B.C. Auditor General Michael Pickup was appointed in April 2020, after serving as auditor for Nova Scotia. (Auditor General of B.C.)

B.C. businesses owe $6.2 billion in deferred provincial tax payments

Student loan repayment, hotel tax among bills due in September

B.C.’s new auditor general is tracking the province’s massive spending in the COVID-19 pandemic, but too many unknowns remain to rate the government’s performance in the crisis.

Auditor General Michael Pickup was hired by unanimous vote of the B.C. legislature during its summer session in July. His eight-year appointment comes after six years as auditor general for Nova Scotia, and previous work with the federal auditor’s office.

Pickup’s first report, released Sept. 11, does not attempt to audit B.C.’s pandemic spending program, but only to keep up with the myriad of deficit spending initiatives and tax deferrals. He agrees with the finance ministry’s estimate that B.C. businesses have accumulated $6.2 billion in provincial sales, fuel and other taxes that are due to be paid to the province by the end of September.

Finance Minister Carole James confirmed in this week’s release of first quarter financial results that there will be no further extensions in deferred tax payments. Even with the taxes turned in, the ministry is forecasting a record deficit of $12.8 billion for the fiscal year that began April 1.

The six-month deferral of payments to Sept. 30 applies to provincial sales tax, tobacco tax, motor fuel tax and carbon tax collected by businesses. A six-month moratorium on student loan collection also ends, with $70 million in repayments due, and deferred payments from B.C. Hydro residential and commercial customers estimated at $103 million are also due Sept. 30.

RELATED: B.C. deficit forecast $12.8 billion after first quarter

RELATED: B.C. economy expected to recover lost ground in 2022

The report confirms the main elements of B.C.’s $5 billion COVID-19 relief fund, of which $1.5 billion remains to be allocated as business assistance. James rejected opposition suggestions that some of the deferred tax payments should be waived as businesses work to recover from pandemic restrictions.

Pickup said his monitoring report is not audited, and government auditors around the world are doing similar work, “to ensure that independent, non-partisan information is made available during this time of significant funding allocations.”


@tomfletcherbc
tfletcher@blackpress.ca

Like us on Facebook and follow us on Twitter.

BC legislatureCoronavirus

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Planned upgrades didn’t go as planned

CityWest said a fibre-line break caused outages to all customers

Citing stability, B.C. Premier calls snap election for Oct. 24

John Horgan meets with Lieutenant Governor to request vote

BC Timber Sales’ operations on the North Island and Central Coast to be audited

The Forest Practices Board randomly chose the region to check for compliance to legislation

BC Ferries Sailing Cancellations

Prince Rupert - Haida Gwaii - Northern Adventure

Month-long water quality advisory still in effect for Rupert residents

The City of Prince Rupert recommends those with weakened immune systems boil water prior to use

B.C. reports 96 new COVID-19 cases, one hospital outbreak

61 people in hospital as summer ends with election

‘Unprecedented’ coalition demands end to B.C. salmon farms

First Nations, commercial fishermen among group calling for action on Cohen recommendations

Earthquake off coast of Washington recorded at 4.1 magnitude

The quake was recorded at a depth of 10 kilometres

B.C.’s top doctor says she’s received abuse, death threats during COVID-19 response

Henry has become a national figure during her time leading B.C.’s response to the COVID-19 pandemic

BC Liberals must change gears from election cynicism, focus on the issues: UBC professors

COVID-19 response and recovery is likely to dominate platforms

Join Black Press Media and Do Some Good

Pay it Forward program supports local businesses in their community giving

B.C. could be without a new leader for multiple weeks after Election Day: officials

More than 20K mail-in voting packages were requested within a day of B.C. election being called

Vancouver Island sailor stranded in U.S. hospital after suffering massive stroke at sea

Oak Bay man was attempting to circumnavigate the world solo

Majority needed to pass COVID-19 budget, B.C. premier says

John Horgan pushes urgent care centres in first campaign stop

Most Read