File and pay your employer health tax

Last updated on February 1, 2024

Once you've registered to pay the employer health tax, you can file your return and pay online using eTaxBC. You can also allow a third party to pay your employer health tax on your behalf.

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Filing due date

The employer health tax return is due March 31 of the following calendar year. If the due date falls on a weekend or a B.C. statutory holiday, your return and payment are due the next business day.

Specific circumstances

If this is your final taxation year for the employer health tax, your return is due either:

  • 90 days after the date you cease to have a permanent establishment in B.C., or
  • 90 days after the date you become bankrupt

If you're no longer subject to the employer health tax and wish to close your EHT account, you may file a final return by March 31 of the following calendar year if you have a permanent establishment in B.C. in the calendar year.

If you're not subject to the employer health tax in the calendar year but may be subject to it in the subsequent years, it’s recommended to file a nil return for the calendar year by March 31 of the following calendar year to keep your EHT account active.

If you amalgamate or sell your business in the calendar year, you must contact us at 1-877-387-3332 or ITBTaxQuestions@gov.bc.ca for more information.

Filing instructions

Learn how to file your return for:

Payment instructions

You can pay the employer health tax:

If your employer health tax in the previous calendar year exceeded $2,925, you must make quarterly instalment payments.

If you're not required to make instalment payments, you must pay the entire balance owing on or before the filing due date.

Use the employer health tax calculator to help you estimate the tax.

Instalment payments

If your employer health tax in the previous calendar year exceeded $2,925, you must make quarterly instalment payments based on the lesser of:

  • 25% of the previous year’s tax, or
  • 25% of the current year’s estimated tax

If you choose to pay instalments based on 25% of the current year’s estimated tax and the instalments are less than 25% of both the current year’s actual tax and the prior year’s actual tax, you’ll be charged interest on the difference.

Watch the Employer Health Tax Instalment Payment Tutorial video for step-by-step instructions on how to make instalment payments in eTaxBC.

Instalment payment due dates

Instalment payments are due:

  • June 15
  • September 15
  • December 15

If you’re required to pay instalments and don’t pay by these due dates, you’ll be charged interest

Any remaining tax payable is due with your employer health tax return by the filing due date.

Change of instalment payment

If your estimated employer health tax payable for the current year becomes less than your previous year’s actual tax payable, you may change your instalment payment amount part way through the current year. However, you’ll be charged interest on the difference if your installment payments are less than 25% of both the current year’s actual tax and the prior year’s actual tax. 

The remaining tax payable is due with your employer health tax return by the filing due date.

 

Example: Change of instalment payment

This is an example for how to calculate and pay your instalments if you change your instalment payment amount part way through the current year because your estimated tax payable for the current year is less than your previous year’s actual tax payable.

Your previous year’s actual tax payable was $20,000 and you made an instalment payment of $5,000 (25% of $20,000) for June 15.

However, on September 1, your business operations changed and you now estimate your current year’s tax to be $10,000 – a significant decrease from your previous year’s actual tax payable.

You decide to change the method for calculating instalments for the current year based on your current year’s estimated tax payable instead of your previous year’s actual tax payable.

This means each instalment payment due for the current year is $2,500 (25% of $10,000), rather than $5,000.

Therefore, your breakdown of each instalment payment due for the current year is:

  • June 15: $5,000, which you already paid based on your actual employer health tax payable for the previous year

  • September 15: $0, because you overpaid your June 15 instalment by $2,500

  • December 15: $2,500

Any remaining balance for the current year is payable when you file the tax return for the current year due by March 31 of the following year.

You may still be charged interest from the instalment due date if you underpay your tax instalment payments for the current year. Tax instalments are considered underpaid if they’re less than your actual tax payable for both the current year and the previous year.

Penalties and interest

If you don’t file your employer health tax return and pay the tax by the filing due date, you’ll be charged penalties and interest.

If you miss any required instalment payment due dates or have deficient payments, you’ll be charged interest.

If penalties or interest resulted from circumstances beyond your control, you may request a waiver of penalties and interest.

If you haven’t filed a return or want to amend a return you have already filed, you may make a voluntary disclosure.

Assessment and reassessment

Once we have reviewed your return, a Notice of Assessment will be sent to you. If there are any adjustments to the tax payable, we’ll provide an explanation of the adjustments with the Notice of Assessment.

We may assess or reassess your return within 6 years after the date of the original notice of assessment. In cases where you have not filed a return, or you have made any misrepresentation or committed fraud in filing a return or providing information, the 6-year limitation period doesn’t apply.

File and pay

Enrol for access to eTaxBC to manage your account, file returns or make payments online.

Already have an account? Log on to eTaxBC

File now

For help, visit the eTaxBC help guide.

Register

All employers who need to pay the employer health tax must register for an employer health tax account through eTaxBC.

Watch registration tutorial

Register now

You must register by December 31 of the first calendar year you’re required to pay the employer health tax.

Calculate

Use the employer health tax calculator to help you estimate the tax.

Contact information

(Within Canada) Toll Free
1-877-387-3332
(Outside Canada) Phone
250-387-3332