ARCHIVED — Vol. 146, No. 6 — March 14, 2012

Registration

SOR/2012-25 March 2, 2012

FIRST NATIONS GOODS AND SERVICES TAX ACT

Order Amending Schedule 2 to the First Nations Goods and Services Tax Act, No. 2012-1 (Three Manitoba Bands)

P.C. 2012-218 March 1, 2012

His Excellency the Governor General in Council, on the recommendation of the Minister of Finance, pursuant to section 29 (see footnote a) of the First Nations Goods and Services Tax Act (see footnote b), hereby makes the annexed Order Amending Schedule 2 to the First Nations Goods and Services Tax Act, No. 2012-1 (Three Manitoba Bands).

ORDER AMENDING SCHEDULE 2 TO THE FIRST NATIONS
GOODS AND SERVICES TAX ACT, NO. 2012-1
(THREE MANITOBA BANDS)

AMENDMENT

1. Schedule 2 to the First Nations Goods and Services Tax Act (see footnote 1) is amended by adding the following in alphabetical order:

Column 1


Band

Column 2


Council of the Band

Column 3


Reserves

Column 4

Specified Province

Buffalo Point First Nation

Council of the Buffalo Point First Nation

Each reserve of the Buffalo Point First
Nation that is not
shared with another band

Manitoba

Pine Creek

Council of Pine Creek

Each reserve of Pine Creek that is not
shared with another band

Manitoba

War Lake First Nation

Council of the War Lake First Nation

Reserves of the War Lake First Nation

Manitoba

COMING INTO FORCE

2. This Order comes into force on the day on which it is registered.

REGULATORY IMPACT ANALYSIS STATEMENT

(This statement is not part of the Order.)

Issue and objectives

Three Indian bands in Manitoba have asked to be listed in Schedule 2 to the First Nations Goods and Services Tax Act. The Province of Manitoba supports the request. Section 29 of the First Nations Goods and Services Tax Act provides that Schedule 2 may be amended by order for that purpose. This Order in Council will enable the bands, with the agreement of the Province of Manitoba, to exercise provincial-type tax powers within their reserves.

Description and rationale

The attached Order amends Schedule 2 to the First Nations Goods and Services Tax Act by adding the name of the Province of Manitoba, the name of the three Indian bands, the name of the council of each band and the description of each band’s reserves where the provincial-type tax law could apply. The three Indian bands are

  • the Buffalo Point First Nation, which is situated on the Lake of the Woods;
  • Pine Creek, which is situated near Camperville; and
  • the War Lake First Nation, which is situated near Ilford.

Amending Schedule 2 to the First Nations Goods and Services Tax Act in this fashion makes it possible for the council of each of the bands, with the agreement of the Province of Manitoba, to enact a law that imposes a direct tax like a particular provincial tax (e.g. the Manitoba tobacco tax) within its reserves described in the Order. The amendment also makes it possible for the Province of Manitoba and each of the three bands to enter into an administration agreement in respect of that band’s law.

Listing the bands and the Province of Manitoba in Schedule 2 is an enabling measure that does not obligate the band to enact a provincial-type tax law and does not obligate the band or the province to enter into an agreement concerning the administration of the band’s law. If the bands and the Province of Manitoba proceed, each band’s provincial-type tax would be implemented when the province and the band enter into a tax administration agreement under which the province administers and enforces the band’s tax law and collects the tax for the band.

If an Indian band that is listed in Schedule 2 were to enact a law imposing a tax parallel to a particular Manitoba tax and enter into a tax agreement with the Province of Manitoba in respect of that law, then the band would realize, in accordance with the provisions of the agreement, a stream of revenue that could be used for the band’s purposes.

Consultation

Each of the bands has requested that Schedule 2 to the First Nations Goods and Services Tax Act be amended to include its name, the name of its council and the description of the reserves where the band’s provincial-type tax could apply. The Province of Manitoba supports the requests that Schedule 2 be amended so the listed bands may exercise provincial-type tax powers within their reserves. The amendment is consistent with the requests of the three bands and the Province of Manitoba.

Implementation, enforcement and service standards

No new enforcement or administrative obligations will be created for the Government of Canada as a result of this Order in Council. Each of the bands and the Province of Manitoba will be responsible for implementing any resulting arrangements, including arrangements for the administration, enforcement and collection of any provincial-type tax imposed by the band.

Contact

Ken Medd
Aboriginal Tax Policy Section
Department of Finance
140 O’Connor Street
Ottawa, Ontario
K1A 0G5
Telephone: 613-996-2192

Footnote a
S.C. 2006, c. 4, s. 96

Footnote b
S.C. 2003, c. 15, s. 67

Footnote 1
S.C. 2003, c. 15, s. 67