---
title: "Contractor Accountant in Courtenay: T5018, PST, Holdbacks"
url: https://www.everstonecpa.com/contractor-accountant-courtenay
description: "Accounting for Courtenay construction contractors: T5018 slips, PST on materials, holdbacks, WorkSafeBC and the T2, handled online. Get a fixed quote."
updated: 2026-10-16
publisher: EverStone CPA Inc. (Chartered Professional Accountant firm, Abbotsford, BC)
service_area: British Columbia, Alberta, Ontario and Manitoba
---

[Home](https://www.everstonecpa.com/) [Accountant in Courtenay](https://www.everstonecpa.com/accountant-courtenay) Construction contractors

Construction & trades · Courtenay

# Accountant for *Courtenay* construction contractors

Comox Valley builders work across a wide patch: new homes and renovations in Courtenay and Comox, cabins and outbuildings out towards Cumberland and Royston, commercial work in town and the occasional job further up or down the Island.

EverStone is a [contractor accountant](https://www.everstonecpa.com/contractor-accountant) and a [Courtenay small-business CPA](https://www.everstonecpa.com/accountant-courtenay), handling T5018 slips, PST on materials, holdbacks, WorkSafeBC and the corporate return at fixed fees, remotely.

[Get My Fixed Quote](https://www.everstonecpa.com/book-online)[Ask a Free Question](https://www.everstonecpa.com/quick-question)

**Quick answer:** A Courtenay contractor reports subcontractor payments on T5018 slips, pays PST on materials installed into real property, tracks holdbacks owed and receivable, keeps WorkSafeBC clearance letters for every sub, and charges GST on progress billings when invoiced. EverStone keeps the books and files the returns for Comox Valley contractors remotely, at a fee fixed in writing.

For an incorporated Courtenay trade or general contractor, monthly bookkeeping, payroll and the year-end T2 with statements usually run $500–$700 a month all-in. Bookkeeping on its own starts from $325 a month with GST and PST filing included. A Courtenay sole-proprietor tradesperson’s T1 with a T2125 is commonly $275–$500. Every fee is on the [pricing page](https://www.everstonecpa.com/pricing).

## Building across the Comox Valley

Construction in the valley comes in a few distinct shapes. Residential builders and framers put up new houses and suites. Renovation contractors work through older homes, adding suites, decks and additions. Commercial and institutional work follows the city’s role as the urban centre of the valley, with shops, offices and services that need fitting out and maintaining. Some contractors also take work in other Island communities. Each shape bills differently, and the books have to match.

A residential builder may hold houses as inventory. A renovator bills small jobs quickly. A commercial contractor bills progress draws against a contract and waits for holdbacks. A one-size chart of accounts fits none of them well.

Most also carry equipment: a work truck, a trailer, an excavator or a skid steer, often financed. Each unit goes on the CCA schedule in its own class, with loan payments split between principal and interest. The building season is busiest in the drier months, so cash for remittances and the winter payroll needs setting aside while the draws are coming in.

## Business licences for contractors who travel

The City of Courtenay requires every business working in the city to hold a valid business licence, including non-resident and mobile businesses, and licences run from January 1 to December 31. For general contractors and trades who work in several communities, the city offers an inter-community business licence that also covers participating municipalities such as Comox, Cumberland, Campbell River, Nanaimo, Parksville and Qualicum Beach. It is an annual cost on top of the standard licence fee, so we code it to its own account and note the renewal. Licence fees are deductible business expenses.

## T5018, if you pay anyone else to do the work

If construction is your main business activity and you pay subcontractors for construction services, you report those payments on [T5018 slips](https://www.everstonecpa.com/forms/t5018). The slips and summary are due six months after the end of the reporting period, which can be the calendar year or your fiscal year. The CRA matches them against the subcontractors' own returns, so names, business numbers and totals need to be right. Collecting each sub’s details before the first payment is far easier than chasing them in the spring. The [T5018 subcontractor tracker](https://www.everstonecpa.com/t5018-subcontractor-tracker) helps keep the list current, and [T5018 reporting](https://www.everstonecpa.com/blog/t5018-subcontractor-reporting-construction) explains who files.

Payments that are not for construction services do not go on the T5018. A bookkeeper you pay, an engineer’s fee or equipment rental without an operator are treated differently, and some may belong on a T4A instead. Sorting payments into the right bucket as they are made saves rebuilding the year in February.

