ARCHIVED — Vol. 146, No. 21 — October 10, 2012

Registration

SOR/2012-200 September 28, 2012

FIRST NATIONS GOODS AND SERVICES TAX ACT

Order Amending Schedule 2 to the First Nations Goods and Services Tax Act, No. 2012-3 (Nekaneet)

P.C. 2012-1143 September 27, 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), makes the annexed Order Amending Schedule 2 to the First Nations Goods and Services Tax Act, No. 2012-3 (Nekaneet).

ORDER AMENDING SCHEDULE 2 TO THE FIRST NATIONS GOODS AND SERVICES TAX ACT, NO. 2012-3 (NEKANEET)

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

Nekaneet

Council of Nekaneet

Each reserve of Nekaneet that is not shared with another band.

Saskatchewan

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

Nekaneet, which is a First Nation situated near Maple Creek, Saskatchewan, asked to be listed in Schedule 2 to the First Nations Goods and Services Tax Act. The Province of Saskatchewan 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 Nekaneet, with the agreement of the Province of Saskatchewan, to exercise provincial-type tax powers within its reserves that are not shared with another band.

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 Saskatchewan;
  • the name of Nekaneet;
  • the name of the council of Nekaneet; and
  • the description of Nekaneet’s reserves in Saskatchewan where the provincial-type tax law could apply.

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

Listing Nekaneet and the Province of Saskatchewan 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 band and the Province of Saskatchewan proceed, the 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 provincial-type tax and enter into a tax agreement with the Province of Saskatchewan 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

Nekaneet 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 provincial-type tax could apply. The Province of Saskatchewan supports the request that Schedule 2 be amended so Nekaneet may exercise provincial-type tax powers within its reserves that are not shared with another band. The amendment is consistent with the request of Nekaneet and the Province of Saskatchewan.

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. Nekaneet and the Province of Saskatchewan 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

Roch Vézina
Aboriginal Tax Policy Section
Department of Finance
140 O’Connor Street
Ottawa, Ontario
K1A 0G5
Telephone: 613-995-3648

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