Taxes

Harmonized Sales Tax (HST)

On July 1, 2010 British Columbia introduced a 12% Harmonized Sales Tax (HST) to replace the 5% Goods and Services Tax (GST) and the 7% Provincial Sales Tax (PST). The HST now applies to most supplies of goods and services purchased in the province.

The 12% HST also replaces the old 8% Hotel Room Tax and 5% GST that applied on the supply of room rentals in hotels, motels, cottages, inns, resorts and other roofed accommodations. This means that the combined tax paid reduced from 13% to 12%. For more information on HST visit the Canada Revenue Agency website.

Municipal and Regional District Tax

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 and is subject to the 12% HST. For a list of taxing jurisdictions and more information on MRDT visit the Consumer Tax web pages and read Bulletin HRT 007.