The Canada Revenue Agency has issued this info sheet to explain how the implementation of the HST in Ontario and British Columbia will affect purchases of goods by Indians, Indian bands, and band-empowered entities in these provinces.
HST will apply in the same way as GST, and its application will be consistent with the provisions of the Indian Act. Goods and services sold to Indians, Indian bands, and band-empowered entities that are currently relieved of the GST will also be relieved of the HST. Goods and services sold to Indians, Indian bands, and band-empowered entities that are currently subject to GST will generally also be subject to HST.
Note that a disclaimer was added to this info sheet on July 30, 2010 to reflect the Government of Ontario’s point-of-sale rebate on the provincial component of the HST on eligible off-reserve purchases by First Nations, effective September 1, 2010.