Friday, June 18, 2010

Point of sale tax exemption will continue under HST

June 18, 2010 Wawatay News Online:

The federal and provincial governments have come to an agreement with First Nation leaders about continuing the point of sale tax exemption for First Nation people under Ontario's new HST, which will go into effect July 1. "I am thrilled and our people will be relieved that the point of sale exemption for First Nations will be continued with the HST framework," said Ontario Regional Chief Angus Toulouse after receiving confirmation of the agreement June 17. "First Nations have worked tirelessly with Ontario and the federal government to make this a reality. The ability to achieve this reflects the great potential of the government-to-government relationship between Ontario and First Nations." The exemption from paying the provincial portion of the HST will come into place Sept. 1, but from July 1 to Aug. 31, First Nations can receive refunds by submitting their receipts to the Ministry of Revenue. "NAN communities can breathe a sigh of relief in knowing that they will not have to fork up even more money to cover the cost of essential goods and services. We are pleased that the historical practice of First Nations point-of-sale tax exemption will be maintained," Stan Beardy, Nishnawbe Aski Nation grand chief said. For the past 30 years point of sale tax exemption has been in place in Ontario under the Retail Sales Tax (RST). This system will now continue under the HST for both on and off-reserve purchases.

The Ontario government has released three points about the HST point of sale exemption:

  • First Nations citizens will be exempt at the point of sale from off-reserve purchases, upon showing their status card from Sept. 1 onward. The two-month delay is to enable retailers and governments to make the necessary changes to their systems to accommodate the exemption;
  • Ontario and the federal government will be releasing in the coming days a Technical Backgrounder/Bulletin describing the scope and procedures for the First Nation point of sale exemption;
  • For the months of July and August, First Nation citizens will be reimbursed the provincial portion of the HST upon the submission of receipts. Ontario will be releasing a Memo/Bulletin outlining the procedures for the refund.
Also see: Ont. First Nations get HST exemption CBC NEWS June 17

2 comments:

Anonymous said...

So what does this mean-they have let First Nations of the hook and screwed the rest of us and will keep screwing us that much more since they have let First Nations off the hook.

Anonymous said...

What does it mean? It means the petition against HST has real validity as provinical government can opp out of the HST as First Nations have always enjoyed the provincial sales taxes ememption while the people have also have the right to petition government on taxes, especially its new business tax, only the people have to pay it and business takes on the people and says the people's petition is unconsitutional to business because it interfers with the business owners right to get at voter's money anyway they can.