July 9, 2026
BC PST Changes for Architects: How to Invoice in QuickBooks Online Starting October 1, 2026
BC architects, we need to talk about the big changes coming for PST!
Starting October 1, 2026, BC PST will apply to certain architectural services. But before you start charging 7% PST on your full invoice, take a moment to read through this article, because unfortunately, the new rules are more complex than that.
For taxable architectural services, PST applies at 7% on 30% of the service fee. That means that PST is only charged on 30% of the architectural fee, not the full invoice. Oh dear!
If you are a self-employed architect or small architecture firm in BC using QuickBooks Online, here is the simplest way to invoice correctly.
BC PST on Architectural Services: What Is Changing?
Starting October 1, 2026, BC is expanding PST to certain professional services, including architectural services. If you provide taxable architectural services in BC, you may need to register for PST, charge PST, collect it from clients, and remit it to the BC government.
The calculation is:
PST = 7% on 30% of the taxable architectural service fee
Example:
If your architectural fee is $10,000:
- PST applies to 30% of the fee: $3,000
- PST at 7% on $3,000: $210
- GST at 5% on the full $10,000: $500
- Total invoice: $10,710
Not too scary. Just mildly annoying. Very on-brand for sales tax.
How to Invoice BC Architectural Services in QuickBooks Online
Instead of creating a custom 2.1% PST rate in QuickBooks Online, we recommend splitting the architectural fee into two invoice lines:
- 30% of the total fee
Apply GST/PST 12% - 70% of the total fee
Apply GST 5% only
This works because GST is still charged on the full invoice, while PST is only charged on the 30% portion.
For a $10,000 architectural fee, your QBO invoice should look like this:
| Description | Amount | Sales Tax Code |
|---|---|---|
| Architectural services – 30% PST taxable portion | $3,000 | GST/PST 12% |
| Architectural services – 70% GST only portion | $7,000 | GST 5% |
This should calculate:
- GST: $500
- PST: $210
- Total invoice: $10,710
How to Set Up the 30/70 PST Split in QBO
In QuickBooks Online, go to:
Settings → Products and Services → New → Service
Create two service items:
Architectural Services – 30% PST Taxable Portion
Use this for 30% of your fee. Set the sales tax code to GST/PST 12%.
Architectural Services – 70% GST Only Portion
Use this for 70% of your fee. Set the sales tax code to GST 5%.
When you invoice, split the total fee between the two service lines.
For example, if the fee is $15,000:
| Description | Amount | Sales Tax Code |
| Architectural services – 30% PST taxable portion | $4,500 | GST/PST 12% |
| Architectural services – 70% GST only portion | $10,500 | GST 5% |
That is it. QBO does the sales tax calculation from there.
Deposits and Progress Billing for BC Architecture Firms
For deposits, retainers, or progress invoices, we recommend creating an Estimate in QuickBooks Online first for the full project total.
Set up the estimate using the same two-line method:
| Description | Amount | Sales Tax Code |
| Architectural services – 30% PST taxable portion | 30% of total fee | GST/PST 12% |
| Architectural services – 70% GST only portion | 70% of total fee | GST 5% |
Then use QBO’s progress invoicing feature to create invoices from the estimate. This helps keep the GST and PST calculation tied to the original quote instead of rebuilding the tax split manually each time.
Progress invoices can generally be created based on a percentage of the total estimate or specific amounts from estimate lines. QuickBooks Online’s Projects feature is available in QuickBooks Online Plus and Advanced, so if you want to track estimates, progress invoices, and project profitability together, you will want one of those plans.
Be extra careful with projects that cross October 1, 2026, especially fixed-fee projects, retainers, and progress billing. If the service period crosses the start date, your invoicing may need a closer review.
Other Helpful QuickBooks Online Features for Architecture Firms
While you are updating your invoicing, this is also a good time to review a few other useful QuickBooks Online features:
- Automatic invoice reminders to help collect overdue invoices without sending manual follow-up emails.
- Online payment options so clients can pay directly from the invoice by credit card or other connected payment methods.
- Progress invoicing from estimates to bill projects in stages while keeping sales tax tied to the original estimate.
- Project tracking to review revenue, expenses, and profitability by project.
- Recurring invoices for monthly retainers or fixed monthly billing.
- Receipt and document uploads to keep project expenses and backup organized.
Need Help Setting Up QBO for the New BC PST Rules?
If you are running a small architecture firm, you probably did not start your business because you were excited about PST rules, invoice tax codes, overdue receivables, and bookkeeping cleanup.
That is where Deximal can help.
Deximal helps Canadian small businesses keep their QuickBooks Online bookkeeping, tax filings, and cloud accounting systems clean, practical, and easy to use. For BC architects, that means we can help you get your invoicing ready before the October 1, 2026 PST changes take effect, so you can invoice clients correctly from day one.
A free inquiry meeting with Alicia at Deximal is a good fit if you want help with:
- Setting up the 30/70 PST split in QuickBooks Online
- Creating a clean estimate and progress billing workflow
- Keeping your books on track before small errors turn into a bigger mess
- Seeing which projects are actually profitable
- Year end corporate tax returns and sole proprietor tax returns
- Back office paperless receipt management to protect you in case of a CRA audit
- Ongoing tax planning and business advisory meetings
- Making a new best friend who wants to cheer on your business!
The goal is not just to keep your books “done.” It is to help you invoice correctly, get paid faster, stay compliant, and understand your numbers so that you can confidently make important business decisions.
If you are a BC architect and want a second set of eyes on your QuickBooks Online setup, book a free inquiry meeting with Alicia at Deximal through our Contact Us page.
Let’s get your invoicing workflow set up correctly before PST turns into a tiny administrative goblin!