BC PST on Real Estate Commissions: The October 1, 2026 Change Is Paused
Published October 1, 2026. Every source below was checked on October 1, 2026.
BC had planned to start charging 7% PST on non-residential real estate services on October 1, 2026. That would have reached commissions on commercial deals, commercial property management and commercial strata management. On September 18, 2026 the province announced a pause, and a regulation approved on September 21 exempts those services from the tax as of October 1, 2026. Today, no PST applies to a BC agent's commission, on a house or an office building.
The short version
- No PST on commissions for now. B.C. Reg. 116/2026 exempts non-residential real estate services from PST, effective October 1, 2026.
- Residential commissions were never in it. The planned tax only reached non-residential property.
- Registered already? Cancel. BC says to cancel a PST account you opened for this, through eTaxBC or by calling 1-877-388-4440.
- No new start date. BC calls the measure a temporary regulation and has not said when, or whether, the tax will start.
- GST is unchanged. The pause is a PST change only.
What BC actually did
BC's Budget 2026 announced PST on five kinds of professional services from October 1, 2026: accounting, architectural, engineering and geoscience, security, and non-residential real estate services. BC published the details in Notice 2026-001 and a separate page for each service.
On September 18, 2026 the province announced it was pausing that expansion, citing trade uncertainty. The announcement names “non-residential real estate commissions and services” among the services that stay exempt, and says the pause works “through a temporary regulation.”
That regulation is Order in Council 408/2026, published as B.C. Reg. 116/2026 and approved on September 21, 2026. Effective October 1, 2026, it adds section 82.4 to the PST Exemption and Refund Regulation, which reads in full: “Non-residential real estate services are exempt from tax imposed under Division 4.4 of Part 5 of the Act.” Sections 82.1, 82.2, 82.3 and 82.5 do the same for accounting, architectural, engineering and security services.
Why you may still read that PST starts October 1
BC's own real estate page now opens with a notice that the expansion is paused, but the detailed rules underneath it still describe the planned tax. Bulletin PST 003, revised in July 2026, also still lists these services as of October 1. Both were written before the regulation, and the regulation is the law.
What the tax would have covered
BC has not withdrawn its description of the planned tax, so it is the best guide to what could come back. Under it, a service was taxable only if both of these were true:
- It was provided by someone licensed, or required to be licensed, under the Real Estate Services Act.
- It was trading services (selling, leasing, showing or finding property for a client), rental property management, or strata management, for non-residential real estate in BC.
BC treated property as residential when it is entirely Class 1 (Residential) or Class 3 (Supportive Housing) under the Assessment Act. For a mixed-use property, only the share of the service that relates to the non-residential part would have been taxed. BC's own example is a sale of a building that is 20% commercial and 80% residential by square footage, where PST would apply to 20% of the commission.
The planned rules also left out farmland (Class 9), property outside BC, rent, strata fees, in-person real estate training, and services an employee provides to their employer.
Brokerage or agent: who would have collected it
This is the question most agents ask, and BC answered it. Under the planned rules the brokerage collects. BC said brokerages selling these services must register for PST, and that individual licensees do not need to register unless they sell the services directly as a sole proprietorship.
BC also said the tax applies once, to the full commission the brokerage charges the seller. It does not apply again to the agent's portion, and a brokerage does not charge PST when it pays commission out to an agent or a personal real estate corporation.
What to do now
- Charge no PST on a commission. If your invoices, trade records or brokerage statements were set up to add 7% PST to commercial deals from October 1, 2026, turn that off.
- Cancel a PST account you opened only for this. BC says to cancel it through eTaxBC or by calling 1-877-388-4440. Its notice is about accounts opened for these services. If you also sell something BC still taxes, ask BC before you cancel.
- Ask BC about PST you already billed.BC's pause notice does not say what to do with PST already charged on a bill issued before the pause for services after October 1, 2026. Call 1-877-388-4440 before you refund or remit it.
- Keep charging GST as before. GST is a federal tax and the pause does not touch it. Our guide for real estate agents covers the GST rate by province and the $30,000 small supplier test.
- Watch for a new date.BC has not set one. If the tax returns, check BC's page for the rules at that time rather than relying on the planned version above.
What BC has not said
- When, or whether, the tax will start. The regulation sets no end date and BC has published no new one.
- What happens to PST already charged before the pause on bills for services after October 1, 2026.
Common questions
Do BC real estate agents charge PST on commission from October 1, 2026?
No. BC had planned to charge 7% PST on non-residential real estate services from October 1, 2026, but paused that change. B.C. Reg. 116/2026 exempts non-residential real estate services from the tax, effective October 1, 2026. No PST applies to a BC commission today, whether the property is residential or commercial. GST is unchanged.
Is there PST on a residential real estate commission in BC?
No. A residential commission was never part of the planned change. BC defined residential property as property entirely classified as Class 1 (Residential) or Class 3 (Supportive Housing) under the Assessment Act.
I registered for a PST account for my real estate services. What now?
BC says that if you registered for a PST account for these services, you should cancel it, using eTaxBC or by calling 1-877-388-4440.
When will BC start charging PST on commercial real estate commissions?
BC has not published a new date. The September 18, 2026 announcement says the pause is done through a temporary regulation, and the regulation itself sets no end date.
Under the planned rules, who would have collected the PST, the brokerage or the agent?
The brokerage. BC’s page says brokerages selling these services must register, individual licensees do not need to unless they sell the services directly as a sole proprietorship, and PST does not apply again to the agent’s portion of the commission when the brokerage pays it out.
Disclaimer: This article is general information based on BC government sources as of October 1, 2026. It is not legal or tax advice. BC paused the tax by regulation and calls the pause temporary, so confirm with BC (1-877-388-4440) or a tax professional before you act on a specific deal.
Sources
- Order in Council 408/2026 (B.C. Reg. 116/2026). Province of British Columbia, BC Laws. Approved September 21, 2026. Checked October 1, 2026.
- B.C. pauses PST expansion to professional services amid ongoing trade uncertainty. Province of British Columbia, news release 2026PREM0034-001089. September 18, 2026. Checked October 1, 2026.
- PST on non-residential real estate services. B.C. Ministry of Finance. Last updated September 22, 2026. Checked October 1, 2026.
- Notice 2026-001: Notice to providers of professional services. B.C. Ministry of Finance. Last updated September 21, 2026. Checked October 1, 2026.
- Bulletin PST 003, Small Sellers. B.C. Ministry of Finance. Revised July 2026 (before the pause). Checked October 1, 2026.