First Nations Goods and Services Tax Act (S.C. 2003, c. 15, s. 67)

Application of Other Acts of Parliament

Marginal note:Section 87 of Indian Act and similar provisions

• 31 (1) The obligation to pay tax or any other amount that is required to be paid under a first nation law, as defined in subsection 39(1) or 40(1), applies despite the application of the exemption under section 87 of the Indian Act and of any other exemption from taxation under any other Act of Parliament that is similar to the exemption under that section.

• Marginal note:Section 89 of Indian Act

  (2) A first nation law, as defined in subsection 39(1) or 40(1), or an obligation to pay an amount that arises from the application of section 43, may, despite section 89 of the Indian Act, be administered and enforced by His Majesty in right of Canada, by an agent of the first nation or, if the first nation law is administered by the government of a province under an agreement entered into under section 7 of the Federal-Provincial Fiscal Arrangements Act, by His Majesty in right of the province.

• Marginal note:Subsection 33(1) applies

  (3) The governing body of a first nation listed in Schedule 3 may enact a law under subsection 33(1) that imposes a tax despite any other Act of Parliament that limits the authority of the first nation to enact a law that imposes a tax.

• Marginal note:Binding on His Majesty

  (4) If a provision of Part IX of the Excise Tax Act is binding on His Majesty in right of Canada or a province, that provision, to the extent that it applies for the purposes of a first nation law, as defined in subsection 39(1) or 40(1), and any provision of the first nation law that corresponds to that provision of that Part are so binding for the purposes of that law.

Administration Agreement and Other Taxes

Marginal note:Tax not payable — Excise Tax Act

32 If an administration agreement in respect of a first nation law, as defined in subsection 39(1) or 40(1), is in effect, no tax (other than tax imposed under subsection 165(2), 212.1(2) or 218.1(1) or Division IV.1 of Part IX of the Excise Tax Act) is payable or deemed to have been paid or collected under Part IX of the Excise Tax Act in respect of a supply of a specified product to the extent that tax is payable or deemed to have been paid or collected, as the case may be, in respect of the supply under the first nation law.

First Nations Specified Products Tax Law

Marginal note:Authority to impose tax

• 33 (1) Subject to this section, the governing body of a first nation that is listed in Schedule 3 and that is a band or has the power to enact laws that has been recognized or granted under any other Act of Parliament or under an agreement that has been given effect by any other Act of Parliament may enact a law that imposes

  • (a) a tax in respect of taxable supplies, made on the lands of the first nation, of specified products listed in Schedule 3 opposite the name of that governing body;

  • (b) a tax in respect of the bringing of specified products listed in Schedule 3 opposite the name of that governing body onto the lands of the first nation from a place in Canada; and

  • (c) a tax in respect of imported taxable supplies, made on the lands of the first nation, of specified products listed in Schedule 3 opposite the name of that governing body.

• Marginal note:Supply made on lands

  (2) For the purposes of subsection (1), a supply, other than an imported taxable supply, is made on the lands of a first nation only if at least one of the following conditions is met:

  • (a) if the lands of the first nation were a participating province, a provision of Part IX of the Excise Tax Act would deem the supply to be made in that participating province if

    • (i) the lands of every other first nation in respect of which a first nation law, as defined in subsection 39(1) or 40(1), is in force at the time the supply is made were each a separate participating province, and

    • (ii) the participating provinces listed in Schedule VIII to the Excise Tax Act were non-participating provinces; or

  • (b) tax under Part IX of the Excise Tax Act is not payable in respect of the supply and such tax would, without section 32, be payable but for the connection of the supply with those lands and the application of the exemption under section 87 of the Indian Act or of any other exemption from taxation under any other Act of Parliament that is similar to the exemption under that section.

