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Qalipu not exempt from paying taxes on purchases

Brendan Sheppard File photo

Brendan Sheppard

Diane Crocker
Published on May 4, 2012
Published on May 3, 2012
Diane Crocker  RSS Feed
Topics :
Revenue Canada , CORNER BROOK , Newfoundland and Labrador , Conne River

CORNER BROOK — It’s my right!

Or is it?

If you’re a member of the Qalipu Mi’kmaq First Nation Band looking to avoid paying taxes on goods you purchase, Brendan Sheppard wants you to know that it’s not your right.

Sheppard, chief of the band, said exemption from paying sales tax on goods is not a part of the agreement in principle with the federal government on the formation of the band, nor is it offered under the Indian Act.

Therefore, he said stores that refuse to offer tax-free shopping to band members are not violating anyone’s rights.

“In actual fact, these businesses are only living up to the policy of the federal government that aboriginal people, status people, are only entitled to tax exemption on goods that are delivered to a reserve,” said Sheppard.

As an example Sheppard uses the offer of local car dealerships who advertise tax free purchases for band members.

“The vehicle itself by the dealership must be delivered to the reserve,” said Sheppard.

The dealerships will do this, but they charge a $500 fee and the reserve (in Conne River) charges one hundred dollars.

Sheppard said people are not getting the full story through the ads, and while the purchaser does not pay taxes on the vehicle, it is not as simple a process as it’s made out to be — nor is it without cost.

Sheppard said the thing that concerns him the most are the stories of people refusing to pay taxes on purchases of things like clothing and footwear and who claim paying the sales tax is a violation of their rights.

He recently received an email from a man who went to a local store and was quite “uptight” and “strong” in his dealing with the store in his argument that his rights were being violated.

“I think that’s totally wrong for our Mi’kmaq population to be actually going that distance with regards to their status and their rights,” said Sheppard.

After a discussion with the store’s headquarters the man was able to make his purchase tax free, and Sheppard figures that story will now spread “like wildfire” with everybody who has a card within the Bay of Islands area and throughout Newfoundland and Labrador, knowing the store offers tax-free shopping to status members. He said the store will continue to do that until it is advised differently and he has called and advised them about it.

He also wants his members to know there could be repercussions to not paying taxes.

“I’m not so certain that if the Government of Canada can come back on the individual who is purchasing this tax free item as well, because they are providing their registration number,” said Sheppard.

“So it’s possible Revenue Canada could come back and say you owe taxes on this or they could basically say to the business you set the policy of tax free for those individuals, now you will have to pay taxes on those items.”

Sheppard brought his concerns forward to clear up the confusion among the Qalipu people, so that other people don’t go into stores demanding rights that don’t exist.

He said the original intent in the formation of the band was recognition of aboriginal people that were left out when Newfoundland joined Canada in 1949. Also included in the agreement to form the band were certain education and non-insured health benefits.

“And anything else that’s not in this agreement obviously will be worked on at some point in time,” said Sheppard.

He doubts exemption from paying taxes will come from the federal level, but noted point of sale exemption on provincial sales taxes, similar to what’s offered in Ontario, is something that is on the band’s radar to lobby for.

Comments

  • Username
    Pixie
    - April 6, 2013 at 15:26:22

    Chief Brendan Sheppard is a very intelligent and well spoken man. He believed in the status of the Indians for many years and has brought the Newfoundland Mi’kmaq First Nation Band to where it is today. The members should be respectful of his knowledge of what benefits are available and follow his wisdom and leadership.

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  • Username
    V Wentzell
    - September 17, 2012 at 18:24:42

    To all who make comments, pro and con, do your research, educate yourself so your comment means something. If you're embarrassed to be a member, don't be. If you don't like the way things are being done, act on it. I'm proud to be a member, it's my heritage, it's who I am...read more about tax exemption on the Ontario site and you'll understand, it was one of many ways the government tried to rectify and help rebuild what was taken from the native people. However, it's a small part of what this is all about. As for Chief Brendan Sheppard, he is just a man who decided to act instead of just talk. He brought our Heritage alive again and for that, we are recognized.

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  • Username
    curious
    - August 31, 2012 at 03:31:32

    What about people's heritage rights to fish and hunt in their own province. ????? No one seems to talk about this subject or matter of interest to me which is more important than getting something everyone is looking for free. ? " I " GUESS IT'S ALWAYS ABOUT THE MONEY HONEY BECAUSE NO ONE RIDES FOR FREE!

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  • Username
    rob.p
    - August 26, 2012 at 11:22:41

    i agree with most comments, regarding being proud of our heritage, and i also agree with those who think we should fight for whats rightfully ours,, and i do not think greed should play a factor in this...

