Marginal note:Legal capacity of first nations

12. For greater certainty, for the purposes of Part 4, a borrowing member has the capacity to contract and to sue and be sued.

Marginal note:Local revenue account

• 13. (1) Local revenues of a first nation shall be placed in a local revenue account, separate from other moneys of the first nation.

• Marginal note:Restriction on expenditures

  (2) Local revenues may be expended only under the authority of a law made under paragraph 5(1)(b).

• Marginal note:Balanced budget

  (3) Expenditures provided for in a law made under paragraph 5(1)(b) shall not exceed the local revenues estimated for the year in which those expenditures are to be made, less any deficit accumulated from prior years.

Marginal note:Audit

• 14. (1) The local revenue account shall be audited at least once each calendar year and reported on separately from other accounts.

• Marginal note:Access to report

  (2) The audit report of the local revenue account shall be made available to

  • (a) the members of the first nation;

  • (b) any other persons who have an interest in, or the right to occupy, possess or use, the first nation’s reserve lands;

  • (c) the First Nations Tax Commission, the First Nations Financial Management Board and the First Nations Finance Authority; and

  • (d) the Minister.

Marginal note:Non-application of certain provisions

15. Paragraphs 83(1)(a) and (d) to (g) and section 84 of the Indian Act and any regulations made under paragraph 73(1)(m) of that Act do not apply to a first nation.

Marginal note:Definitions

16. The following definitions apply in this Part.

“Commission”

« Commission »

“Commission” means the First Nations Tax Commission.

“taxpayer”

« contribuable »

“taxpayer” means a person paying tax under a property taxation law.

Marginal note:Commission

• 17. (1) There is hereby established a commission, to be known as the First Nations Tax Commission, consisting of 10 commissioners, including a Chief Commissioner and Deputy Chief Commissioner.

• Marginal note:Capacity, rights, powers and privileges

  (2) The Commission has the capacity, rights, powers and privileges of a natural person, including the capacity to

  • (a) enter into contracts;

  • (b) acquire, hold and dispose of property or an interest in property;

  • (c) raise, invest or borrow money; and

  • (d) sue and be sued.