Vol. 148, No. 12 — June 4, 2014
SOR/2014-119 May 16, 2014
FIRST NATIONS GOODS AND SERVICES TAX ACT
Order Amending Schedule 1 to the First Nations Goods and Services Tax Act, No. 2014–1 (Beecher Bay)
P.C. 2014-574 May 15, 2014
His Excellency the Governor General in Council, on the recommendation of the Minister of Finance, pursuant to section 15 (see footnote a) of the First Nations Goods and Services Tax Act (see footnote b), makes the annexed Order Amending Schedule 1 to the First Nations Goods and Services Tax Act, No. 2014–1 (Beecher Bay).
ORDER AMENDING SCHEDULE 1 TO THE FIRST NATIONS GOODS AND SERVICES TAX ACT, NO. 2014–1 (BEECHER BAY)
1. Schedule 1 to the First Nations Goods and Services Tax Act (see footnote 1) is amended by adding the following in alphabetical order:
|Beecher Bay||Council of Beecher Bay||Reserves of Beecher Bay|
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.)
Beecher Bay, which is an Indian band situated near Sooke, British Columbia, asked to be listed in Schedule 1 to the First Nations Goods and Services Tax Act (the Act) in order to be able to implement the First Nations Goods and Services Tax (FNGST). The FNGST is similar to the federal Goods and Services Tax (GST) but is imposed under the law of an Aboriginal government rather than under federal law.
The objective of the Order is to enable Beecher Bay, with the agreement of the Government of Canada, to implement the FNGST within its lands.
Pursuant to section 15 of the Act, the Order amends Schedule 1 by adding
- the name of Beecher Bay;
- the name of its governing body; and
- the description of the lands where its FNGST law could apply.
Beecher Bay requested that Schedule 1 be amended to include its name, the name of its governing body and the description of the lands where its FNGST law could apply. The amendment is consistent with the request of Beecher Bay.
The “One-for-One” Rule does not apply as the Order does not impose any administrative burden on business.
Small business lens
The small business lens does not apply because the Order does not entail any administrative or compliance costs for small business.
Amending Schedule 1 in this fashion makes it possible for the governing body of the Aboriginal group, with the agreement of Canada, to enact a law that imposes the FNGST within the lands described in the Order. The amendment also makes it possible for the Government of Canada and the Aboriginal government to enter into a tax administration agreement in respect of the FNGST.
Listing the Aboriginal group in Schedule 1 is an enabling measure. It does not obligate the governing body of the Aboriginal group to enact a law that imposes the FNGST and does not obligate the Aboriginal government or the Government of Canada to enter into a tax administration agreement in respect of the FNGST.
The FNGST would be implemented when the Aboriginal government and the Government of Canada enter into a tax administration agreement under which Canada administers and enforces the FNGST law and collects the tax for the Aboriginal government. In accordance with the provisions of the tax administration agreement, an Aboriginal government that implements the FNGST would receive a stream of revenue that can be used for its purposes.
Implementation, enforcement and service standards
The Order to amend Schedule 1 does not create new enforcement or administrative obligations for the Government of Canada. If the Aboriginal government enacts its FNGST law and concludes a tax administration agreement with the Government of Canada, then the Canada Revenue Agency will be responsible for administering and enforcing the FNGST law and collecting the tax for the Aboriginal government.
Aboriginal Tax Policy Section
Department of Finance
140 O’Connor Street