British Columbia’s Provincial Sales Tax (PST) changes on 1 October 2026 are only partly paused. The planned 7% PST on accounting, engineering and other professional services is on hold. PST on basic cable, residential landlines, toll-free service, clothing and footwear repairs, and sewing materials still starts on 1 October.
The rate is not changing. PST stays at 7%, charged beside the 5% Goods and Services Tax (GST), for 12% combined. I confirmed each change against gov.bc.ca on 22 September 2026.
What BC paused: PST on professional services
Budget 2026 announced 7% PST on these services from 1 October 2026:
- accounting, including bookkeeping
- architectural services
- engineering and geoscience services
- security services, including private investigation
- certain non-residential real estate services, such as commercial property management
On 18 September 2026, the province paused that expansion, citing the trade dispute with the United States. It estimates the pause saves people, businesses and local governments about $260 million in 2026-27. The pause has no end date, and the government says it will last until the trade dispute is over.
If you provide one of these services, do not add PST to your invoices from 1 October. If you told clients to expect PST, a short note avoids confusion. If you registered for PST in advance, the Ministry of Finance says to cancel the account through eTaxBC or by calling 1-877-388-4440.
BC PST changes that still take effect on 1 October
Budget 2026 also removed PST exemptions on items the province described as once essential but now less common. The pause does not cover these. From 1 October 2026, PST applies to:
- basic cable television
- residential landline telephone service
- toll-free telephone service
- services to clothing and footwear, such as alterations, tailoring and shoe repair
- sewing materials used to make or repair clothing: patterns, yarn, natural fibres, thread and fabric
Services to protective clothing and footwear stay exempt. So do laundry, dry-cleaning and wet-cleaning, even when they come with a taxable service.
Some cable and phone bills cover a period that straddles 1 October. The exemption generally still applies if the bill is paid or falls due before 1 October.
What the change adds to a bill
These items already carry the 5% GST. The change adds 7% PST, and each tax is calculated on the pre-tax price.
Before 1 October, the same bill came to $52.50. A $40.00 pants hem goes from $42.00 to $44.80. $25.00 of yarn goes from $26.25 to $28.00.
If you run an alterations, tailoring, shoe repair or fabric business, start collecting PST on 1 October. Register for PST first if you are not already. Bulletin PST 301 (Related Services) and Bulletin PST 130 (Fabric and Craft Stores) explain how to handle invoices that mix taxable and exempt items.
If you quote round, tax-included prices, divide by 1.12 to find the pre-tax price. A $45.00 alteration all in is $40.18 before tax. How to quote a tax-included price covers the details.
Frequently asked questions
Is BC’s PST rate going up? No. The general rate stays at 7%. What changed is which goods and services it applies to.
Will PST on professional services start later? The province calls it a pause, not a cancellation. No new start date has been announced.
Is dry cleaning taxable now? No. Laundry, dry-cleaning and wet-cleaning services remain exempt.
The professional services pause has no end date, and some goods and services are taxed differently or not at all. Verify anything you are filing against canada.ca and the BC Ministry of Finance. This is not tax advice.
The British Columbia sales tax calculator shows the GST and PST on any amount, in both directions. For every province’s rate, see the 2026 rate card.