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GST Holiday Tax Break (Bill C-78) Update

As previously announced, the BC Liquor Distribution Branch (LDB) is taking steps for the implementation of the federal government’s GST Holiday Tax Break (Bill C-78) from December 14, 2024 to February 15, 2025 inclusive. The legislation passed by the House of Commons last month received Senate approval on December 12, 2024.

Further to the communications shared on November 26, November 30 and December 9, please see below important updates and confirmed details.

Wholesale Customer Centre orders   

GST relief will be applied to qualifying products ordered on Web Store and will be visible at checkout. However, the timing of GST relief is based on invoice date, not the order date. This means the relief will only be finalized and applied reflected on the invoice once the order is shipped from the distribution centre. 

Please note, in preparation for the implementation of the GST Holiday Tax Break, Web Store will have a maintenance window from 12 a.m. to 5 a.m. on Saturday, December 14, 2024. As such, orders placed before 5 a.m. may not show GST relief applied at the checkout screen.

Additionally, GST relief will also apply to qualifying products ordered by phone or email.

Wholesale Customer Centre (WCC) support

To help support customers for the launch of the federal GST Holiday Tax Break, WCC will be extending its hours of operations as follows:

  • Saturday, December 14 (8 a.m. to 3:30 p.m.)
  • Sunday, December 15 (8 a.m. to 3:30 p.m.)

Please contact WCC if you have any questions regarding your orders:

Identifying qualifying alcoholic beverages for GST relief

The LDB is continuing to review the legislation and guidance provided by the Canada Revenue Agency (CRA) to compile and refine a list of qualifying alcoholic beverages which includes:

  • All beer and malt beverages;
  • 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 liqueurs;
    • Spirit coolers with more than 7% ABV;
    • Premixed alcoholic beverages (other than beer, malt beverages, wine, cider and sake) with more than 7% ABV;
    • Fortified wine, cider and sake with more than 22.9% ABV.

An updated list of qualifying alcoholic beverages is posted on LDB Wholesale Operations website here.

Please note we updated the file to include beer and malt beverages with more than 11.9% ABV in the qualifying product list. We will continue to review and refine this list as needed.

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.

Additional information

Memos, FAQs and the qualifying product list is available in the GST Holiday Tax Break resource section of the LDB Wholesale Operations website here. More details on the steps the LDB is taking to prepare for implementation will be made available once they are confirmed