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GST Holiday Tax Break (Bill C-78) Qualifying Product List

As previously announced, the House of Commons recently passed Bill C-78 Tax Break for All Canadians Act to temporarily relieve the GST from December 14, 2024 to February 15, 2025 on groceries and holiday essentials including some alcoholic beverages.

Once passed by the Senate, the legislation relieves GST on qualifying items throughout the supply chain, ensuring GST relief applies to these items regardless of whether they are being purchased retail or wholesale so long as qualifying items are paid for and delivered during the tax relief period.

This means, the BC Liquor Distribution Branch (LDB) will be required to remove the GST from all qualifying products sold at BCLIQUOR stores and through the wholesale channels which includes LDB distribution and private distribution channels.

Identifying qualifying alcoholic beverages for GST relief

The LDB has been reviewing the legislation and referencing both the list provided by the Canada Revenue Agency (CRA) and definitions in the Excise Act, 2001 to compile a list of qualifying alcoholic beverages which includes:

  • Beer and malt beverages that are 11.9% alcohol by volume (ABV) or less;
  • All wine, cider and sake that are not fortified;
  • Fortified wine, cider and sake that are 22.9% ABV or less;
  • Spirit coolers and premixed alcoholic beverages that are 7% ABV or less;
  • De-alcoholized beverages.

Please note, the following alcoholic beverages do not qualify for GST relief:

    • Spirits and spirit coolers with more than 7% ABV;
    • Premixed alcoholic beverages (other than beer, malt beverages, wine, cider and sake) with more than 7% ABV;
    • Beer and malt beverages with more than 11.9% ABV;
    • Fortified wine, cider and sake with more than 22.9% ABV.

The list of qualifying alcoholic beverages is posted on LDB Wholesale Operations website here. Although the LDB has tried to ensure the accuracy of the information provided, please be aware that this document and all of the information it contains is provided "as is" without warranty of any kind, whether express or implied. It may not be comprehensive and may be subject to change. The LDB does not provide tax, legal or accounting advice. You are solely responsible for ensuring your full compliance with all laws. You should inform yourself of the changes to federal tax laws and make sure you obtain appropriate tax, legal, and accounting advice. We will continue to review and refine this list as needed.

For more information

Thank you for your patience while our teams are making the necessary systems changes to prepare for the implementation of the GST Holiday Tax Break starting December 14, 2024.  As details are confirmed over the next few days, we will share important information on how the temporary GST relief will be addressed and updated in LDB systems within this tight timeframe.

Memos, FAQs and the qualifying product list will be made available in the GST Holiday Tax Break resource section of the LDB Wholesale Operations website here. Please email GSTHoliday@bcldb.com if you have any questions.

Federal government resources