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BC. PST Changes for Bookkeeping Services: What Our Clients Should Know

Sep 2
3 min read


Beginning October 1, 2026, British Columbia is expanding Provincial Sales Tax (PST) to accounting services, including bookkeeping. Here’s a straightforward overview of what’s changing and how Rockies Bookkeeping is preparing.


Changes to tax rules aren't something most business owners have time to follow closely. That's part of our job.
As we approach October, we want to give our clients some advance notice about a change coming to bookkeeping and accounting services in British Columbia.

What is changing on October 1?
Effective October 1, 2026, B.C. is expanding its PST system to include accounting and bookkeeping services.
The applicable B.C. PST rate is 7%.
The legislation's definition of accounting services specifically includes services such as preparing accounting records, bookkeeping, billing, account reconciliation and several forms of accounting.
For Rockies Bookkeeping clients, this means PST may begin appearing on invoices for services that are taxable under the new rules.

This is a tax change, not a Rockies Bookkeeping rate increase
We think this distinction is important.
Where the new PST applies, the additional amount collected represents provincial sales tax, rather than an increase to our underlying service rates.
As a service provider, our responsibility is to determine where PST applies under the legislation, collect it when required and remit it appropriately.

What services are included?
B.C.'s legislation defines "accounting services" broadly and expressly includes:
  • Bookkeeping
  • Preparing accounting records
  • Billing
  • Account reconciliation
  • Assurance services
  • Cost, financial, forensic, management and tax accounting
  • Certain tax-related advice, document preparation and representation
The regulations also establish exemptions for certain circumstances and services. Because tax treatment can depend on the specific service, purchaser, jurisdiction and circumstances, not every situation should automatically be treated the same way.
That's why we're reviewing our own services individually rather than making broad assumptions about how the new rules apply.

What about GST?
The new PST rules do not eliminate existing federal GST requirements.
Where both taxes apply, invoices may therefore include the applicable 5% GST and 7% B.C. PST.
These are separate taxes administered by different levels of government.

What about invoices around October 1?
B.C. has established transitional provisions for accounting services around the October 1 implementation date.
Depending on the circumstances, factors such as when a service is provided, when payment becomes due and when payment is made can affect how the new rules apply. There are also specific provisions concerning services extending beyond November 30, 2026.
Rather than trying to reduce those rules to a single statement that may not fit every client's situation, we'll review applicable transactions as part of our transition.

What is Rockies Bookkeeping doing?
We're preparing ahead of the effective date.
That includes reviewing the current B.C. guidance and legislation, our registration obligations, service classifications, invoicing processes, recurring billing and the tax settings within our systems.
For our clients, the goal is simply to make the transition as clear and orderly as possible.

You don't need to become an expert on the new rules just because they are changing.
We'll communicate relevant changes to our clients and update our processes as required.

Do clients need to do anything right now?
For Rockies Bookkeeping clients, we are not asking you to make any changes at this time solely because of this announcement.
As October 1 approaches, we'll continue reviewing the implementation requirements and will contact clients directly if something requires their attention.
If you have questions about an upcoming invoice or how the change may apply to a particular service, you're always welcome to reach out.

Keeping you informed
Regulatory changes are part of doing business, and we believe our clients should understand changes that affect the services they receive without having to sort through pages of legislation themselves.
We'll continue following the Province's information as the October 1 implementation date approaches and adjust our processes where necessary.
As always, thank you for trusting Rockies Bookkeeping with your business.


A note about this article

This article is provided by Rockies Bookkeeping for general informational purposes only and reflects our understanding of publicly available B.C. government information as of the publication date. It is not intended to constitute legal, tax or accounting advice. The application of PST can depend on the particular services, transactions and circumstances involved. Provincial legislation, regulations and administrative guidance may also be amended or updated. Businesses should consult the Province of British Columbia's current guidance or an appropriate professional regarding their specific circumstances.

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