Tax Credits – Sales Tax Credit

On March 2, 2010, the province announced that effective for the 2010 tax year, the Sales Tax Credit is wound up into the new BC HST Credit.

You may claim a Sales Tax Credit for a tax year if you were a resident of
British Columbia on December 31 of that year, and

• you were 19 years of age or older or

• you had a spouse or common-law partner or

• you were a parent

For 2002 and subsequent years, you can claim up to $75 for yourself and $75 for your spouse or common-law partner.

For 2001 and prior years, you can claim up to $50 for yourself and $50 for your spouse or common-law partner.

A spouse or common-law partner does not include an individual claimed as an eligible dependent.

If you file as a single person, the credit is reduced by 2% of your net income over $15,000. If you had a spouse or common-law partner, the credit is reduced by 2% of your family net income over $18,000.

You cannot claim this credit if you were confined to a prison or similar institution as of December 31 of the tax year, and were there for more than six months of the tax year.

Claiming the Credit

This refundable tax credit is claimed when filing your T-1 Income Tax Return. Please use Form BC479, British Columbia Credits. The credit is refundable to the extent it exceeds your income tax payable.

Legislation