{"id":49171,"date":"2026-04-17T10:01:33","date_gmt":"2026-04-17T14:01:33","guid":{"rendered":"https:\/\/www.millerthomson.com\/?p=49171"},"modified":"2026-04-17T10:01:35","modified_gmt":"2026-04-17T14:01:35","slug":"british-columbia-expands-provincial-sales-tax-to-more-professional-services","status":"publish","type":"post","link":"https:\/\/www.millerthomson.com\/en\/insights\/corporate-tax\/british-columbia-expands-provincial-sales-tax-to-more-professional-services\/","title":{"rendered":"British Columbia expands provincial sales tax to more professional services"},"content":{"rendered":"\n<p>British Columbia recently proposed expanding the professional services subject to the province\u2019s 7% provincial sales tax (\u201c<strong>BC<\/strong> <strong>PST<\/strong>\u201d) beyond legal services. If enacted, BC PST will apply to the following professional services effective October 1, 2026:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>accounting services;<\/li>\n\n\n\n<li>architectural services, but only on 30% of the fee charged;<\/li>\n\n\n\n<li>engineering and geoscience services, but only on 30% of the fee charged;<\/li>\n\n\n\n<li>non-residential real estate services; and<\/li>\n\n\n\n<li>security services, such as private investigation services.<\/li>\n<\/ul>\n\n\n\n<p>This announcement represents a significant change for both the affected professionals and those who rely on their services. &nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">What professional services are affected?<\/h2>\n\n\n\n<p>The <a href=\"https:\/\/www.bclaws.gov.bc.ca\/civix\/document\/id\/bills\/billscurrent\/2nd43rd:gov02-1\"><em>Budget Implementation Measures Act, 2026<\/em><\/a> adds to the list of taxable services. Each newly added service is defined with specific requirements and exemptions that should be reviewed carefully. Broadly speaking:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Taxable <strong>accounting services<\/strong> include preparing accounting records, providing assurance services, bookkeeping, billing, account reconciliation, and cost, financial, forensic, management, or tax accounting services.<\/li>\n\n\n\n<li>Taxable <strong>architectural services <\/strong>include advice or services within the practice of architecture provided by a person who is registered or required to be registered with the Architectural Institute of British Columbia.<\/li>\n\n\n\n<li>Taxable <strong>engineering services <\/strong>include advice or services within the practice of professional engineering or the practice of professional geoscience provided by a person who is registered or required to be registered with the Association of Professional Engineers and Geoscientists of the Province of British Columbia.<\/li>\n\n\n\n<li>Taxable <strong>non-residential real estate services<\/strong> include rental property management services, strata management services, or trading services provided by a person who is licensed or required to be licensed under the <em>Real Estate Services Act<\/em> (British Columbia) or equivalent legislation in another jurisdiction.<\/li>\n\n\n\n<li>Taxable <strong>security services<\/strong> include services provided by a person who holds or is required to hold a security business licence for certain security businesses such as an armoured car guard service, private investigator services, security alarm services, security consulting, and security guard services.<\/li>\n<\/ul>\n\n\n\n<p>Not all services provided by these professionals are necessarily taxable. A key challenge for professionals and their advisors will be identifying which services are subject to BC PST and which may still fall outside the scope of the tax. This will require a detailed analysis of the different services offered and a strong understanding of related professional legislation and regulations. \u00a0<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Who will need to pay BC PST on newly taxable professional services?<\/h2>\n\n\n\n<p>A person who resides, ordinarily resides, or carries on business in British Columbia (\u201c<strong>BC Resident<\/strong>\u201d) must pay BC PST on professional services provided in or related to British Columbia, unless an exemption applies.<\/p>\n\n\n\n<p>Non-BC Residents may also be required to pay BC PST, but only on professional services that relate to the province. The proposed legislative amendments contain details regarding when a taxable professional service relates to British Columbia.<\/p>\n\n\n\n<p>A partial exemption may be available where services are provided to a business with locations both inside and outside British Columbia and do not solely relate to the province.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">What does this mean for businesses?<\/h2>\n\n\n\n<p>In practice, this means: &nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Professional service providers: <\/strong>Businesses providing taxable professional services in or related to British Columbia will be required to register to collect and remit BC PST. Affected professional firms will need to update their invoicing systems, internal procedures, and become familiar with their new compliance obligations. A critical exercise for service providers will be determining which of their offerings fall within the newly taxable categories. This will require careful review of the statutory definitions and a detailed understanding of the services provided.<\/li>\n\n\n\n<li><strong>Clients and customers: <\/strong>Businesses and individuals purchasing such taxable professional services should review their budgets and pricing assumptions to account for the additional tax. They should also carefully review their invoices to ensure BC PST is only being paid on taxable services, as some services rendered by affected professionals may remain exempt from BC PST.