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

SD 10 secures $3 million in funding to help build Nakusp Elementary School child care centre

The centre will provide 96 new child-care spaces in the village

West Kootenay mother searching for son missing since Sept. 1

Police are investigating the disappearance of Cory Westcott

Man whose crime spree began in Nelson pleads guilty in death of female passenger

Anthony Cortez scheduled to be sentenced for 2017 incidents

Totem pole considered cultural appropriation removed from Nelson’s Hume School

The pole had also become rotted and was seen as dangerous to students

Nakusp Secondary School grads raise $10,000 from bottle drive

Students packed an incredible 300 bags worth of bottles during event

B.C.’s top doctor thanks supporters after revealing threats over COVID-19 measures

Dr. Bonnie Henry says COVID-19 has caused some people to lash out in anger and frustration out of fear

Money laundering inquiry delayed over of B.C. election: commissioner

Austin Cullen says the hearings will start again on Oct. 26

2 British Columbians arrested, 3 at large in massive Alberta drug bust

Eight people are facing 33 charges in what police have dubbed Project Incumbent

Lumber hitting record high prices due to low supply and high demand

B.C.’s forest industry hasn’t been able to keep pace with the COVID-19 building boom

‘Monkey Beach’ supernatural film adaptation premiers at VIFF

Based on Kitamaat author Eden Robinson’s debut, mystical novel

B.C.-born Trybe social media app’s award system connects with Nickelback singer

Rock stars, jet planes, scooter tricks and the creation of a new platform ready for launch

PHOTOS: 2nd calf in a month confirmed among Southern Resident killer whale pod

Center for Whale Research said they will eagerly await to observe the calf to evaluate its health

B.C. VOTES 2020: Speculation tax misses speculators, B.C. Liberals say

Andrew Wilkinson, John Horgan clash over housing costs, solutions

97 distressed horses, cats and dogs seized from farm in Princeton

RCMP assisted as BC SPCA executed search warrant

Most Read