WHEREAS the provincial government provides a provincial sales tax exemption for individuals purchasing work-related safety equipment; however, no corresponding exemption applies to local Fire Departments for the purchase of critical equipment and supplies such as fire trucks, fire fighting apparatus and supplies such as foam and fire retardant; AND WHEREAS local Fire Departments depend upon local taxation as their primary source of revenue and an additional 7 charge on the cost of critical supplies and equipment can place an unreasonable financial burden on local taxpayers: THEREFORE BE IT RESOLVED that the provincial government be requested to provide an exemption from provincial sales tax for fire protection equipment and supplies for Fire Departments within the province.
MINISTRY OF FINANCE The Province of British Columbia Province has traditionally chosen to support municipal governments in ways other than through sales tax exemptions because exemptions make the tax system more complicated for business and could ultimately reduce the effectiveness of the tax as an important provincial revenue source. The Province does provide grants and other forms of assistance to help municipalities meet their local priorities, including the Traffic Fine Revenue Sharing Program, BC Community Water Improvement Program, and the Task Force on Community Opportunities. British Columbias policy regarding the general application of sales tax to local governments is, with limited exceptions, consistent with most other provincial governments, including those which have harmonized their sales taxes with the federal GST.