Highlights of the Year
Permanent Small Business Roundtable and Community Consultation Sessions
In October 2005, the ministry established a permanent Small Business Roundtable1 to provide a forum for ongoing dialogue with the small business community across British Columbia.
The permanent Small Business Roundtable, led by 24 members of the small business community from all regions of the province and representing a number of small business associations, will provide ongoing advice to government on issues, strategies and possible actions to make British Columbia the most business friendly, citizen-centred jurisdiction in Canada.
Small Business Roundtable Members Comment on Community Sessions
"Many interesting ideas were brought forward to the minister at today's meeting. The small business community of Cranbrook welcomes this opportunity to meet with the minister and discuss, face-to-face, their ideas for how government and business can work more effectively together." — Mr. B. Hryciuk, Hryciuk Gallinger & Co., Inc., December 5, 2005; Cranbrook.
"These roundtables provide an important forum for small business owners to build and strengthen their working relationship with government." — Ms. L. Jones, Vice-President, BC and Yukon, Canadian Federation of Independent Business, January 26, 2006; Nanaimo.
By April 2006, the roundtable had held 18 consultations with small business owners in communities across the province. After completing the initial round of consultations, roundtable members will summarize and prioritize key issues facing small business in British Columbia, as well as provide feedback and advice to government on specific proposals that impact small business. Additionally, the roundtable members may identify and undertake selected initiatives to enhance the economic competitiveness of the small business sector. Government and the ministry will review the advice from the Small Business Roundtable and, working with partners, develop a Small Business Strategy to support the ongoing success of the small business sector.
The Ministry of Small Business and Revenue, partnering with the Ministry of Education, provided Junior Achievement British Columbia with $2 million to support the expansion of entrepreneurship, business and trade education programs in schools across the province. The contribution was made in response to the need for expanded student business, trade and entrepreneurship programming identified in every region of the province during Small Business Roundtable consultations. The funding will provide expanded opportunities for students to understand the future career opportunities offered by entrepreneurship, trades and small business, and provide more students with the skills needed to be successful business leaders and entrepreneurs. There will also be opportunities for more businesses and small business operators to become involved in student entrepreneurship programs by acting as mentors and volunteers in student based programs.
| 1 | For more information on the Small Business Roundtable or to submit ideas or comments online, visit http://www.smallbusinessroundtable.ca/. |
Provincial Sales Tax Review
The ministry launched the British Columbia Provincial Sales Tax (PST) Review2 as part of the government's commitment to review taxation policies. The purpose of the review is to consult with individuals,
small business and industry to develop revenue neutral options for changes to the PST. The Review will look at policies, legislation
and related administrative processes to streamline, simplify and enhance fairness for taxpayers.
PST Review consultations were held in conjunction with the Small Business Roundtable meetings. Businesses were invited to make presentations to the Minister on their key PST issues. By April 2006, 166 business representatives had participated in PST Review meetings. The ministry also accepted submissions via email, mail and facsimile.
PST Review consultations concluded in May 2006. The ministry and the Ministry of Finance will analyze the input received and
recommend changes to policy and legislation for spring 2007.
Taxpayer Fairness and Service Code — Service Standards
In January 2005, the ministry introduced the Taxpayer Fairness and Service Code3 detailing a taxpayer's right to timely customer service, courtesy, respect, fair treatment and confidentiality in all their dealings with the ministry.
Subsequently, in October 2005, the ministry introduced 12 service excellence standards focused on the timeliness and accessibility of ministry services. Service standards were developed in partnership with several small business organizations from across British Columbia and address service areas of significance to their members. These standards will be used to monitor the ministry's customer service performance. Reporting on the ministry's performance begins in 2006/07. The Taxpayer Fairness and Service Code and associated service standards reflect the ministry's commitment to a culture of service excellence.
| 2 | For more information on the Provincial Sales Tax (PST) Review view online at http://www.sbr.gov.bc.ca/PSTReview/index.htm. |
| 3 | For more information on the Taxpayer Fairness and Service Code, view online at http://www.sbr.gov.bc.ca/fairness/. |
Citizen-Centred Customer Service
The ministry is committed to providing excellent customer service — public services that are more accessible, easier to deal with, and more responsive to individuals. In 2005/06, the ministry continued to focus on providing complete, clear, accurate and timely information to assist individuals and businesses to better understand their rights and obligations, and increase voluntary compliance with financial obligations to government. The following initiatives are some examples illustrative of the ministry's commitment to citizen-centred service delivery:
- A new initiative in 2005/06 focused on improving the quality of the information available to ministry customers. The ministry has been rewriting publications in plain language and creating new industry specific information. Several industries — film and television production, fabric and craft stores, nurseries and garden stores, and school suppliers — now have information specific to their business. The ministry will revamp information materials for approximately 40 different industries by March 2007. The information will be easier for industries to understand and will be more relevant to their business.
