British Columbia Expands Software Definition for PST

• British Columbia’s 2024-25 budget includes retroactive amendments to the Provincial Sales Tax Act regarding software
• The amendments aim to expand the definition of software and the taxability of its “use” in BC
• The changes are consistent with the BC government’s current position on software interpretation3
• The amendments are included in Bill 3, Budget Measures Implementation Act, 2024
• The BC Supreme Court’s 2023 decision on software as a service (SaaS) and infrastructure as a service (IaaS) influenced the proposed amendments
• The court disagreed with the BC government’s previous interpretation of software
• The amendments aim to clarify the definition of software and its taxability under the PSTA

Source: globaltaxnews.ey.com

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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