News and Insights

CRA GST/HST Info Sheets re: GST/HST and status Indians, Indian Bands and Band-Empowered Entities

Tax Development Feb 07, 2011

The Canada Revenue Agency has issued four new info sheets that explain how the GST/HST applies to individual status Indians, Indian Bands and band-empowered entities.  GST/HST Info Sheet GI-114, “Application of GST/HST to Indian Individuals” provides guidance for everyday transactions involving individual status Indians, and the exemptions or point-of-sale rebates of GST/HST that may be applicable.  GST/HST Info Sheet GI-115, “Application of GST/HST to Indian Bands and Band-empowered Entities” provides similar information regarding the goods and services that may be acquired relieved of GST/HST when purchased for use on a reserve by Indian bands and unincorporated band-empowered entities.

GST/HST Info Sheet GI-116, “Information for Businesses Located on a Reserve” summarizes the requirements for a business located on a reserve to register for GST/HST and the responsilities of a vendor to ensure that all conditions of exempt or point-of-sale rebate sales are met, including the requirement for a vendor to retain documentation to confirm the purchaser was eligible for the relief of GST/HST.   

GST/HST Info Sheet GI-117, “Information for Off-Reserve Businesses that Sell Goods or Provide Services to Indians, Indian Bands or Band-empowered Entities” summarizes the requirements that must be met by off-reserve vendors to provide an exemption or point-of-sale rebate to individual status Indians, Indian Bands or unincorporated band-empowered entities.  The info sheet summarizes the circumstances where goods and services may be eligible for tax relief.  As is the case for vendors located on a reserve, off-reserve vendors must meet the same documentary requirements to support the non-collection of GST/HST to eligible First Nations.  

For additional information regarding the CRA’s administrative policy on GST/HST relief for Indians, Indian bands and band-empowered entities, see GST/HST Technical Information Bulletin B-039, “GST/HST Administrative Policy – Application of the GST/HST to Indians”.