Contractor accountant in Prince George
Building in Prince George means a short season, frozen ground, heated enclosures in winter and a lot of industrial work at mills and plants alongside houses and shops. All of it bills in ways an ordinary ledger handles badly. EverStone looks after contractors in Prince George remotely, from Abbotsford.
Quick answer: A Prince George contractor has to handle T5018 subcontractor reporting, holdbacks on both sides of the ledger, PST on materials installed into buildings, GST on progress billings, and WorkSafeBC clearance letters for every subtrade. EverStone handles all of it remotely at a fixed fee.
For a one-owner trades corporation, monthly bookkeeping, payroll and the year-end T2 with statements usually run $450 to $650 a month. The year-end covers the T2 with Schedule 50, the CCA schedule, the small business deduction, T4 or T5 slips for the owner’s pay, and the instalments for the year ahead. Published fees start at $300 a month for bookkeeping; see the pricing page.
Building in a short northern season
The building season in Prince George is compressed. Foundations and site work wait for the frost to leave, and winter work means hoarding, heaters and fuel. A contractor can earn most of the year’s revenue in a few months, then carry crews, equipment payments and shop rent through the cold.
That shape matters for the books. Winter heating and protection costs belong to the jobs that caused them, not to overhead. Revenue should be matched to the work done in each period, not to when invoices went out. And the cash from a busy summer has to cover GST, instalments and payroll into spring. We plan those with you in the fall. Cash flow for a seasonal business goes further.
T5018, if you pay anyone else to do the work
If construction is your main business and you pay subcontractors for construction services, you file T5018 slips and a summary. The return is due six months after the end of the reporting period, which can be the calendar year or your fiscal year. Each slip needs the subcontractor’s name, address and business number.
Collecting those details before the first payment is easy. Chasing them in June for a crew that has moved on to a camp up north is not. We keep the tracking in the books as you pay, so the slips are a report, not a project. T5018 reporting covers who files, and the T5018 tracker helps you collect the details.
Holdbacks sit on both sides of the ledger
BC builders lien rules mean owners hold back part of each progress payment until the work is finished and the lien period passes. As a subcontractor, you are owed holdbacks. As a general, you are holding them on your subtrades. Both are real balances, and both need their own accounts.
A holdback receivable is still income when the work is billed, even though the cash is months away. GST on it generally becomes due when the holdback is payable, which is later than the rest of the invoice. Tracking them by job means you know what to chase when a project closes. Holdback accounting explains the entries.
PST on the materials you install
In BC, a contractor who supplies and installs materials into real property is generally treated as the consumer of those materials. You pay 7% PST when you buy them, and you do not charge PST to the customer on the installed materials. That is different from selling goods over the counter, where you charge PST to the buyer.
Contractors in Prince George often do both. A shop that fabricates and installs railings, or an electrician who also sells fixtures without installing them, faces two treatments on one customer. Industrial work at a mill or plant can raise questions about production machinery exemptions too. We review your contracts against the rules before the province does. The BC PST guide sets out the basics.
GST is due on the invoice, not on the payment
GST on a progress billing is generally due on the earlier of the invoice date and the date payment is due. A contractor who bills a large draw in March owes the GST on the next return, even if the general contractor pays in May. Input tax credits on materials, fuel and subcontractor invoices come back on the same return, if the paperwork shows the supplier’s GST number. Input tax credits explained covers what you need on file.
WorkSafeBC, and the clearance letter nobody asked for
As an employer, you register with WorkSafeBC, report assessable payroll and pay premiums for your classification. As a contractor paying subtrades, you also need to check their status. If a subcontractor is not registered or falls behind, their premiums can become yours. A clearance letter before each payment is the protection.
Prime contractors on industrial sites usually require proof of good standing before you start. We keep the registration current and the clearance letters on file. WorkSafeBC registration explains the steps, and payroll in Prince George covers the crew side.
Job costing, equipment and the CCA schedule
A contractor that cannot see profit by job is pricing the next one blind. We set up the books so labour, materials, equipment time and subcontractors are coded to each job. At the end of a project you see the real margin, including the winter heat and the extra trips.
Excavators, skid steers, trailers and service trucks go onto the CCA schedule by class. Buying before year-end starts the deduction sooner, with the half-year rule limiting the first claim. A trade-in can produce recapture. Equipment CCA classes lists where common machines land.
When most of your work comes from one customer
Some incorporated tradespeople in Prince George work almost entirely for one general contractor or one industrial plant. If the relationship looks like employment, the CRA can treat the corporation as a personal services business. The small business deduction is then lost and most expenses are denied. Having your own tools, several customers, and control over how the work is done all help. The PSB risk assessment walks through the factors.
The same question runs the other way when you hire. A finisher or a labourer you treat as a subcontractor may in substance be an employee. If so, CPP and EI premiums should have been withheld, and the CRA can assess them later with penalties. Settle it before the first payment, not after a review. Subcontractor or employee sets out the tests.
Fully virtual, based in Abbotsford
EverStone is a one-CPA firm based in Abbotsford, serving Prince George contractors remotely. There is no Prince George office. Invoices, subcontractor details and receipts come in through a secure upload link, often from a phone on site. Questions go by email, with a video call when it helps. The CPA who keeps your books prepares your corporate return.
Written and reviewed by a Chartered Professional Accountant at EverStone CPA, an Abbotsford CPA firm working remotely with small businesses and incorporated owners across British Columbia. Updated . About the firm · Send an enquiry
What an incorporated contractor has to get right
| Item | Why it matters |
|---|---|
| T5018 slips | Due six months after the reporting period, with each subcontractor’s details |
| Holdbacks | Receivable and payable balances that outlast the job |
| PST on installed materials | Paid by the contractor as consumer, not charged to the customer |
| WorkSafeBC clearance | Protects you from an unregistered subtrade’s premiums |
| Sales tax where you operate | 5% GST plus 7% BC PST: two registrations, two returns |
Source: Construction accounting in BC. General information, not advice.
Prince George contractor questions
Do I charge PST on materials I install?+
Who has to file T5018 slips?+
When is GST due on a holdback?+
How should winter heating and hoarding be recorded?+
What does accounting cost for a Prince George contractor?+
Do you have a Prince George office?+
Do you work with contractors outside Prince George itself?+
Related services and local guides
The rest of what we do for Prince George businesses, and the reference pages behind this one.
Fees are fixed and agreed in writing before the work starts; the published fee page shows the starting points.
Incorporated trade in Prince George?
Get the T5018s, the holdbacks, PST on installed materials and WorkSafeBC handled by one CPA, at a fixed fee agreed up front.
