Whereas cycling has become an integral part of local government transportation systems across the province of British Columbia and an important method for reducing community greenhouse gas emissions; And whereas electric bicycles have become increasingly popular for their capacity to support people from a range of ages and abilities to incorporate cycling into their daily activities; And whereas PST exemptions are already in place for standard bicycles, transportation fares, as well as financial incentives for clean energy vehicle purchases: Therefore be it resolved that UBCM urge the Province of British Columbia to reinstate the PST exemption for electric bicycles to help ensure the environmental and health benefits of cycling are accessible to a wider range of British Columbians.
Ministry of Finance A temporary exemption from provincial sales tax for certain electric bicycles was in effect from February 20, 2008 to July 1, 2010. With the re-implementation of the provincial sales tax on April 1, 2013, temporary exemptions, including for certain electric bicycles, were not re-instated. Generally, the purpose of a temporary exemption from provincial sales tax is to increase awareness and promote market demand. The temporary exemption for certain electric bicycles fulfilled this purpose. The exemption for non-motorized bicycles was re-instated with the re-implementation of the provincial sales tax to fulfill the commitment to re-implement all exemptions other than temporary exemptions. Using the tax system to deliver such programs has several drawbacks, including that they do not always effectively target the benefit to those who need it most. Many exemptions from provincial sales tax, while intended to benefit those with lower incomes, actually confer the greatest benefit on higher-income earners who pay the most tax and tend to reward decisions which would have been made in any case rather than specifically incent behavioural changes. Moreover, such exemptions add complexity and reduce the efficiency of the tax system. Through BC on the Move, the government has committed more than 20 million over three years to the BikeBC program. Twenty-six communities throughout BC will receive 9.25 million in funding for cycling infrastructure. The government has also provided funding for local governments for cycling infrastructure, among other local government priorities, through the 2007-2014 68.5 million Towns for Tomorrow program, the 2007-13 40 million Local Motion program, and the 2012-2015 30 million Community Recreation Program. Since 2001, the government has committed more than 230 million for cycling infrastructure, creating new bicycles lanes and trails in over 100 communities throughout the province.