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  • Username
    l c
    - August 8, 2012 at 09:59:14

    well its only a matter of time before some members ruin it all by greediness, yes i sove taxes on my car , recreational vehicle but i would never go into a store and kick up a fuss over taxes on clothing or what ever , we ALL should be lucky to even have the honor of holding a indian statues card so Y have people ruining it ,crazy , I think about how it will help my daughter ,granddaughter with the medical side of it due to they dont have personal medical ins , and hopefuly help my granddaughter down the rd in education ,My god people stop being so greedy in trying to save a dollar on the petty things , u pd taxes on clothes , some food items all over the yrs never hurt ya , have a nice day all

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  • Username
    ether
    - July 30, 2012 at 21:35:38

    Based on the info' provided through your comment $ BRAKE I wonder if it may be fair to deduce that your mentality, perceptions and stance, all w/ re. to the Qalipu Mi'kmaq First Nation Band and the Members there-in (as well as Natives from Coast To Coast), are in reality rooted in something much more personal and family oriented and that which underlies your 'Venting' here really has little to do with the actions of any one particular Native Member, Band etc'. Your desire to make known your self imposed status as separate from the other members of your family, this by way of your comment as being surprised as to their recent Heritage interest found, is that which makes for the bases of my assumption and comments here made. I am sorry if I am wrong.

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  • Username
    J Brake
    - May 12, 2012 at 22:47:44

    While Qalipu members cannot purchase items at a store on the west coast of Newfoundleand, we can arrange to have it delivered to Conne River. If the tax savings is large the delivery and Conne River fee is not a big issue. Its to bad our own band does not have any information on how to arrange tax exempt purchases. I had to call Conne River to find out how it can be arranged. They were very helpfull and meet me and Western Toyoto on the weekend at Conne River so that the sale could be tax exempt. I paid the dealership $500 and Conne $100 but saved $3100 in taxes. This is the sort of things we should be hearing from our Qalipu Band. How can we arrange for tax exemption even though it not in agreement for the landless band should be part of their information.

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  • Username
    Megan
    - May 10, 2012 at 19:11:36

    You signed a agreement when you applied to the band, stating that theres no land , it was a landless band agreement and that you give up your past and present land claims, therefor no reserve. also taxes is only supposed to be off if you live in a reserve. we are very lucky that conne river is even doing the car thing because they under no circumstances have to. The newfoundland goverment has not been stealing from anyone. for years in newfoundland it was considered terrible if you have indian blood , and for even longer there was no indians in nl . when i was in elementary school the teachers even argued with us when we told them we were indians. Why cant you be thankful for what recognition you are getting. you are lucky to be getting any recognition. No reserve is going to be made because again, papers were signed removing all land claims to the qalipu band. if you are not satisfyed with that you should not have signed the papers . and before the band was formed there was a monthly newsletter that came out . you can also check on the qalipu website for updates and news .

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  • Username
    Tracey Wahrmann
    - May 8, 2012 at 13:29:39

    i agree with sparkle...what happened to just being proud of who you are and being reconized for being such. For many it s the "what can i get for free card" we did nothing to earn these free things, we should just be proud to be who we are!

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    • Username
      jean Barnaby -Francis
      - May 9, 2012 at 18:33:10

      This is already becoming a big problem!!This chief Shepperd who voted him as Chief??He should be speaking up for the first nations people of N.L. !!You better start fighting for the rights of the people!!!!And not discouraging them!!You talk of greed!!The Newfoundland government has been stealing from people all their lives.....

  • Username
    Ashley Cormier
    - May 7, 2012 at 17:50:53

    I live in Ontario and was recently looking into buying a new vehicle and was informed that it is NOT point of sale for Ontario. The vehicle would still have to be delivered to a reserve. So his comment (similar to what’s offered in Ontario, is something that is on the band’s radar to lobby for) may not be 100% accurate.

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    • Username
      Robert Power
      - May 13, 2012 at 19:21:13

      the point of sale only applies to provincial portion of the hst (8%). you can get this exemption in ontario without going to reserve. the remaining 5% of hst can only be exempted on reserve. if a particular business doesn't provide point of sale exemption i believe there is a mechanism to send your receipt to government of ontario for refund of the 8% paid.

    • Username
      P Gale
      - July 2, 2012 at 21:59:18

      This is directed to Ashley Cormier. I recently purchased a vehicle in Ontario. I too was told by the dealer that they don't do point of sale tax exemption. So I paid the full amount of tax. But I after researching the Government of Ontario website, I found a form that I filled out and printed. I sent the form and the bill of sale from the vehicle into the Ontario government and they refunded the retail tax portion 8% of my taxes. I also found out that you can save all taxes by delivery to a reserve (any reserve). All they have to do is take a picture of the vehicle in front of a landmark on the reserve eg. a gas station. And buy something from the reserve so they have a receipt showing they were there on that day. They also have to not the mileage from the dealer to the reserve. Best way to buy a vehicle in Ontario is to buy from a dealer that is based near a reserve like Brantford for example. They deal with this type of thing all the time. I bought mine from Cambridge and the dealer didn't know what to do. So even though the Ontario returned my RST portion of the tax. It still cost me several hundred dollars considering I still paid the GST portion of the HST. Next purchase for me will be from Brantford.

