Natives on an urban reserve will receive tax exemptions no matter how many times Glen Murray tries to tell us otherwise. Corporate tax, property and income tax to name three.

On the corporate tax front, a small loophole exists. The Tax Court of Canada has concluded that "if a band is exercising powers of self-government and is providing the types of services that municipalities typically provide can be considered a Canadian Municipality for income tax purposes. The Income Tax Act exempts a Canadian municipality from income tax." In other words, if the band owns a business like the City of Winnipeg owns a recreation facility, there is no requirement to incorporate, hence no need to pay corporate tax.

Canada's Constitution states that "Indians and lands reserved for Indians" are the federal government's jurisdiction. As federal lands, they are not part of the tax base from which municipalities may draw property taxes. The band, however, will have to negotiate with the municipality to pay fees for services such as fire, water and sewage, etc., but the municipality, if it so chooses, can waive all fees. Under federal legislation there is something called Municipal Tax Loss Compensation which allows a municipality to apply for monies to make up for any short falls that arise from land being designated as reserve land. But what we have been told is that Saskatoon, for example, has not lost any revenue from its urban reserve so it begs the question - what is the need for the municipal tax loss compensation if none of the tax revenue is going to be lost when a deal is negotiated

Sections 87 and 90 of the Indian Act are where all native tax exemptions stem from, including income tax. A native working on a reserve will not be required to pay income taxes, Employment Insurance, CPP, or a health tax (if one exists in the respective province). Without having to pay into Canada's social services system, natives will still enjoy the same benefits that the rest of us pay for. In addition, by not having to pay income taxes a native owned business can provide things like cheaper labour and lower costs of goods sold, making it difficult for an off-reserve business down the street to compete .

Thanks to Section 89 of the Indian Act, natives do not have to pay bills for services rendered. This section of the Act exempts native property from any process of garnishee, execution or attachment of debts, damages and other obligations, including taxes, however justly due and owing. In 1990 the Peguis Indian Band successfully sued an accountant in Manitoba when he attempted to receive payment from the Band for services rendered. The Supreme Court cited Section 89 of the Indian Act when they ruled against the accountant in Mitchell v. Peguis Indian Band.

There are a few other things that Glen Murray has forgotten to share with the public such as policing on the urban reserve. Only the RCMP have authority on Indian land and that would include an urban reserve because they are under the Indian Act. Local police have no jurisdiction and therefore, cannot step foot on the reserve to respond to a call of any criminal activity taking place. Further to the policing issue, reserve land is not subject to adhere to municipal by-laws, including the newly enacted smoking ban in Winnipeg or any other health and safety rules put in place by the City.

Neither the Mayor nor Council were given a mandate to create an Indian reserve in the last election. Treating one ethnic group of Canadians differently from another is wrong both morally and intellectually. However, Canada's Indian reserve system does precisely that.