Mineral tax for placer gold mines

Publication Date: July 15, 2022

If you operate a placer gold mine, you file and pay mineral tax annually using the placer gold mine tax return. You pay tax on the total sales of minerals from the placer gold mines you operate, unless you qualify for the Nisga'a exemption.

You’re operating a placer gold mine if both:

  1. Substantially all of the minerals produced are placer minerals
  2. Gold accounts for the majority of the value of the placer minerals

You don’t need to file a return if:

  • You’re an individual and the fair-market value of the placer minerals produced from the entire mine is less than $50,000 in the calendar year, and
  • The total value of placer minerals sold or disposed of from the entire mine is less than $50,000 in the calendar year

However, you need to file a return if we request one directly and you are still required to pay mineral tax even if you are not required to file a return. 

Tax rate

The tax rate is 0.5% of your proportionate share of mineral product sold.

File and pay

You must file your placer gold mine tax return and pay any mineral tax you owe on or before March 31 following the end of the calendar year. If the due date falls on a weekend or statutory holiday, the due date is the next business day.

Placer gold mine tax return

Your placer gold mine tax return reports the results of your mining operation and the tax you owe. Each operator must file a separate tax return for each mine they operated in the last calendar year.

When you prepare your return, all amounts must be in Canadian dollars and rounded to the nearest dollar.

You can file online using eTaxBC or submit a printed return.


submit online

 

Submit online using eTaxBC


submit printed return

Submit a printed return (PDF, 281KB)


Your tax return may be audited to ensure you’re paying the right amount of tax. You must keep your business records at your office in B.C. for seven years after your mine’s year end.

Make a payment

Payments can be made:

Interest and penalties

If you file your tax return after the due date you’ll be charged a penalty of:

  1. $25 per day, to a maximum of $2500, and
  2. 5% of the taxes owing

You’ll also pay interest on your overdue balance, including penalties.

Amendments

You can amend a tax return up to five years after the end of the year you want to change. To amend a return:

  1. Complete a new copy of the tax return with the changes you want to make
  2. Write “Amendment” and the current date clearly at the top of the tax return
  3. Submit the amended tax return
Keep records

You must keep your business records at your office in B.C. for seven years after your mine’s year end.

Notify us of changes

Notify us when you change:

  • Your permanent address
  • The name of a mine
  • The operator(s) of a mine
Audits and appeals

If an audit determines you owe tax, you will receive a notice of assessment. You need to pay the balance shown on the notice to avoid additional interest.

If you disagree with the notice of assessment, you can file an appeal. You should still pay your balance even if you're filing an appeal.

Contact Information

Victoria Office
250-952-0192
Fax
250-952-0191
Toll Free
1-800-667-1182
Mailing
Mineral, Oil & Gas Revenue Branch
Ministry of Finance
PO BOX 9328 Stn Prov Govt
Victoria B.C. V8W 9N3