Used Battery-Electric Cars Now PST Exempt in B.C.
Thanks to Provincial Sales Tax (PST) cuts announced in British Columbia’s 2022 budget, the tax will no longer be collected from residents who purchase a pre-owned battery-electric vehicle. This exemption started on February 23, 2022 and will be valid for a period of five years, until February 22, 2027.
To be defined as “used” and included in this exemption, a battery-electric vehicle must have travelled 6,000 kilometres or more. This applies to purchases made from private third parties, but not from dealers.
- Also: KPMG Survey: Canadians Want EVs But Have Charging Anxiety
- Also: B.C.’s 2021 Budget Increases EV Funding
The luxury surtax threshold for battery-electric vehicles has also been moved from $55,000 to $75,000 for the same period of five years, letting B.C. residents have access to more models without having to dish out this additional amount. Since 2018, vehicles with a purchase price of between $55,000 and $55,999 were taxed an extra 1%. For vehicles with a price tag between $56,000 and $56,999, an extra 2% was added. Finally, residents who purchased vehicles priced at over $57,000 paid an extra 3%.
British Columbia offers some of the most enticing ZEV incentives in the country. And this latest one may encourage buyers on a budget to jump the fence and hop on the electric bandwagon.