- The ministry collaborated with the Canada Revenue Agency to provide 19 Goods and Service Tax (GST) and Provincial Sales Tax (PST) information seminars, reaching almost 300 participants.
- Eighty-four "PST and You" seminars were conducted in regions across the province. The seminars provide information on the application and administration of the Social Service Tax Act. Over 2,400 registered vendors and individuals attended these seminars to increase their awareness of their responsibilities under the Act. The ministry also provided PST information at five convention and trade shows including the BC Construction Show and the BC Oil & Gas Summit, and conducted eight industry specific meetings to provide PST information dedicated to their industry sector.
- The ministry established a dedicated team to provide tax rulings to the public and ministry staff. The team responded to approximately 6,500 requests in 2005/06, a 40 per cent increase from 2004/05. Service excellence standards and turn-around times are documented in the Taxpayer Fairness and Service Code and performance reporting will begin in 2006/07.
- Adding to its dedicated telephone contact centre and 'front counter' service, the ministry officially opened its first Customer Service Centre in Victoria in July 2005. The centre provides walk-in access and personal service. This includes access to many provincial tax services — face-to-face business registration and responses to general enquiries, and a OneStop Kiosk (a web-based, electronic service delivery system designed to simplify government registration requirements for business owners).
- The ministry's telephone contact centres have realized significant service improvements in responding to customer calls. The average wait time for taxpayer inquiries was reduced from approximately 50 seconds to 20 seconds, while the wait time for Medical Services Plan billing inquiries were reduced from approximately three minutes to less than one minute over the past year.
Regulatory Reform
British Columbia has established itself as a leader and innovator in regulatory reform, implementing a regulatory reform initiative that measures regulatory burden, reviews existing regulatory requirements, controls new requirements, and measures and reports performance progress. No other Canadian jurisdiction has such a comprehensive reform initiative.
CFIB sees British Columbia as a Leader in Regulatory Reform
A recent Canadian Federation of Independent Business Report, Rate R: Prosperity Restricted by Red Tape, (December 12, 2005) identified British Columbia as a province in the forefront of regulatory reform. The report states,
"While still a young initiative, the regulatory reform program that started in BC in 2001 is arguably one of the most promising in Canadian history. It has all the essential ingredients for success: political leadership, public accountability and constraints on regulations."
In the last five years, government has reduced the number of regulatory requirements by 41 per cent, eliminating almost 156,000 requirements. Performance has exceeded government's goal to remove one-third of regulatory requirements. Regulatory reform makes it easier, faster and more efficient for individuals and businesses to deal with government. The initiative saves British Columbians time and money, and reduces administrative costs for government.
Beginning in 2006/07, the government will expand its regulatory reform focus to include the implementation of a new citizen-centred regulatory reform process. This will include ministry-specific projects to streamline access to government services for individuals, and reduce the steps to comply with regulations for small business and industry.
Revenue and Debt Collection
The ministry provides a central service to the Province for tax administration and revenue management. In 2005/06, the ministry administered $20.6 billion in revenue, or approximately 58 per cent of all revenue received by the Province. Almost 98 per cent of the revenue collected by the ministry was identified by the ministry or self-assessed by individuals and businesses without ministry audit intervention.
The ministry achieved $310.5 million in incremental revenue in 2005/06, exceeding the target of $225.6 million. Incremental revenue is realized primarily as a result of ministry compliance activities. The ministry performed over 189,000 reviews and audits during the year.
The ministry exceeded its debt collection forecast of $324.0 million, recovering $349.8 million.
Revenue Management Project4
In 2004, the Province entered into an agreement with EDS Advanced Solutions Inc., a British Columbia based, wholly owned subsidiary of EDS Canada, Inc., to improve and streamline business processes and implement information technology solutions. The goal is to transform, consolidate and centralize government revenue management under the Ministry of Small Business and Revenue.
During 2005/06, project development proceeded in consultation with key government stakeholders, and significant work for the design, configuration and implementation of the new Revenue Management System was completed. The first phase of the new system was implemented in April 2006. The ministry will now work with client ministries to transition account, bill, pay and collect functions to this centralized system.
For information on the achievements of the ministry's private sector service provider during the first year of operations, view the Revenue Services of British Columbia Annual Report, published March 31, 2006 online at http://www.sbr.gov.bc.ca/collections/Annual_Report-2005.pdf.
| 4 | View the Revenue Management Project Summary Report online at http://www.sbr.gov.bc.ca/rmp_summary_report.pdf. |
