·        Ten-fold increase since 2000

REGINA: The Canadian Taxpayers Federation (CTF) is calling on the provincial and federal governments to end tax rebates  for on-reserve businesses. Information obtained by the CTF via Access to Information (ATI) requests reveal that on-reserve businesses in Saskatchewan have received $329-million in tax rebates from the provincial government since 2000.

“Native entrepreneurship on and off reserves is welcome, but race-based tax policy is not,” said CTF-Saskatchewan Director, Lee Harding.

In 2000, the province exempted $6.7-million in taxes that would have otherwise been paid by native businesses.  In 2008, that figure jumped to $67.1million, thanks in part to the growing number of businesses on reserve, and the introduction of further urban reserves.

“The dollar value of these exemptions is ten times what it was eight years ago. The Cree Land Mini-Mart is the first of many urban reserve businesses expected for Regina in future years, meaning this disparity will continue to grow,” continued Harding.

“Native tax exemptions for on-reserve sales of tobacco and fuel are too great for off-reserve businesses to compete with. Tax exemptions also exist for products and services delivered to on-reserve businesses. Reduced input costs, plus tax-free earnings for natives working on–reserve, and, at times, no school taxes, also give such businesses the opportunity to sell to non-aboriginal customers at lower prices,” Harding said.

 “Canadian courts have consistently affirmed that tax exemptions were not promised in the treaties. Yet, they remain as a vestige of the Indian Act—a document that actually predates many of the treaties themselves. The time has come to scrap this Act and change the relationship between Status Indians and other Canadians,” concluded Harding.