Guide to completing the provincial sales tax (PST) return

This guide explains how to complete the Provincial Sales Tax (PST) Return (FIN 400) (PDF, 1.13MB).

On this page

• PST registered businesses
• Accommodation providers
• Completing the PST return worksheet
• Filing and paying
• Authorized representatives
• Businesses closed permanently or temporarily

PST registered businesses

If you’re a PST registered business and have enrolled for access to eTaxBC, you can file and pay your PST online using eTaxBC, which is the easiest and fastest way to file your PST returns. Learn more about eTaxBC.  

If you’re a PST registered business that has not enrolled for eTaxBC access, you’ll receive a paper PST return by mail at the end of each reporting period.

If you do not receive a PST return and it's getting close to when you need to file your return and pay PST, you can download and complete a blank Provincial Sales Tax Return (FIN 400) (PDF, 1.13MB). You can send the return and payment to us or take it to your nearest Service BC Centre.

We must receive your completed PST return and payment on or before the last day of the month following the end of the reporting period. If we receive your return by mail, we consider it on time if it was postmarked on or before the last day of the month following the end of the reporting period.

You use the PST return to:

• Calculate and remit (pay directly to us) PST collected on your sales and leases during your reporting period
• Self-assess and remit PST due on items you purchased during your reporting period for business or personal use without paying PST

As a registered business, you must file a PST return even if you did not make any taxable sales or leases, or do not have any PST to self-assess during the reporting period.

Do not use your PST return to pay any other amounts you owe us, such as any amounts owing from an audit assessment or fees for a dishonoured cheque. In these cases, you'll be sent a separate notice that includes payment instructions.

Accommodation providers

If you're registered to collect PST on accommodation located within a participating Municipal and Regional District Tax (MRDT) area, you must file both a PST return and a Municipal and Regional District Tax Return (FIN 401) (PDF, 1.13MB).

This means you report PST on the PST return and you report MRDT on the MRDT return. While PST and MRDT must be reported on separate returns, you may remit a single payment to cover both returns. Read the Guide to completing the municipal and regional district tax (MRDT) return.

Completing the PST return worksheet

Enter all amounts in Canadian dollars, even if you collect payment in an international currency. If you need to convert the sale or the PST due, apply the Bank of Canada daily exchange rate for the date that the PST is paid or payable (by your purchasers or lessees, or for self-assessment purposes), whichever comes first. 

If you're filing your return using eTaxBC and you have no PST to report, select Yes for Is this a NIL return?

Step 1

Box A - Total Sales and Leases (excluding PST and GST)

Enter the total amount of all your taxable, non-taxable and exempt sales and leases in Canada for the reporting period.

Do not include sales you made through an online marketplace facilitator. In this case, the online marketplace facilitator must include those sales on their PST return. For more information, see Bulletin PST 142, Online Marketplace Facilitators and Sellers, and Online Marketplace Services (PDF, 360KB). 

Include:

• Sales of accommodation (not made through an online marketplace facilitator)
• Sales and leases you made as a designated party under a PST designation agreement in a principal and agent relationship. For more information, see Bulletin PST 001, Registering to Collect PST (PDF, 380KB)
• Sales and leases you made as an auctioneer acting as an agent in a principal and agent relationship. For more information, see Bulletin PST 001, Registering to Collect PST (PDF, 380KB)
• Conditional sales or sales on installments
• Sales or leases made on credit
• Sales of propane, regardless of whether PST or Motor Fuel Tax is applicable

Do not include any tax.

Step 2

Box B - PST Collectable on Sales and Leases

Enter the total amount of PST collectable on all taxable sales and leases. You must report and pay us all PST you've charged, whether or not you've actually collected it from your customer. 

Note: If you made sales or leases of goods, software or services (not including legal services) through an online marketplace facilitator, the online marketplace facilitator must include PST collectable in Box B on their PST return. For more information, see Bulletin PST 142, Online Marketplace Facilitators and Sellers, and Online Marketplace Services (PDF, 360KB). 

