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

Machine pistol among 14 firearms seized from Alaska man at Abbotsford border crossing

Corey Scott Kettering faces charges of smuggling and prohibited firearm possession

CHARTS: Beyond Metro Vancouver, COVID-19 cases in B.C. haven’t increased much recently

COVID-19 case counts outside of Metro Vancouver have been level since July

Mission asks public for feedback on proposed Tree Management Bylaw

Currently, tree removal and cutting can take place without a permit

UFV to launch Peace and Reconciliation Centre in Abbotsford

Online event on Sept. 24 features keynote speaker Bob Rae and Steven Point

181 days gone: Family continues to look for man last seen in Mission RCMP custody 6 months ago

Brandon Sakebow’s last known location was leaving RCMP holding cell, police say; family has doubts

VIDEO: B.C. to launch mouth-rinse COVID-19 test for kids

Test involves swishing and gargling saline in mouth and no deep-nasal swab

Fraser Health relocates Surrey COVID-19 testing centre

New location will triple testing capacity: Dr. Victoria Lee

Man sentenced to 7 years for gas-and-dash death of Alberta gas station owner

Ki Yun Jo was killed after Mitchell Sydlowski sped off in a stolen cube van without paying for $198 of fuel

70-year-old punched in the head in dispute over disability parking space in Nanaimo

Senior’s turban knocked off in incident at mall parking lot

Altercation with gunfire in Lower Mainland lands two in hospital

Quiet area of Langley was awoken at 5 a.m. Friday morning to a fight involving gun shots

Record-breaking 165 new COVID-19 cases diagnosed in B.C. in 24-hour period

Fifty-seven people are in hospital battling the novel coronavirus

B.C. teachers file Labour Relations Board application over COVID-19 classroom concerns

The application comes as B.C.’s second week of the new school year comes to a close

Young Canadians have curtailed vaping during pandemic, survey finds

The survey funded by Heart & Stroke also found the decrease in vaping frequency is most notable in British Columbia and Ontario

PHOTOS: One injured in shooting on South Surrey-Langley border

Shots reported near 194 Street and 34 Avenue, burned-out vehicle found in 18100-block of 12 Avenue

Most Read