Confused about carbon taxes and rebates? Here’s what you need to know

If you live in Ontario, Manitoba, Saskatchewan and New Brunswick, you’ll soon be subject to a federally imposed carbon tax.The federal government is imposing the plan because Ontario, Manitoba and Saskatchewan failed to set up provincially run carbon tax schemes of their own. New Brunswick introduced a tax, but the federal government believes it doesn’t meet federal climate change benchmarks.Story continues below

READ MORE: Liberals say 90% of carbon tax will be given to Canadians in rebateThe tax will be on industry and companies, but it’s expected the cost will be passed onto consumers via higher electricity and heating bills, along with added driving costs from the gas surcharge. They can also expect to see some increases in consumer goods.The government said 90 per cent of the revenue will be returned to consumers through a rebate — available to Canadians on their upcoming 2018 tax return.Trudeau has said every resident will be compensated “for the extra costs.”WATCH: Trudeau defends pricing pollution as a solution for climate change