Through your responses to our surveys, we know the EHT was the most opposed policy introduced by the BC government in 2018. This new tax, scheduled to come into effect January 2019, places a brand new payroll tax on BC’s employers.
Thanks to CFIB's advocacy efforts, there has been some progress. Businesses with a payroll of $500,000 or less are fully exempt from the tax.
Additionally, the B.C. Government listened to our advice and made the new tax partially graduated.

That being said, the tax is still deeply flawed and discourages business growth. Our recommendations we have made to the Minister of Finance, Carole James, include:
- Do not introduce the EHT until the Medical Service Plan (MSP) has been fully phased out (i.e. no “double dip!”).
- Raise the threshold for exemption (currently $500,000).
- Ensure the thresholds increase by tying them to inflation.