Taxis and Taxes: What’s the Connection?

The City of Brampton is proposing to increase the official fee that ride-share companies pay by an additional 5 cents. This change will take effect on January 1, 2026. But how does this relate to property taxes? According to city officials, the additional fee collected from this increase will be used to provide relief to residents from rising costs and inflationary pressures, including property taxes.

Details: A report released yesterday by the City of Brampton outlines plans to increase the fees that ride-share companies pay to operate in the City, from $0.30 to $0.35 per trip. This increase is expected to generate more than $640,000 in tax relief for residents.

The ride-share companies affected by this increase include the popular trio: Uber, Lyft (both licensed in 2018), and Hopp (licensed in 2025), all of which are currently authorised to operate in Brampton.

According to the City’s statement, once the proposal receives official approval, all three ride-share companies will be given a “transition period” to update their auto-payment systems before they are required to implement the new fee structure.

The proposal is set to be considered by a committee of the Brampton City Council today, November 25, 2025. The City has informed all three licensed ride-share companies about this potential rate hike.

This move is seen by many as the City’s attempt to address growing public concern following the earlier approval of a 2.9 per cent municipal property tax increase. Public opposition to that decision drew Brampton residents to protest at City Hall on July 12.