The province has released another Provincial Sales Tax (PST) notice this week – Notice 2012-013, “Tangible Personal Property (Goods) Brought Into British Columbia”, which provides information on the application of PST to the purchase of goods, other than leased goods, brought into the province. The notice lists circumstances where goods brought, sent or delivered to a location in British Columbia will be subject to PST and examples of exemptions from PST, both unconditional and those specific to business.
For example, a person, either resident or non-resident in British Columbia, brings, sends or receives goods in British Columbia for their own use or the use of another person at their expense, is required to pay PST. As discussed in previous information released from the Ministry, the permanent exemptions under the previous social service tax will be re-implemented, and therefore qualifying goods brought into British Columbia would not be subject to tax (e.g., books, newspapers and periodicals).
In addition, specific conditional exemptions for business have been re-implemented. For instance, PST would not apply on imported goods acquired for resale or on eligible machinery and equipment used in manufacturing, logging, mining, mineral exploration or oil and gas production.
BC Notice 2012-013