News & Insights

COVID-19 – British Columbia Provides Information on MJV Exit Tax

Tax Development May 05, 2020

British Columbia has issued Provincial Sales Tax Notice 2020-003, “Multijurisdictional Vehicles – COVID-19 Update”, which describes temporary measures introduced by the province to provide relief to operators of multijurisdictional vehicles due to the COVID-19 pandemic.

Exit tax as described in British Columbia Provincial Sales Tax Bulletin PST 135, “Multijurisdictional Vehicles”, will not be required where a multijurisdictional vehicle is:

  • purchased prior to May 4, 2020; and
  • the vehicle’s prorate licence is cancelled between March 11, 2020 and September 30, 2020 and a licence is obtained to use the vehicle in B.C. only. 

The Notice also provides information on refunds that may be due to operators of multijurisdictional vehicles in relation to the exit tax measure discussed above and the process for obtaining one.