The 7% PST that was set to apply to accounting, architectural, engineering, security, and non-residential real estate services starting October 1, 2026, will not take effect on that date. The Province of British Columbia is pausing the expansion through a temporary regulation.

⚠️ DISCLAIMER This is a pause, not a repeal. The Province has not announced a new effective date, and the underlying legislation authorizing the expansion remains in place. Businesses that already registered for PST in anticipation of October 1 should confirm their next steps with a tax professional rather than deregister on their own.

What was set to change on October 1, 2026?
What is happening now?
Which services does the pause apply to?
Do I still need to register for PST?
Is this a permanent change?
What should businesses do next?

What was set to change on October 1, 2026?

Under Budget 2026, British Columbia had announced an expansion the Provincial Sales Tax (PST) to a group of professional services that had never been taxable under PST before. Businesses providing these services would have had to register with the Province and start charging PST on October 1, 2026.

Service Category Planned PST Treatment
Accounting and bookkeeping (including assurance services) 7% on the full service fee
Architectural, engineering, and geoscience services 7% on 30% of the fee (an effective 2.1%)
Security and private investigation services 7% on the full service fee
Non-residential real estate services (commissions, rental property management, strata management) 7% on the full service fee

What is happening now?

The Province is pausing this expansion, citing the ongoing economic pressure created by international trade disruptions. The pause is being put in place through a temporary regulation rather than a change to the underlying legislation, which means the affected professional services will keep their existing PST exemption for now.

Which services does the pause apply to?

The pause covers the same five categories that were originally set to become taxable: accounting and bookkeeping, architectural services, engineering and geoscience services, security and private investigation services, and non-residential real estate commissions and services. All of these remain exempt from PST while the pause is in effect.

Do I still need to register for PST?

No. Businesses that provide these services do not need to register to collect PST on them starting October 1, 2026 — that requirement is on hold along with the rest of the expansion.

If your business already registered in anticipation of the original start date, your registration doesn't automatically disappear. Whether it makes sense to keep it, adjust it, or wind it down depends on your specific situation, so this is worth a quick conversation with a tax professional rather than a decision to make on your own.

Is this a permanent change?

Not necessarily. The pause is tied to the current period of trade uncertainty rather than a fixed date, and it's implemented through regulation rather than a repeal of the legislation. That means the expansion could still take effect later, once conditions change. Businesses in the affected industries should keep an eye on updates rather than assume the issue is closed.

What should businesses do next?

For businesses providing these services:

  • Continue invoicing without PST on accounting, architectural, engineering, security, and non-residential real estate services for now
  • Hold off on registering for PST if you haven't already
  • If you registered ahead of October 1 in preparation for the original rules, confirm with a tax professional whether to maintain, adjust, or cancel that registration

For businesses purchasing these services:

  • No PST will be added to invoices for these services while the pause is in effect
  • Keep this in mind when budgeting or reviewing service contracts through the rest of 2026

EXAMPLE A $5,000 accounting engagement

Under the original plan $5,000 fee + $350 PST (7%) = $5,350
Under the pause $5,000 fee, no PST
Difference $350 not charged

Questions?

If you have any questions about this article, need help understanding how the PST pause affects you or your business, or just want to know more about the services we offer, please contact one of our Tax Experts or complete the contact form below.

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Mike Adams

Mike Adams

Mike oversees our Cranbrook office. He works closely with business owners and managers to help them minimize tax and improve profitability.

Service Expertise: Bookkeeping , Tax

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