Include any PST you may have collected in error. Your customer may be entitled to a refund or credit of PST they were incorrectly charged. If you refund or credit your customer after you remitted PST to us, you can claim an adjustment on your next PST return. See Box I for more information. 

If applicable, also include the:

• 0.4% Innovative Clean Energy Fund tax amounts collectable on sales of energy products
• $1.50 per day Passenger Vehicle Rental Tax collectable on leases of passenger vehicles

Box C – Commission

Follow the instructions under Commission on the worksheet and enter the commission amount in Box C.

To be eligible for commission, you must file your return and pay the full PST amount by the due date. If you’re using eTaxBC, the amount in this box is calculated for you.

If your business operates in more than one location under the same legal entity and you receive separate PST returns for different locations, you may only claim commission on one PST return. We'll designate one of your locations as the primary account and the other locations as secondary accounts. Commission can only be claimed on the PST return for the primary account and is to be calculated only on the amount of PST remitted under the primary account.

If you operate in more than one location and receive only one PST return, commission is calculated based on the total PST collectable from all the locations operated by the same legal entity.

Consolidate your activities and file one PST return per period to be eligible for the maximum commission allowance possible. For more information, contact us. 

Box D - Net PST Due on Sales and Leases

Enter the total PST collectable on all sales and leases (Box B) minus your commission allowance (Box C). If you’re using eTaxBC, the amount in this box is calculated for you.

Step 3

If you're using eTaxBC, select Yes or No for the question: Do you only self-assess tax?

Box E - Purchase and Lease Price of Taxable Goods, Software and Services

Enter the total cost of any taxable goods, software or services you purchased or leased for business or personal use without paying PST.

Note: You are required to pay PST on everything you use for operating your business unless a specific exemption applies.

Examples of taxable purchases and leases include:

• Stationery, furniture and office equipment
• Advertising materials, such as flyers or brochures
• Items you purchased or manufactured to give away as promotional materials
• Cleaning supplies
• Computer hardware and software, except custom software. Learn more about software (PDF, 420KB)
• Goods you took from your resale inventory for business or personal use
• Goods you purchased from out-of-province suppliers where applicable PST was not collected by the supplier
• Online marketplace services – see Bulletin PST 142, Online Marketplace Facilitators and Sellers, and Online Marketplace Services (PDF, 360KB)

Box F - PST Due on Purchases and Leases

Enter PST due on the total cost of all purchases and leases of taxable goods, software and services (Box E).

Learn more about the PST rates. 

Box G - PST Payable Before Adjustments

Enter the total of net PST due on sales and leases (Box D) plus PST due on purchases and leases (Box F). If you’re using eTaxBC, the amount in this box is calculated for you.

Step 4

If you're using eTaxBC, select Yes or No for the question: Are you reporting only adjustments?

Adjustments

You must keep supporting documentation for any adjustments you claim. We may contact you to request documentation to verify the adjustment amounts claimed or they may be requested during an audit.

Box H - PST on Bad Debt Write-Off

Enter the amount of PST remitted on goods sold on credit where the amount payable was later deemed uncollectable and written off as bad debt. 

You must claim this adjustment in the same reporting period that the amount payable was written off. If you don’t claim the adjustment in the same reporting period, you must apply for a refund. You must apply for the refund within four years of the date the amount was written off. Learn more about bad debts in Bulletin CTB 001, Bad Debts (PDF, 180KB).

If you received a partial payment prior to write-off, calculate the amount of the adjustment using the following formula:

Adjustment amount = PST remitted × (amount unpaid ÷ total amount payable)

Bad debts recovered

If any of the amounts written off as bad debts are later recovered, you must remit PST on the PST return for the period that the amount was recovered using the following formula:

Amount to be added in Box B = PST remitted × (amount recovered ÷ total amount payable)

Box I - PST on Amounts Refunded or Credited to Customers

Enter the amount of any PST that you refunded or credited to your customers but have previously remitted to us. For example, PST you refunded to your customer to correct a billing error. 

