Upcoming Deadline: B.C.’s New Employer Health Tax March 11 2020

As of January 1st, 2019, the government of British Columbia implemented a new Employer Health Tax (EHT). The EHT is an annual tax on an employer’s B.C. remuneration paid to employees and former employees. Employers with B.C. remuneration greater than $500,000 in a calendar year must register for the employer health tax.

Employers with B.C. remuneration between $500,000.01 and $1,500,000 pay the reduced tax amount: 2.925% x (B.C. remuneration - $500,000)

Employers with B.C. remuneration greater than $1,500,000 pay the tax on their total B.C. remuneration: 1.95% x total B.C. remuneration

Qualified employers must file their EHT by March 31, 2020 to avoid late penalties.

For more information on how to file the health tax, please visit: https://www2.gov.bc.ca/gov/content/taxes/employer-health-tax/employer-health-tax-overview

Source: Government of British Columbia