometres driven.
  • 62¢ per kilometre driven after that.

In the Northwest Territories, Yukon, and Nunavut, an additional 4¢ per kilometre is allowed for travel.

This is an increase of 11% over last year’s rate for the first 5000km.

The new rates are effective February 5, 2023. Payments at the new rates will be made during pay period 5 (PP05), starting on March 2, 2023.

In Solidarity,

Carl Girouard
National Grievance Officer