<\/li>\n\n\n\n<li><strong>Review service agreements and engagement letters: <\/strong>Parties should also review existing agreements to determine whether pricing is inclusive or exclusive of BC PST, or whether the agreeements are silent on that point. Template agreements may need to be updated to reflect these changes.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">Looking ahead<\/h2>\n\n\n\n<p>Early engagement with tax advisors can help identify and manage risk, ensure compliance, and support informed decision-making. For further insights and assistance on how the proposed rules and final enacted legislation will impact your business, contact a member of the Miller Thomson <a href=\"https:\/\/www.millerthomson.com\/en\/expertise\/tax\/sales-commodity-indirect-tax\/\">Sales, Commodity and Indirect Tax Group<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>British Columbia recently proposed expanding the professional services subject to the province\u2019s 7% provincial sales tax (\u201cBC PST\u201d) beyond legal services. If enacted, BC PST will apply to the following professional services effective October 1, 2026: This announcement represents a significant change for both the affected professionals and those who rely on their services. &nbsp; [&hellip;]<\/p>\n","protected":false},"author":122,"featured_media":25764,"parent":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[551],"insight-format":[416,470],"class_list":["post-49171","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-corporate-tax"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.1.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>British Columbia expands provincial sales tax to more professional services | Miller Thomson<\/title>\n<meta name=\"description\" content=\"B.C. will extend its 7% PST to accounting, architecture, engineering, real estate and security services as of October 1, 2026. 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Learn who\u2019s affected and how to prepare.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.millerthomson.com\/en\/insights\/corporate-tax\/british-columbia-expands-provincial-sales-tax-to-more-professional-services\/\" \/>\n<meta property=\"og:site_name\" content=\"Miller Thomson\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/MillerThomsonLaw\/\" \/>\n<meta property=\"article:published_time\" content=\"2026-04-17T14:01:33+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2026-04-17T14:01:35+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.millerthomson.com\/wp-content\/uploads\/2025\/01\/insights_tax_calculator.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1920\" \/>\n\t<meta property=\"og:image:height\" content=\"1098\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Sebastian Vives\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@millerthomson\" \/>\n<meta name=\"twitter:site\" content=\"@millerthomson\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Sebastian Vives\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"4 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/www.millerthomson.com\/en\/insights\/corporate-tax\/british-columbia-expands-provincial-sales-tax-to-more-professional-services\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.millerthomson.com\/en\/insights\/corporate-tax\/british-columbia-expands-provincial-sales-tax-to-more-professional-services\/\"},\"author\":{\"name\":\"Sebastian Vives\",\"@id\":\"https:\/\/www.millerthomson.com\/en\/#\/schema\/person\/be05481ca4ee617c24b33993ade4c881\"},\"headline\":\"British Columbia expands provincial sales tax to more professional services\",\"datePublished\":\"2026-04-17T14:01:33+00:00\",\"dateModified\":\"2026-04-17T14:01:35+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/www.millerthomson.com\/en\/insights\/corporate-tax\/british-columbia-expands-provincial-sales-tax-to-more-professional-services\/\"},\"wordCount\":726,\"commentCount\":0,\"publisher\":{\"@id\":\"https:\/\/www.millerthomson.com\/en\/#organization\"},\"image\":{\"@id\":\"https:\/\/www.millerthomson.com\/en\/insights\/corporate-tax\/british-columbia-expands-provincial-sales-tax-to-more-professional-services\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.millerthomson.com\/wp-content\/uploads\/2025\/01\/insights_tax_calculator.jpg\",\"articleSection\":[\"Corporate Tax\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/www.millerthomson.com\/en\/insights\/corporate-tax\/british-columbia-expands-provincial-sales-tax-to-more-professional-services\/#respond\"]}]},{\"@type\":[\"WebPage\",\"ItemPage\"],\"@id\":\"https:\/\/www.millerthomson.com\/en\/insights\/corporate-tax\/british-columbia-expands-provincial-sales-tax-to-more-professional-services\/\",\"url\":\"https:\/\/www.millerthomson.com\/en\/insights\/corporate-tax\/british-columbia-expands-provincial-sales-tax-to-more-professional-services\/\",\"name\":\"British Columbia expands provincial sales tax to more professional services | Miller Thomson\",\"isPartOf\":{\"@id\":\"https:\/\/www.millerthomson.com\/en\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/www.millerthomson.com\/en\/insights\/corporate-tax\/british-columbia-expands-provincial-sales-tax-to-more-professional-services\/#primaryimage\"},\"image\":{\"@id\":\"https:\/\/www.millerthomson.com\/en\/insights\/corporate-tax\/british-columbia-expands-provincial-sales-tax-to-more-professional-services\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.millerthomson.com\/wp-content\/uploads\/2025\/01\/insights_tax_calculator.jpg\",\"datePublished\":\"2026-04-17T14:01:33+00:00\",\"dateModified\":\"2026-04-17T14:01:35+00:00\",\"description\":\"B.C. will extend its 7% PST to accounting, architecture, engineering, real estate and security services as of October 1, 2026. 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