GST/HST Notices - Notice 263
March 2011

The following five First Nations are collectively known as the Maa-nulth First Nations: Huu-ay-aht First Nations, Ka:'yu:'k't'h'/Che:k'tles7et'h' First Nations, Toquaht Nation, Uchucklesaht Tribe, and Ucluelet First Nation. They signed the Maa-nulth First Nations Final Agreement and will become self-governing First Nations effective April 1, 2011.

Tax relief under section 87 of the Indian Act

These five Maa-nulth Indian bands, (Huu-ay-aht First Nations, Ka:'yu:'k't'h'/Che"k"tles7et'h' First Nations, Toquaht Band, Uchucklesaht Band and Ucluelet First Nation), will cease to exist as Indian bands under the Indian Act. Tax relief provided to these former bands under Technical Information Bulletin B-039 GST/HST Administrative Policy – Application of the GST/HST to Indians will no longer apply after March 31, 2011.

The five Maa-nulth First Nations that will replace the previous five Maa-nulth Indian bands are not "bands" under the Indian Act and will therefore not be eligible for tax relief under section 87 of the Indian Act.

Under the Maa-nulth First Nations Tax Treatment Agreement, section 87 Indian Act tax relief will cease to apply for the Maa-nulth-aht (Indian members of the Maa-nulth First Nations). However, the Maa-nulth First Nations Final Agreement provides for a transition period during which Indian members of the Maa-nulth First Nations will still be entitled to tax relief under section 87 of the Indian Act. Where the conditions of B-039 are met, tax relief of the GST/HST continues to be available up to and including April 30, 2019 for the Indian members of the
Maa-nulth First Nations.

GST self-government refund

The Maa-nulth First Nations Tax Treatment Agreement (TTA) will come into effect on April 1, 2011. The TTA provides for a 100% refund of that portion of the GST/federal part of the HST paid on goods and services acquired by the five Maa-nulth First Nations and their eligible entities provided that input tax credits are not available and the other eligibility conditions are met.

The TTA identifies the conditions under which a GST refund for self-government activities may be claimed. The Maa-nulth First Nations and their eligible entities may claim the self-government GST refund using Form GST66, Application for the GST/HST Public Service Bodies' Rebate and GST Self-government Refund. The claim must be filed within four years after the tax was paid.

Enquiries by telephone

All technical publications on GST/HST are available on the CRA Web site at www.cra.gc.ca/gsthsttech.