British Columbia has extended its book publishing corporations tax credit. Eligible corporations who provide book publishing services in British Columbia will have an additional five years to claim the book publishing tax credit. This refundable tax credit program now expires at the end of March 2026 (rather than at the end of March 2021).

British Columbia proposed this extension on March 10, 2021 to assist publishers' economic recovery out of the COVID-19 pandemic.

Background

Generally, eligible B.C. publishers can claim the book publishing tax credit where they:

• Are a Canadian-controlled corporation carrying on business primarily through a permanent establishment in British Columbia with book publishing as their principal business
• Receive a base amount of Support for Publishers contributions under the federal Canada Book Fund (CBF) before April 1, 2026.
  

Eligible publishers may receive a credit of up to 90% of the base amount of Support for Publishers contributions received in the tax year.

For more information, contact your KPMG advisor.

Information is current to March 15, 2021. The information contained in this publication is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavour to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act upon such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's National Tax Centre at 416.777.8500