• Marginal note:Imported taxable supply made on lands

  (3) For the purposes of paragraph (1)(c), an imported taxable supply is made on the lands of a first nation only if at least one of the following conditions is met:

  • (a) tax would be payable in respect of the imported taxable supply under subsection 218.1(1) of the Excise Tax Act if

    • (i) the lands of the first nation were the particular participating province referred to in that subsection,

    • (ii) the lands of every other first nation in respect of which a first nation law, as defined in subsection 39(1) or 40(1), is in force at the time the supply is made were each a separate participating province,

    • (iii) the participating provinces listed in Schedule VIII to the Excise Tax Act were non-participating provinces, and

    • (iv) the recipient of the supply were not a selected listed financial institution;

  • (b) tax under Part IX of the Excise Tax Act is not payable in respect of the imported taxable supply and such tax would, without section 32, be payable but for the connection of the supply with those lands and the application of the exemption under section 87 of the Indian Act or of any other exemption from taxation under any other Act of Parliament that is similar to the exemption under that section.

• Marginal note:Bringing of specified products onto lands

  (4) Subject to subsection (5), a tax in respect of the bringing of specified products onto the lands of a first nation by a person is to be imposed under a law of the first nation enacted under subsection (1) only if the specified products were last supplied to the person by way of sale at a time when an administration agreement was in effect in respect of that law and tax would have been payable under Part IX of the Excise Tax Act in respect of the supply otherwise than at the rate of zero but for the application of the exemption under section 87 of the Indian Act or of any other exemption from taxation under any other Act of Parliament that is similar to the exemption under that section.

• Marginal note:Exception

  (5) For the purposes of paragraph (1)(b), a tax in respect of the bringing of specified products onto the lands of a first nation by a person is not to be imposed if

  • (a) tax became payable by the person in respect of the specified products under any first nation law, as defined in subsection 11(1), 12(1), 39(1) or 40(1), or section 212 of the Excise Tax Act before the specified products are brought onto the lands of the first nation; or

  • (b) tax would not be payable under subsection 220.05(1) of the Excise Tax Act in respect of the bringing of specified products onto the lands of the first nation if

    • (i) the lands of the first nation were the particular participating province referred to in that subsection,

    • (ii) the lands of every other first nation in respect of which a first nation law, as defined in subsection 11(1), 12(1), 39(1) or 40(1), is in force at the time the specified products are brought onto the lands of the first nation were each a separate participating province,

    • (iii) the participating provinces listed in Schedule VIII to the Excise Tax Act were non-participating provinces, and

    • (iv) paragraphs 220.05(3)(a) and (b) of the Excise Tax Act, section 18 of Part I of Schedule X to that Act, the exemption under section 87 of the Indian Act and any other exemption from taxation under any other Act of Parliament that is similar to the exemption under that section did not apply in respect of the bringing of the specified products onto the lands of the first nation.

• Marginal note:Carriers

  (6) For the purposes of this Part, if a particular person brings specified products onto the lands of a first nation on behalf of another person, the other person, and not the particular person, is deemed to have brought the specified products onto those lands.

• Marginal note:Amount of tax — bringing of specified products onto lands

  (7) For the purposes of subsection (1), the amount of tax that may be imposed under the law of a first nation in respect of the bringing of specified products onto the lands of the first nation by a person is equal to the amount determined by the formula

  A × B

  where

  A

  is the rate of tax set out in subsection 165(1) of the Excise Tax Act; and

  B

  is

  • (a) if the person last acquired the specified products by way of a sale under which the specified products were delivered to the person within 30 days before the day on which they are brought onto the lands of the first nation, the value of the consideration on which tax under Part IX of the Excise Tax Act in respect of the sale would have been calculated but for the application of the exemption under section 87 of the Indian Act or of any other exemption from taxation under any other Act of Parliament that is similar to the exemption under that section, and

  • (b) in any other case, the lesser of

    • (i) the fair market value of the specified products at the time the specified products are brought onto the lands of the first nation, and

    • (ii) the value of the consideration referred to in paragraph (a).

