B.C. PST Rebate on Select Machinery and Equipment

The B.C. Government implemented the “PST Rebate on Select Machinery and Equipment” as a temporary provincial sales tax (PST) program to help corporations recover from the financial impacts of COVID-19.

The rebate is separate from the existing BC PST Refund process. Under this temporary program, corporations can apply to a rebate of the PST they paid between September 17, 2020 and March 31, 2022 on qualifying machinery and equipment. 

Who Can Apply?

You must be an incorporated businesses to be eligible for the rebate. The following list of organizations are explicitly EXCLUDED from the program:

• Crown corporations
• Local government corporations
• Charities, non-profit corporations and not-for-profit corporations
• Schools, school boards and universities, including business, trade and vocational schools
• Hospitals
• Regional health boards and community health councils designated under the Health Authorities Act
• Agents of the government and of the other entities listed above, to the extent that the PST is paid in their capacity as an agent

Qualifying machinery and equipment

The rebate applies to PST paid between September 17, 2020 and March 31, 2022 on qualifying machinery and equipment that are considered capital assets. To make life easier, the BC government has opted to follow the Income Tax Act (Canada) capital cost allowance (CCA) class definitions already familiar to incorporated businesses to establish which types of capital assets qualify for the rebate. 

PST paid on leases of qualifying machinery and equipment also qualifies for the rebate program.

How to Apply

More details about the program can be found here . Please note that businesses only have until October 3, 2022 to apply. If you need assistance with your application, please contact me at 902.403.7201 or by e-mail at Jeremy@Jeremyscott.ca.