A StrongerBC program that reimburses businesses for PST paid on certain machinery and equipment will be extended for an additional six months.
This expansion will give businesses another chance to cut costs and make new investments to adapt to the changes required by the pandemic and put them in place to take advantage of future opportunities.
“When we consulted the business community on our StrongerBC economic stimulus plan, they told us that a PST refund would help them make the kind of capital investments that weren’t just about the short-term recovery,” but also long-term growth, ”said Selina Robinson. “As the program deadline approaches, we see that there is still a need, so we are expanding the program to give more companies time to apply. “
Businesses will have until March 31, 2022 – an additional six months – to purchase qualifying items like tools, furniture, computers, software and zero-emission vehicles and charging equipment.
Little Falls Foods in Okanagan Falls is one of thousands of BC businesses that have already benefited from the program. Dahlia Millington and her husband Derek opened the business this summer after the community of 2,500 was left without groceries for years.
“This rebate has helped us build our business,” said Millington. “We were able to retrieve the PST on everything from our refrigeration equipment to the computers we use to monitor our inventory. This money, in turn, has helped us provide food for the elderly, keep staff employed, and continue to feed our community. This little extra really helps.
So far, nearly 2,000 companies have received millions in rebates on more than $ 100 million in qualifying equipment and machinery, with most claims still expected in the coming months.
Most of the applicants are small and medium-sized businesses. The construction industry is the main beneficiary by sector, followed by the transportation and retail sectors.
“It’s not just about recovering from COVID. It is also about preparing BC for success and growth in the future. Little Falls Foods is a prime example. The rebate supports a new business and a key service in the community at the same time, ”said Roly Russell, MP for Boundary-Similkameen.
- This funding is part of British Columbia’s $ 10 billion COVID-19 response and recovery efforts.
- An estimated 110,000 incorporated businesses in British Columbia are eligible for the rebate.
- Eligibility for reimbursement is based on the capital cost allowance categories used under the federal tax system.
- The PST savings on a new zero emission vehicle can amount to over $ 3,000.
Request reimbursement of PST on certain equipment and machinery online: https://www2.gov.bc.ca/gov/content/taxes/sales-taxes/pst/rebate-machinery-equipment