Ministry Role and Services

Ministry Overview

The Ministry of Provincial Revenue provides a central service to the Province of British Columbia for revenue and debt administration and collection, billings and receivables, tax appeals, and loan administration. The ministry is responsible for administration and collection of income, consumption, resource and property taxes, as well as Medical Services Plan premiums, certain fees and outstanding debts and receivables. In 2003/04, the ministry administered $16.9 billion in revenue and receivables, representing 60 per cent of all revenues received by the Province. These revenues support important public services such as healthcare and education.

To ensure continuing high service levels to partner ministries and Ministry of Provincial Revenue customers, the ministry has worked to define accountabilities for each element of the process involved in transferring accounts receivable to the ministry for billings, remittance and collections.

As a service provider for billing, receivable and collection services, the ministry is dependent on the integrity and timeliness of information received from partner ministries. The ministry works collaboratively with partners to achieve improved results in these areas, including support to improve program delivery when possible, such as reduction of backlogs and improvements in customer tombstone information.

Ministry Vision, Mission and Values

Our Vision

We will be the centre of excellence for revenue and debt collection in government.

Our Mission

We provide fair, efficient and equitable revenue and debt collection which supports public services to meet the needs of British Columbians.

Ministry Operating Context

Changes to policy and legislation affect the collectibility of revenues and debt. For example, changes in registration or premiums may result in increased non-payment due to increased eligibility for assistance or exemptions. These types of decisions are under the sole control of the ministries which are responsible for determining how best to deliver their programs, however, the Ministry of Provincial Revenue remains flexible to adapt to changing rules and consequent changes in the collectibility of accounts receivable.

The accuracy and integrity of client identifying information maintained by program ministries is critical for revenue and debt administration and collection. Some ministries are accountable for delivering mandatory services and are not able to apply standard credit granting practices to determine whether a client should be allowed to access services (for example, Medical Services Plan registration). Other ministries provide services which are intended to serve or protect the broader public interest, regardless of the likelihood of repayment (for example social assistance overpayments). These factors must sometimes be weighed against Ministry of Provincial Revenue's mandate to maximize revenues and collections to ensure that its work is not counterproductive to the goals and objectives of other ministries' programs.

In addition to lack of control over credit granting decisions, the ministry is impacted by changes and swings in the economy. Economic declines can result in increased non-payment of obligations, while growth in the economy can generate new revenues as well as support increased revenue and debt collection. The British Columbia economy grew 2.2 per cent in 2003. Domestic activity was the main driver of economic growth last year. Consumer spending, which accounts for about two-thirds of all economic activity in the province, benefited from continued low interest rates and robust employment growth. In 2003, housing starts recorded significant growth of 21 per cent and the British Columbia economy posted average annual job growth of 2.5 per cent. Overall, growth in business investment accelerated to 8.2 per cent, mainly reflecting strength in the residential construction sector. The Canadian dollar appreciated rapidly in 2003 and the higher value of the currency had a significant impact on the trade sector. As a result, export growth was limited to 0.5 per cent growth in 2003, while imports grew a stronger 4.3 per cent.

Ministry Structure and Core Business Areas

Core Business Area

Tax Administration and Collection

The ministry provides fair, efficient, professional and equitable administration of tax, revenue and benefit programs to ensure that government receives the revenue it is due through compliance with taxation, energy and forest revenue statutes. The ministry works with taxpayers and businesses to promote voluntary compliance through quality customer service, education and compliance programs. The ministry represents British Columbia with the Canada Revenue Agency (CRA) and the Canadian Border Services Agency (CBSA) with respect to the taxation statutes that the CRA administers on behalf of the province, and also handles the collection of taxes for other agencies such as the Greater Vancouver Transportation Authority and local governments. Revenues assessed as a result of tax administration programs support vital public services such as health and education.

Debt Administration and Collection and Home Owner Grant

The ministry is the central collector for overdue non-tax debts owed to the Province. The ministry provides collection and loan management services to other government ministries and Crown agencies, assisting them to collect overdue money owed by individuals or businesses, and is the provincial administrator for the Canada Revenue Agency set-off program. These services ensure that all British Columbians and businesses are meeting their legitimate obligations and operating on a level playing field. Debt administration and collection ensure that government is receiving the amounts owed by individuals for their usage of government programs and services.

The ministry also administers the Home Owner Grant Program which provides a grant to residents in relation to their property taxes. The ministry ensures that it is administered in a fair and equitable manner, has the authority to consider appeals, audits grant claims and recovers ineligible grants.

Executive and Support Services

This includes the Minister's Office and Strategic Initiatives and Administration Division, which performs corporate functions and provides strategic support to the ministry.

The ministry provides a central government function to receive payments, process transactions, and deal with inquiries for billing and payment related issues. The ministry performs several major functions including: payment and data capture; enquiry/call centre operation; financial account maintenance; and program transition and internal customer services. These services ensure that British Columbians and businesses are receiving accurate and timely information about their obligations and how they can meet them.

The ministry reviews tax and revenue-based appeals separately from the tax revenue and administration function. The Appeals Branch core functions include receiving appeals to the minister; analyzing the basis for assessments, disallowance of refunds or decisions; analyzing the grounds for appeal; gathering additional information and/or documentation; contacting taxpayers to ensure full understanding of their position; assessing the merits of appeals; making recommendations to the minister regarding disposition of appeals and managing litigation arising from appeals. The Appeals Branch ensures that individuals and businesses have access to affordable and timely remedies to address their concerns about their tax obligations.

Strategic Shifts and Significant Changes in Policy Direction

To mitigate the impacts of external influences such as economic shifts and information quality on ministry achievement of Service Plan goals and objectives, the ministry has embarked on a major initiative to consolidate the close to 40 different accounts receivable systems in government to improve revenue and debt administration and management. The Revenue Management Project is intended to maximize the expertise of a private sector partner in creating a single revenue management system with attendant wrap-around services to improve customer service, enhance efficiency in revenue management, and reduce accounts receivables and improve collections across all government programs. This will better enable government to weather external changes affecting revenue and debt, and make it easier for British Columbians to understand and meet their obligations.