Tla’amin and Metepenagiag Added to FNGST Schedule
Order Amending Schedule 1 to the First Nations Goods and Services Tax Act: SOR/2024-103
This Order amends Schedule 1 to the First Nations Goods and Services Tax Act by replacing the Sliammon entry with the Tla’amin Nation (Tla’amin Government and Tla’amin Lands) and by adding the Metepenagiag Mi’kmaq Nation (Council of the Metepenagiag Mi’kmaq Nation and its reserves). It enables those Indigenous governments to enact a First Nations Goods and Services Tax (FNGST) and to negotiate tax administration agreements with Canada, but does not itself create or require a tax.
- Published
- June 5, 2024
- Department
- Unavailable
- Section
- Order Amending Schedule 1 to the First Nations Goods and Services Tax Act
- Comment deadline
- Unavailable
- Effective date
- May 27, 2024
- Publication part
- Part II
Summary
Summary#
The Order Amending Schedule 1 to the First Nations Goods and Services Tax Act updates the list of Indigenous governments that can choose to impose a First Nations Goods and Services Tax (FNGST). It replaces the former Sliammon listing with the Tla’amin Nation and adds the Metepenagiag Mi’kmaq Nation. The Order came into force when registered on May 27, 2024.
What it does#
- Updates Schedule 1 to the First Nations Goods and Services Tax Act by removing the old entry for Sliammon and adding:
- Tla’amin Nation — governing body changed to Tla’amin Government, and the lands described as Tla’amin Lands, as defined in the Tla’amin Final Agreement Act, S.C. 2014, c. 11.
- Metepenagiag Mi’kmaq Nation — listed with its governing body, the Council of the Metepenagiag Mi’kmaq Nation, and its reserves described as the lands where the FNGST could apply.
- This is an enabling change. It allows those governments, if they choose, to enact their own FNGST law and to enter a tax administration agreement with the federal government so the tax can be administered (typically by the Canada Revenue Agency).
Who's affected#
- Tla’amin Nation and Metepenagiag Mi’kmaq Nation — they can now pursue establishing their own FNGST.
- Local residents, businesses and visitors on the listed lands could be affected later if those governments implement the FNGST.
- Canada Revenue Agency and the Department of Finance — they would have a role if tax administration agreements are negotiated.
- Other Indigenous groups are not expected to be affected; the Order only changes entries for these two nations.
Why it matters#
- It gives these two Indigenous governments the legal ability to collect a consumption tax (the FNGST) in their territories, similar in scope and rate to the federal GST. That can create a local revenue stream for community programs and services if they choose to implement it.
- The change itself does not create a new tax or require the nations to act. Any real impact on prices, business paperwork, or government revenues would only happen if a nation passes an FNGST law and signs an administration agreement with Canada.
Key topics
Source: Canada Gazette