You must claim this adjustment in the same reporting period that you refunded or credited your customer. If you do not claim the adjustment in the same reporting period, you must apply for a refund within four years of the date PST was refunded or credited to your customer.

Learn more about when you can refund or credit your customer PST in Bulletin PST 400, PST Refunds (PDF, 450KB).

Box J - Total Adjustments

Enter the sum of the amounts claimed in Box H and Box I. If you’re using eTaxBC, the amount in this box is calculated for you.

Step 5

Box K - Total Amount Due

Enter the total amount from Box G minus the amount from Box J. If you’re using eTaxBC, the amount in this box is calculated for you.

The amount in Box K is the amount of PST you owe. You must pay the full amount in Box K to avoid any interest or penalty charges. If the amount calculated is negative, a credit will be applied to your account.

Filing and paying

eTaxBC filers

Once you’ve completed the PST return worksheet, follow the instructions in eTaxBC to file and pay your return. To avoid any penalties, interest and loss of commission, you must file and pay your PST return on or before the due date.

Learn more about reporting and paying PST using eTaxBC.

Mandatory electronic filers

If you're a business with at least $1.5 million in total Canadian sales and leases per year, you are required to file your returns and remit PST electronically. If you don't use eTaxBC to file and pay PST electronically, use the options below.

To file returns electronically, use your financial institution's filing and payment services, if available.

To remit PST electronically, use:

• Your financial institution's filing and payment services OR
• Your financial institution's online banking or electronic funds transfer system.

Not all financial institutions offer online banking, electronic funds transfer or filing and payment services. Check with your financial institution to see what services they offer.

Paper PST return filers

Front of remittance form

If your identification information is printed on your PST return, check that all the information is correct. If any information is wrong, write the correction on the remittance form. If you’re completing a blank PST return, enter the information indicated below in the corresponding fields on the remittance form.

Legal Business Name 

Business Number - enter your nine-digit business number. 

Registration Number - enter the PST number you were given when you registered to collect PST.

Due Date - if your reporting period is one or more months, your due date is the last day of the month after the end of your reporting period. For example, if you’re reporting for a period ending July 31, the due date for your PST return is August 31.

Businesses with accounting periods that do not correspond to calendar months, such as businesses with 13-period fiscal years, that have requested PST reporting periods that match their accounting periods have a due date that is 30 days after the last day of the reporting period. For example, if your reporting period ends on June 23, 2023, the PST return and payment are due no later than July 23, 2023.

Period Covered - enter the reporting period for the PST return you’re filing. If you’re filing a revised return, enter the reporting period of the original return.

Amount Paid - enter the total amount of your payment enclosed.

Back of remittance form

Enter the amounts from the worksheet in the corresponding boxes on the remittance form. If you’re filing an amended PST return, make sure you check the “Amended” box on the remittance form.

Complete and sign the certification section and detach the completed remittance form. Keep the PST worksheet for your records.

Filing your paper PST return

To file your paper PST return, send us the completed remittance form along with full payment:

• By mail or courier, or
• In person at a government office

Learn more about the different options on how to file and pay your PST return.

To avoid penalties, interest and loss of commission, PST returns and full payment must be received and dated on or before the due date by a financial institution, Service BC Centre or our office. If mailed, the PST return with full payment must be postmarked by Canada Post on or before the due date. Meter marks and non-Canadian postmarks are not used to determine if a return or payment is on time.

Fees apply to any dishonoured payments.

Authorized representatives

To authorize a representative (such as a family member, legal or financial representative) to act on your behalf, communicate and exchange information with us, and file returns, complete an Authorization or Cancellation of a Representative (FIN 146) (PDF, 260KB). 

Business closed permanently or temporarily 

If your business has closed, send us a completed Request to Close Provincial Sales Tax Account (FIN 357) (PDF, 310KB). If you've enrolled for eTaxBC, you can submit your closure request using eTaxBC. 

It’s important that you notify us if you’ve closed your business because we will continue to send you PST returns. If you do not file the returns, you’ll be assessed for estimated PST due, plus penalty and interest.