Tax exemption for First Nation members working off-reserve under attack by Revenue Canada
The OI Group (www.oigroup.ca) recently sent its former employees the following sample BCR and support letter that indicates that their court efforts to protect tax emeption for status Indians working for them has been exhausted. A letter was drafted and sent to the Minister of Revenue Canada (see below) ...
SAMPLE BAND COUNCIL RESOLUTION
WHEREAS: Section 35 of the repatriated Constitution of Canada confirms that Aboriginal and Treaty Rights are recognized and affirmed; and,
WHEREAS: At the time of repatriation, the Government of Canada promised to hold a conference with Native leaders to explore ways and means to enact Section 35 within five (5) years of repatriation; and,
WHEREAS: This promise was never kept, thereby, giving too much leeway for subsequent governments, bureaucrats and the Judiciary to interpret this section based on their own biases; and,
WHEREAS; The employees of OI (Native Leasing Services and OI Employee Leasing Inc) entered into a Test Case Agreement with Revenue Canada to seek clarification from the courts on the bureaucratic interpretation of our taxation immunity; and
WHEREAS; Revenue Canada willingly agreed to enter into a Test Case Agreement with OI to seek such clarification from the courts; and,
WHEREAS; The employees of OI have ALL financially contributed to the court challenge thus making them active participants/defendants; and,
WHEREAS; The courts have now given their affirmation to the bureaucratic interpretation; and,
WHEREAS; The employees of OI entered into the Test Case Agreement in good faith and expectation of special treatment accorded to all Test Case Agreements when completed; and,
WHEREAS; The court challenge has taken a long time to resolve thus accumulating the employees’ tax liability, who are 74 % female of low income of whom 2/3 are sole support mothers now faced with an unmanageable tax burden which they could not possibly repay in a lifetime; and,
WHEREAS; Not treating OI employees in the same manner as other Test Case participants would unduly penalize Native individuals, families, communities and organizations across Canada who truly believe that those rights do exist and were never extinguished except through the consent of some First Nation communities and their Peoples; and,
WHEREAS: Native families, many of whom are sole support families, are deprived of a standard of living which is comparable to the Canadian average and are being deprived of a right to be self-supporting;
BE IT THEREFORE RESOLVED That the (insert name of First Nation) endorse the Remission Order and support, and whenever possible, join in the efforts of the employees as they are lobbying the Federal Government, the riding Members of Parliament, and the Native political organizations, such as AFN, to issue a Remission order thus erasing the tax liabilities accumulated by OI employees and the related liability issued by Revenue Canada on their partners/spouses , while seeking clarification from the courts because these employees financially contributed to the court challenge and were acknowledged to have entered the Test Case Agreement with Revenue Canada;
BE IT FURTHER RESOLVED That said, organizations and supporters, whenever possible, support the efforts of OI employees when they are lobbying the Canadian Parliament and individual Parliamentarians to issue a Remission order.
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Sample Statement Of Support
BACKGROUND:
Section 35 of the repatriated Constitution of Canada confirms that Aboriginal and Treaty Rights are recognized and affirmed; and,
At the time of repatriation, the Government of Canada promised to hold a conference with Native leaders to explore ways and means to enact Section 35 within five (5) years of repatriation; and,
This promise was never kept, thereby, giving too much leeway for subsequent governments, bureaucrats and the Judiciary to interpret this section based on their own biases; and,
The employees of OI (Native Leasing Services and OI Employee Leasing Inc) entered into a Test Case Agreement with Revenue Canada to seek clarification from the courts on the bureaucratic interpretation of our taxation immunity; and
Revenue Canada willingly agreed to enter into a Test Case Agreement with OI to seek such clarification from the courts.
ISSUES OF CONCERN
The employees of OI have ALL financially contributed to the court challenge thus making them active participants/defendants; and
The courts have now given their affirmation to the bureaucratic interpretation; and
The employees of OI entered into the Test Case Agreement in good faith and expectation of special treatment accorded to all Test Case Agreements when completed; and
The court challenge has taken a long time to resolve thus accumulating the employees’ tax liability, who are 74 % female of low income of whom 2/3 are sole support mothers now faced with an unmanageable tax burden which they could not possibly repay in a lifetime; and
Not treating OI employees in the same manner as other Test Case participants would unduly penalize Native individuals, families, communities and organizations across Canada who truly believe that those rights do exist and were never extinguished except through the consent of some First Nation communities and their Peoples; and
Native families, many of whom are sole support families, are deprived of a standard of living which is comparable to the Canadian average and are being deprived of a right to be self-supporting;
(1) That the Minister of Revenue Canada take into account that the participants in this court challenge absolutely believed that immunity from taxation was their heritage given by Canada in exchange for the lands and resources taken away;
(2) That the Minister of Revenue Canada recognizes that the individuals who participated in the court challenge did so in good faith;
(3) That the Minister of Revenue Canada recognizes that the employees each financially contributed to the court challenge;
(4) That the Minister of Revenue Canada recognizes that the individuals who participated in the court challenge were acknowledged to have entered the Test Case Agreement with Revenue Canada;
(5) That given the above, the Minister of Revenue Canada issue a Remission Order erasing the tax liabilities accumulated by OI employees and the related liability issued by Revenue Canada on their partners/spouses, while seeking clarification from the courts;
I, ________________________, hereby support the above efforts and urge the Minister of Revenue Canada to be responsive to this request and issue the Remission Order as soon as possible.
______________________ ______________________
Signature Print
_____________________ _______________________
Title Contact phone number
______________________
Email Address
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letter sent to the Minister of Revenue Canada
July 5, 2009
The Honourable Jean-Pierre Blackburn
Minister of Revenue Canada
7th Floor
555 MacKenzie Avenue
Ottawa ON K1A 0L5
E: BlackJ@parl.gc.ca
Dear Minister Blackburn:
RE: Letter of Support for First Nation Women employed by the OI Group
This letter of support is requesting that you as the Minister of Revenue Canada issue a remission order erasing the tax liabilities of First Nation women employed by the OI Group. Now that the courts ruled against these First Nation employees of the OI Group, Revenue Canada must now determine how to address this ruling.
I understand that 74% of the OI employees are First Nation women of low income and two thirds of these women are sole support mothers who are now facing an unmanageable tax burden which they could not possibly repay in a lifetime. Each of these women entered into their employment arrangement with the OI Group in good faith that as a status Indian they would be exempted from taxation because the OI Group is located on a First Nation.
At least six percent of their wages were deducted by the OI Group to pay for their payroll services and the subsequent court cases to protect their rights as status Indians. These women have already paid their fair share believing that their rights as First Nation women would be protected by the government and their employer.
It is this same government that makes it so difficult for these women and their families to remain in their own communities to work and live in a healthy environment. Chronic underfunding of First Nation programs and services by successive governments are forcing more and more First Nation members to leave very challenging conditions and move into urban environments to fill low paying jobs. Amnesty International and the United Nations have described remote and rural First Nations as third world environments. To help support their families, the OI Group and their payroll service offered a way for these women to keep a little more of these low wages through their First Nation tax exemption offer.
Now that the courts have ruled against the OI Group's efforts to provide this service for this particular group of low-income First Nation women, I believe the minister can help these women in their time of need against further exploitation from corporate and government agencies. Issuing a remission order that erases the tax liabilities of these First Nation women will help everyone to be able to get on with their lives.
Please consider this matter immediately so the further harassment of these women by government revenue agents can be stopped. I look forward to learning of your decision.
Sincerely,
Brian Beaton
Sioux Lookout, ON