Vol. 146, No. 21 — October 10, 2012

Registration

SOR/2012-199 September 28, 2012

FIRST NATIONS GOODS AND SERVICES TAX ACT

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

P.C. 2012-1142 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. 2012-2 (Six Manitoba Bands).

ORDER AMENDING SCHEDULE 2 TO THE FIRST NATIONS GOODS AND SERVICES TAX ACT, NO. 2012-2 (SIX 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
Bunibonibee Cree Nation	Council of the Bunibonibee Cree Nation	Reserves of the Bunibonibee Cree Nation	Manitoba
Ebb and Flow	Council of Ebb and Flow	Reserve of Ebb and Flow	Manitoba
Kinonjeoshtegon First Nation	Council of the Kinonjeoshtegon First Nation	Reserves of the Kinonjeoshtegon First Nation	Manitoba
O-Pipon-Na-Piwin Cree Nation	Council of the O-Pipon-Na-Piwin Cree Nation	Reserve of the O-Pipon-Na-Piwin Cree Nation	Manitoba
Opaskwayak Cree Nation	Council of the Opaskwayak Cree Nation	Reserves of the Opaskwayak Cree Nation	Manitoba
Peguis	Council of Peguis	Reserves of Peguis	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

Six 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 six 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 six Indian bands are

• the Bunibonibee Cree Nation, which is situated on Oxford Lake;
• Ebb and Flow, which is situated on Ebb and Flow Lake;
• the Kinonjeoshtegon First Nation, which is situated on Lake Winnipeg;
• the O-Pipon-Na-Piwin Cree Nation, which is situated on Southern Indian Lake;
• the Opaskwayak Cree Nation, which is situated near The Pas; and
• Peguis, which is situated north of Winnipeg.

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 six bands to enter into an administration agreement in respect of each 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 six 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

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