## PST on the materials you install

BC PST works differently for contractors than for most businesses. A contractor who supplies and installs materials into real property, such as lumber, drywall, roofing or fixtures, is usually treated as the consumer of those materials. You pay 7% PST when you buy them and do not charge PST to the owner on the installed price. Equipment and tools you use are taxable to you as well.

It changes when you sell goods without installing them, or when you fabricate items in a shop. A contractor who also sells appliances, cabinets or supplies separately may need to register and collect PST on those sales. [The BC PST guide](https://www.everstonecpa.com/blog/bc-pst-small-business-guide) covers the registration test, and rates are on [BC tax facts](https://www.everstonecpa.com/bc-tax-facts).

## Holdbacks sit on both sides of the ledger

On larger jobs, the owner or general contractor holds back part of each payment until the work is complete and lien periods have passed. That money is earned but not yet received, so it belongs in a holdback receivable, not in revenue that never shows up in the bank. If you hold back from your own subs, the mirror image is a holdback payable. Both need tracking job by job and releasing when due. [Construction holdbacks](https://www.everstonecpa.com/blog/construction-holdbacks-accounting-canada) explains the entries.

## WorkSafeBC, and the clearance letter

Every Courtenay contractor with workers needs a WorkSafeBC account, and construction classifications carry higher premiums than most. When you hire a subcontractor, ask for a WorkSafeBC clearance letter before paying them. If the sub is not in good standing, you can be held liable for their unpaid premiums. A clearance letter on file for each payment period closes that gap. [WorkSafeBC registration](https://www.everstonecpa.com/blog/workers-compensation-registration-bc) covers the setup.

## GST on progress billings and new housing

GST is generally due when you invoice, not when you are paid. On a progress-billed job, each draw invoice triggers GST even if the payment, or the holdback, arrives months later. That can strain cash, so the GST account needs to be watched alongside receivables.

A builder who constructs and sells a new house, or substantially renovates one, is in a different position. The sale is taxable, and the builder may need to account for GST on the selling price and deal with new housing rebates. A homeowner who builds a suite to rent can face related questions. Get advice before the first spec house is listed, not after.

## Job costing, or a year you cannot explain

Without job costing, a contractor finds out at year-end whether the year made money, and cannot say which jobs did. Labour, materials, equipment time and subcontractors coded to each job as they happen turn the books into a quoting tool. On larger contracts, work in progress at year-end needs measuring too, so revenue lands in the right year. We set up the job structure in your software and keep it current monthly. [Construction accounting in BC](https://www.everstonecpa.com/construction-accounting-bc) goes into more detail.

## Fully virtual

EverStone is a one-CPA firm that works online. There is no Courtenay office. Invoices, receipts and contracts come in through a secure upload link, often straight from a phone on site. Questions go by email first, with a video meeting when one helps. The fee is fixed in writing before work starts. For the books themselves, see [bookkeeping in Courtenay](https://www.everstonecpa.com/bookkeeping-courtenay); for crews, see [payroll in Courtenay](https://www.everstonecpa.com/payroll-services-courtenay).

About this article

**EverStone CPA** Written and reviewed by a Chartered Professional Accountant at EverStone CPA, a CPA firm working remotely with small businesses and incorporated owners across British Columbia. Updated October 2026 . [About the firm](https://www.everstonecpa.com/about) · [Send an enquiry](https://www.everstonecpa.com/book-online)

## What an incorporated contractor has to get right

What an incorporated contractor has to get right
The items that decide a contractor’s year — for a business operating in Courtenay, British Columbia

| Item | Why it matters |

| T5018 slips | Due six months after the reporting period; matched to subs’ returns |

| PST on installed materials | Paid by you as the consumer, not charged to the owner |

| Holdbacks | Earned but unpaid; tracked as receivables and payables by job |

| WorkSafeBC clearance | Protects you from a sub’s unpaid premiums |

| Sales tax where you operate | 5% GST plus 7% BC PST: two registrations, two returns |

Source: [Contractor accounting hub](https://www.everstonecpa.com/contractor-accounting-hub). General information, not advice.

