BC PST Resources
Why do so many errors happen when accessing PST?
Getting PST under control is difficult, because decisions are made by several people; suppliers, purchasing and accounts payable all have input. It would be nice if you could automate PST decisions in the ERP system. However, most ERP systems were not designed to work with BC PST. You see, PST, it is based on where goods are used, unlike typical sales tax that is based on what goods you buy. For example pipes are typically taxable, but if you use the same pipe to move pulp stock it becomes exempt. Customizing ERP systems to work with sales tax that is based on where goods are used is often very costly, so most companies don’t pursue this option.
The solution
To help you take PST under control, we have developed a decision matrix that helps to properly classify the equipment you buy day-to-day. Please note that the decision matrix is not all encompassing and if you should consult us or your tax expert, when introducing new chemicals, adding a new product line to your facility, or developing prototypes.
Download the cheat-sheet, share it inside your organisation, and subscribe to stay updated on significant changes to PST that are applicable to your industry.
Contact us if you have any questions or have any comments about the decision tree.