• Marginal note:Reporting and payment of tax

  (8) Tax that is imposed under a law of a first nation enacted under subsection (1) in respect of the bringing of specified products onto the lands of the first nation becomes payable by the person who brings them onto the lands at the time they are brought onto the lands and

  • (a) if the person is a registrant who acquired the specified products for consumption, use or supply primarily in the course of commercial activities of the person, the person is to, on or before the day on or before which the person’s return in respect of net tax is required to be filed under the law of the first nation for the reporting period in which the tax became payable,

    • (i) report the tax in that return, and

    • (ii) pay the tax to the Receiver General, or, if the law of the first nation is administered by the government of a province under an agreement entered into under section 7 of the Federal-Provincial Fiscal Arrangements Act, to the appropriate minister for that province; and

  • (b) in any other case, the person is to, on or before the last day of the month following the calendar month in which the tax became payable,

    • (i) file with the Minister of National Revenue or, if the law of the first nation is administered by the government of a province under an agreement entered into under section 7 of the Federal-Provincial Fiscal Arrangements Act, with the appropriate minister for that province a return in respect of the tax, in the manner and in the form authorized by the Minister of National Revenue and containing information specified by that Minister, and

    • (ii) pay the tax to the Receiver General or to the appropriate minister for that province, as the case may be.

• Marginal note:Amount of tax — supply made on lands

  (9) For the purposes of paragraphs (1)(a) and (c), tax may be imposed under the law of a first nation in respect of a supply at the rates at which tax would have otherwise been imposed under subsections 165(1) and (3) of the Excise Tax Act in respect of that supply.

• Marginal note:Administration and enforcement

  (10) A law enacted under subsection (1) by the governing body of a first nation is to be administered and enforced, and the tax imposed under that law is to be collected, in accordance with an administration agreement entered into under subsection 39(2) by the authorized body of the first nation.

Marginal note:Specified products — law under subsection 33(1)

34 A law enacted under subsection 33(1) is to provide which specified products are subject to the law.

Marginal note:Coming into force — law under subsection 33(1)

• 35 (1) A law enacted under subsection 33(1) may come into force only on or after the later of the day on which a copy of the law is received by the Minister and the day on which an administration agreement in respect of that law comes into effect.

• Marginal note:Law deemed not in force

  (2) A law enacted under subsection 33(1) is deemed to not be in force at a particular time unless an administration agreement in respect of that law is in effect at that time.

• Marginal note:Tax not applicable

  (3) A tax imposed under a law enacted under subsection 33(1) by the governing body of a first nation in respect of a specified product does not apply at a particular time unless that specified product is listed at that time in Schedule 3 opposite the name of that governing body.

• Marginal note:Statutory Instruments Act

  (4) A law enacted under subsection 33(1) is not subject to the Statutory Instruments Act.

Marginal note:Proof of law

36 A copy of a first nation law, as defined in subsection 39(1) or 40(1), enacted by the governing body of a first nation is, if it is certified to be a true copy, evidence that the law was duly enacted by the governing body and, in the case of a law enacted under subsection 33(1), was received by the Minister, without proof of the signature or official character of the person certifying it to be a true copy if that person is

• (a) in the case of a first nation law, as defined in subsection 39(1),

  • (i) if the governing body that enacted the law is a band, the Minister or a person authorized by the Minister, and

  • (ii) if the governing body that enacted the law is not a band, by a person authorized by the governing body; and

• (b) in the case of a first nation law, as defined in subsection 40(1), a person authorized by the governing body.

Marginal note:Law of band

• 37 (1) A law enacted under subsection 33(1) by the governing body of a band is valid only if the power of the governing body to enact the law is exercised in conformity with paragraph 2(3)(b) of the Indian Act and no such law is invalid by reason of any defect in form.

• Marginal note:Expenditures

  (2) The power of the governing body of a band to expend moneys paid by the Government of Canada pursuant to an administration agreement in respect of a law enacted under subsection 33(1) by the governing body is validly exercised only if the power is exercised in conformity with paragraph 2(3)(b) of the Indian Act.

• Marginal note:Publication

  (3) The governing body of a band is to provide, on demand, a copy of any law enacted under subsection 33(1) by that governing body and is to publish a copy of every such law on a website maintained by or for the governing body, if one exists, and in a newspaper that has general circulation in the place where the law applies, but no such law is invalid by reason of a failure to publish it.

• Marginal note:Indian moneys

  (4) Moneys raised pursuant to a tax imposed under a law of a first nation enacted under subsection 33(1) are not Indian moneys as defined in subsection 2(1) of the Indian Act.