Common questions

## Courtenay contractor questions

**Do I have to file T5018 slips?**

If construction is your main activity and you paid subcontractors for construction services, yes. The slips go to the CRA six months after the end of your chosen reporting period. [Ask about your case →](https://www.everstonecpa.com/quick-question)

**Do I charge PST to the homeowner?**

Usually not on materials you install into the home. You pay PST when you buy them, as the consumer, and build that cost into your price.

**When is GST due on a progress draw?**

Generally when you issue the invoice, even if payment or the holdback comes later. Plan the cash for it on each draw.

**What does a contractor accountant cost in Courtenay?**

Bookkeeping starts from $325 a month. An incorporated trade with bookkeeping, payroll and the T2 usually pays $500–$700 a month. The fee is fixed in writing first.

**Should I incorporate my construction business?**

Often once profit regularly exceeds what you take home, or a general contractor requires it. Incorporation adds a T2 and annual filings. [Should you incorporate?](https://www.everstonecpa.com/should-i-incorporate) sets out the trade-off.

**What do I need from a new subcontractor before paying them?**

Their legal name, address, business number or social insurance number for the T5018, their GST number if they charge GST, and a WorkSafeBC clearance letter. Collect all of it before the first cheque.

**Do I need a business licence in each Comox Valley town?**

Courtenay requires a licence for any business operating in the city, and each neighbouring municipality sets its own rules. Contractors and trades working in several participating Island communities can apply to the City of Courtenay for an inter-community business licence instead of separate ones. Check the city’s current list before relying on it.

**Is there an office in Courtenay?**

No. EverStone works with Courtenay contractors remotely, by email, video and a secure upload link.

**Do you work with contractors outside Courtenay itself?**

Yes. Contractors in Comox, Cumberland, Royston, Union Bay and the rest of the Comox Valley are served the same way, at the same fixed fees.

## Related services and local guides

Nearby cities, the rest of what we do for Courtenay businesses, and the reference pages behind this one.

[Trades accountant in Courtenay Vans, small invoices, PST on parts and apprentice payroll for Comox Valley trades.](https://www.everstonecpa.com/trades-accountant-courtenay)
[Contractor accountant in Nanaimo The same contractor engagement, serving the central Island.](https://www.everstonecpa.com/contractor-accountant-nanaimo)
[Accountant in Courtenay The full CPA service for Comox Valley businesses](https://www.everstonecpa.com/accountant-courtenay)
[Corporate tax (T2) in Courtenay The year-end return and owner pay](https://www.everstonecpa.com/corporate-tax-accountant-courtenay)
[Personal tax (T1) in Courtenay Returns for owners and families](https://www.everstonecpa.com/personal-tax-accountant-courtenay)
[Bookkeeping in Courtenay Monthly books with GST and PST filed](https://www.everstonecpa.com/bookkeeping-courtenay)
[Payroll in Courtenay Seasonal crews and WorkSafeBC](https://www.everstonecpa.com/payroll-services-courtenay)
[Restaurant accounting in Courtenay Tips, liquor PST and the daily close](https://www.everstonecpa.com/restaurant-accountant-courtenay)
[Farm accounting in Courtenay Cash method, GST and succession](https://www.everstonecpa.com/farm-accountant-courtenay)
[Realtor accounting in Courtenay Commission, GST and the PREC](https://www.everstonecpa.com/realtor-accountant-courtenay)
[Equipment CCA classes in BC Trucks, trailers and heavy equipment](https://www.everstonecpa.com/blog/equipment-cca-classes-bc)
[Subcontractor or employee? How the CRA decides](https://www.everstonecpa.com/blog/subcontractor-vs-employee-cra)
[Accountant in Nanaimo The nearest larger-city page](https://www.everstonecpa.com/accountant-nanaimo)
[Accountants across British Columbia Remote CPA service throughout British Columbia](https://www.everstonecpa.com/accountant-british-columbia)
[British Columbia tax facts Current rates and thresholds for British Columbia](https://www.everstonecpa.com/bc-tax-facts)

## Incorporated builder in Courtenay?

T5018s, PST on materials, holdbacks and WorkSafeBC handled by a BC CPA at a fixed fee.

[Get My Fixed Quote](https://www.everstonecpa.com/book-online)[Ask a Free Question](https://www.everstonecpa.com/quick-question)

---
Source: https://www.everstonecpa.com/contractor-accountant-courtenay
Contact: info@everstonecpa.com · https://www.everstonecpa.com/book-online