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

There has been COVID-19 exposures at two elementary schools in District 42. (Image courtesy CDC)
Interior Health reports 24 additional COVID-19 cases

This includes three school exposures in Kelowna

File photo
Man escapes truck incident unscathed

Submitted by Sgt. G.D. Simpson October 19 The Clearwater RCMP detachment received… Continue reading

Peter Milobar, BC Liberal candidate for the Kamloops-North Thompson has been elected for a second term. Milobar is pictured here with his wife Lianne. (Facebook photo)
Milobar takes Kamloops – North Thompson for a second term

Peter Milobar, the BC Liberal candidate for the Kamloops-North Thompson has been… Continue reading

NDP headquarters on election night, Oct. 24, 2020. (Katya Slepian/Black Press Media)
ELECTION 2020: Live blog from B.C. party headquarters

BC NDP projected to win majority government – but celebrations will look different this election

B.C. Green Party leader Sonia Furstenau outlines her party's climate action platform at Nanaimo's Vancouver Island Conference Centre earlier this month. (News Bulletin file photo)
Green leader Furstenau declared victor in her home riding on Vancouver Island

Cowichan Valley voters elect freshly minted party leader for her second term

Provincial health officer Dr. Bonnie Henry arrives for briefing on the COVID-19 situation, B.C. legislature, Oct. 26, 2020 (B.C. government)
B.C. records 217 more COVID-19 cases, mask use urged

Infection spike continues, 21 senior facilities affected

An elderly woman wearing a face mask to curb the spread of COVID-19 walks past an advertisement for a television series in Vancouver, B.C., Sunday, Aug. 30, 2020. THE CANADIAN PRESS/Darryl Dyck
B.C. has been under a COVID-19 state of emergency for more than half the year

Province has been under a state of emergency for 32 weeks – and counting

Los Angeles Dodgers celebrate after defeating the Tampa Bay Rays 3-1 to win the baseball World Series in Game 6 Tuesday, Oct. 27, 2020, in Arlington, Texas. (AP Photo/David J. Phillip)
L.A. Dodgers beat Rays 3-1 to win 1st World Series title since 1988

National League champs claim crown in six games

Seven-year-old Aaliyah Rosa was found dead in an apartment in Langley in July. (Langley Advance Times files)
Child’s body cold, no pulse: Off-duty cop testifies in Langley mother’s murder trial

The seven-year-old girl’s mother faces a first-degree murder charge

Tyrell Giroux was arrested by Williams Lake RCMP on Sunday, Oct. 25. (Facebook video screenshot)
Tsilhqot’in leaders call for suspension of officers seen in controversial Williams Lake arrest

Disturbing video demands an immediate, independent investigation, says TNG

Join Black Press Media and Do Some Good

Pay it Forward program supports local businesses in their community giving

People march during a climate strike in Montreal, Friday, Sept. 27, 2019. THE CANADIAN PRESS/Graham Hughes
Judge rejects 15 youths’ climate change lawsuit against Canadian government

Justice Michael Manson has granted the government’s motion to strike the plaintiffs’ claim

A woman walks through check in at WestJet at Pearson International airport during the COVID-19 pandemic in Toronto on Wednesday, Oct. 14, 2020. THE CANADIAN PRESS/Nathan Denette
Strong support for pre-flight COVID testing ahead of upcoming WestJet trial: YVR

Airport is partnering with UBC, which is helping choose the method of pre-flight testing

Prime Minister Justin Trudeau provides an update on the COVID pandemic during a press conference in Ottawa on Tuesday, Oct. 27, 2020. THE CANADIAN PRESS/Sean Kilpatrick
Trudeau says pandemic ‘really sucks,’ and that Christmas gatherings are up in the air

The prime minister encouraged residents to continue to follow the advice of local health authorities

Most Read