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The federal Good and Services Tax (GST) of 5% is applicable to most purchased goods and services. GST is charged on both campsite and room rentals in British Columbia.
From April 1, 2013, an 8% Provincial Sales Tax (PST) is now being charged by hotels, motels, cottages, inns, resorts and other roofed accommodations on all overnight room rentals as well as the 5% Federal Goods and Services Tax (GST).
Campsite rentals are exempt from the Provincial Sales Tax so PST is not charged.
The Provincial Sales Tax for other goods and services is 7%. Some items such as food and books are exempt from PST.
In British Columbia the Municipal and Regional District Tax (MRDT) of up to 2% is charged in provincially approved municipalities by hotels, motels, cottages, inns, resorts and other roofed accommodations. This levy is used to fund local Destination Marketing Organizations.
The additional 2% MRDT is only charged on short-term room rentals and does not apply to overnight campsite rentals.
For a list of taxing jurisdictions and more information on MRDT visit the Consumer Tax web pages and download the list.
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Background Photo Credit: Tourism British Columbia