PST Expands October 1: What Kamloops Businesses Need to Know

Starting October 1, 2026, a 7% Provincial Sales Tax (PST) applies for the first time to several professional services: accounting and bookkeeping, architectural, engineering and geoscience, security, non-residential real estate, and securities services. For most businesses, this is a new cost — and unlike GST, PST charged on services generally cannot be recovered through input tax credits.

The BC Chamber of Commerce has put together a practical, step-by-step guide covering both sides of this change: what service providers need to do to register and start charging PST, and what every other business should do now to budget for it. We're sharing it here because October 1 is only a few weeks out, and the businesses that act now will be in a stronger position than those waiting for the first invoice to land.

(This explainer was originally developed by the BC Chamber of Commerce and shared with member chambers across the province. We're passing along their guidance because it's practical and timely — for the full context and any updates, see the source links at the end of this post.)

What's newly taxable, and who charges it

Accounting & bookkeeping (incl. assurance, tax, advisory) — 7% on 100% of the fee — charged by accounting firms & bookkeepers

Architectural services — 7% on 30% of the fee (AIBC-registered practitioners) — charged by architects

Engineering & geoscience services — 7% on 30% of the fee (APEGBC-registered practitioners) — charged by engineers & geoscientists

Security services (guards, private investigators, alarm & consulting) — 7% on 100% of the fee — charged by licensed security firms

Non-residential real estate services (property & strata management, real estate commissions) — 7% on 100% of the fee — charged by property managers & realtors

Securities services — 7% (confirm the exact taxable base with your advisor) — charged by investment dealers & advisors

If you provide these services

1. Register for PST now, if you haven't already. Registration opened April 1, 2026, and is mandatory before your first taxable sale on or after October 1. Registration and filing are done online through eTaxBC.
2. Confirm your taxable base. Accounting, security, and non-residential real estate services charge PST on the full fee; architectural and engineering/geoscience services charge it on 30% of the fee. If you offer a mix of services, work out which portion applies to each engagement.
3. Update your invoicing. Add a 7% PST line for services performed on or after October 1, 2026, and keep records showing when each service was actually performed (not just when it was invoiced).
4. Know the transitional rule. If a client's invoice or payment is due before October 1 and the work is fully completed before December 1, 2026, it stays exempt. If any part of the work runs on or after October 1 without meeting that test, PST applies to that portion. Payment due on or after October 1 is taxable regardless of when the work was done.
5. Charge and remit. Once registered, collect PST from clients and remit it to the province on your filing schedule, alongside your existing GST obligations.
6. Give your clients notice. A short heads-up now helps clients budget and avoids disputes over invoices issued after October 1.

If you buy these services

Even if you don't provide any of these services, you almost certainly buy some of them.

1. Talk to your bookkeeper or accountant now. Ask which of your invoices will carry PST after October 1 and get a revised estimate of the added cost for the year.
2. Remember PST doesn't come back. Unlike GST, PST on services can't be claimed back as an input tax credit — it's an added cost that stays on your books.
3. Budget for the new fiscal reality. Build the extra 7% (or roughly 2.1% on architectural and engineering fees, since only 30% of the fee is taxable) into your budgets and forecasts for the year ahead.
4. Watch the timing of big engagements. If you have major accounting, engineering, or property-management work planned, ask your provider whether finishing before October 1 — or before December 1 under the transitional rule — could reduce your exposure.

Key dates

April 1 – October 1, 2026: PST registration window for newly taxable service providers — registration is open now.

October 1, 2026: 7% PST takes effect on the services listed above.

December 1, 2026: Cut-off for the transitional exemption — work must be fully completed by this date for pre-October invoices to stay exempt.

Three quick examples

Invoiced and paid in September, work finished in September: no PST.

Invoiced and paid in September, work wraps up in November: no PST.

Invoiced and paid in September, work continues into December: PST applies to the portion of work done on or after October 1.

Work done in September but invoiced in October: PST still applies. Once the invoice or payment falls on or after October 1, the tax applies no matter when the work was actually done.

Have questions, or want to share how this is affecting you?

If you're a member business affected by this change, we'd like to hear from you — real stories from local businesses help make the case when Chambers advocate on this issue provincially.

For the full official guidance, visit gov.bc.ca/pst, or download the complete BC Chamber of Commerce explainer below.

[Download the full PST How-To Guide (PDF)]

This post is provided for general information only and is not tax or legal advice. Please consult your accountant or bookkeeper about how these changes apply to your specific business.