    • Username
      V Wentzell
      - September 17, 2012 at 18:07:44

      I also liv e in Ontario, am a Qalipu Band Member, and no, the point of sale exemption does not apply to the purchase of vehicles, however, it does apply to several other purchases such as retail store purchases and taxable grocery items. Only the PST (8%) is exempted, not the GST (5%). I know this from doing research, asking questions, and through my experience in being exempted from the 8% after my research was done. I am proud of my heritage, from both my parents, grandparents, etc. I'm learning more and more about it. My siblings and I have all paid for our own education, and like our parents and grandparents, have always worked and paid taxes. I don't feel entitled to be tax exempted, but am fortunate that I can be so living here in Ontario.

  • Username
    corina
    - May 6, 2012 at 18:01:13

    Fred, isn´t your reserve Conne River?

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  • Username
    Extinct
    - May 5, 2012 at 08:04:41

    What about the rights of the Beothuk?......oh wait....there are none left.......

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  • Username
    marie melanson
    - May 4, 2012 at 16:15:15

    thank you brandon

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  • Username
    Sparkle
    - May 4, 2012 at 10:10:22

    I am embarrassed to be a member of the Band. The formation of the band is about finding our identity and not about getting exempt from paying taxes. Problem is...some people just joined to get whatever they could from it. As well, an article in the newspaper is not the way that the Chief should be communicating this with the rest of the band. Telling everyone in Newfoundland (and the rest of the world) about what a few members are doing makes the band as a whole look bad. I suggest that he creates a newsletter and sends it to us, if he has something important to get across.

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    • Username
      Jennifer
      - May 5, 2012 at 09:31:33

      Great comments, Sparkle. I feel the same way as you. I wish it was more about our identity and heritage that was kept from us. I HATE it when someone asks "what can I get out of it?". If you have to ask that, you shouldn't join. That's not what being a Band member should be about.

  • Username
    fred
    - May 4, 2012 at 09:27:30

    I agree with the chief however that being said the chief should take this one step further by say we in the Qalipu band do not live on a reserve. Other first nations people in this country do get tax Exempt, because they live on a reserve. where is our reseve? Other first nations in this country have one! Like one of the elder said to me in Nova Scotia your chief needs to get on the goverment and get a reserve and or a destnation point to goods can be deleivered there on the west coast of NFLD.

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    • Username
      Michelle
      - May 5, 2012 at 09:03:55

      You can have goods delivered to Conne River, NL

    • Username
      rick
      - August 29, 2012 at 21:56:00

      you can blame the chief sheppard for this he's the one that rushed in to this agreement with the federal goverment to get our status he didn't look at trying to get an agreement to have a designated area put in to place so that we could bring our purchases to claim them tax free here on the west coast. the indian band council building in st george's would have been such a place since it's owned by the band. now we will have to fight tooth and nail to get this from the feds,

  • Username
    jack
    - May 4, 2012 at 08:47:00

    Nothing is free. This new version of Apartheid we now have in Newfoundland will come back to haunt us. Special privilidges given based on ones race were terrible in South Africa but seem okay here. Be proud of your native ancestry, but don't look for handouts. The more tax exemptions for one group of people, the more the government will tax the rest of us another way. Pay your share.

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    • Username
      Information-Based
      - May 5, 2012 at 02:50:37

      Well said.

  • Username
    f
    - May 4, 2012 at 07:55:08

    As in EVERY system there are those that use and abuse which makes it bad for those who don't and in the end everyone loses or everyone gets lumped in under the same labels that become attached. I think if there is someone blatantly abusing their registration number they should not have the PRIVELEGE of being registered. We have come so far to be recogonized to have a few selfish people make it bad for everyone.

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    • Username
      S Brake
      - June 27, 2012 at 09:36:51

      So if the majority of the new indians only joined for status why then am I always reading about tax exemptions and all the other indian benifits. I have a large family whom the majority have signed up. I however do not know how they suddenly became First Nation. I must have missed sometihing. I can honestly say that I am sickened that the people that I have talked to only care about the benifts, some didnt even know the Band name and their applications were submitted by family members living in NL. I have deceided not to join . I have lived in Winnipeg and BC where there are many First Nation and I certainly dont feel that I have anything in common. I have saved RESPs from my hard earned money for my two kids to go to school.I would love to see the Government force all the new Indians on a reserve and then we would see how badly they want to be Indian. I know who I am!

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