BC PST Expansion to Certain Professional Services
The Province of British Columbia has published detailed guidance on the expansion of provincial sales tax (PST) to certain professional services. The changes may affect both businesses that sell the services and businesses that purchase them, including some purchases from providers outside B.C. This notice summarizes the key rules available as of July 15, 2026; the service-specific guidance and legislation should be reviewed for individual circumstances.
Special basis: Architecture and engineering/geoscience: 7% on 30% (effective 2.1%)
Registration: Online registration may be required before the first taxable sale
Effective date: October 1, 2026
General rate: 7% of the taxable purchase price
Affected services and general tax treatment:
Accounting services:PST applies at 7% to the taxable purchase price. The definition is broad and includes bookkeeping; payroll and other accounting records; financial statements; tax and information returns; assurance; account reconciliation; billing; cost, financial, forensic, management and tax accounting; and tax-related advice, documents or representation. Services provided by an employee to their employer and in-person accounting training are not accounting services for PST purposes.
Architectural services:PST applies at 7% to 30% of the taxable purchase price – an effective tax of 2.1% of the taxable fee. The rules apply where the provider is registered or required to be registered with the Architectural Institute of British Columbia and the service falls within the regulated practice of architecture. Pre-design and post-construction services are specifically exempt.
Engineering and geoscience services:PST applies at 7% to 30% of the taxable purchase price – an effective tax of 2.1% of the taxable fee. The rules apply where the provider is registered or required to be registered with Engineers and Geoscientists BC and the service falls within the regulated practice. Advisory, construction-related, resident engineering, project management and construction management services are specifically exempt. Certain services to design goods solely for retail sale are also exempt.
Security services:PST applies at 7% to the taxable purchase price of services supplied by a business licensed or required to be licensed for armoured car guard, private investigation, security alarm, security consulting or security guard services. Bailiff service fees and process service fees are not security services for PST purposes.
Non-residential real estate services:PST applies at 7% to the taxable purchase price of licensed trading, rental property management and strata management services for non-residential real property in B.C. This includes commissions* and fees on the sale or lease of non-residential real estate. Services for residential property, rents and strata fees are not included; services relating to qualifying farmland may be exempt.
*Please refer to your brokerage to confirm how they will handle the PST changes
Key application and compliance points:
BC connection and self-assessment.Services performed outside B.C. may still be taxable when purchased by a B.C. person and connected to B.C. property, a project, a presence, or an activity or transaction. If the seller does not collect PST, the purchaser may need to self-assess.
Purchase price and bundled sales.Fees, charges and most disbursements are generally included. Some at-cost amounts are excluded under the service-specific rules. Bundled taxable and exempt items may require a reasonable allocation.
Exemptions and evidence.Examples include the non-B.C. portion of services, resale, qualifying First Nations or federal government purchases, services from a small seller, and category-specific exemptions. Keep the required evidence or exemption certificates.
Registration and filing.Providers of taxable affected services generally must register online unless they provide only exempt or non-taxable services or qualify as a small seller. Registration can be completed up to six months before the first taxable sale. Electronic filing and payment are required when any taxable affected services are sold.
