Article 13 - Taxation

This Article deals with three separate taxation issues, being the taxability of the Entitlement Monies when paid to the Entitlement Band, the application of the Goods and Services Tax to the acquisition of land, and taxation by Entitlement Bands and Canada of public utility transmission and distribution lines.

With respect to the taxation of Entitlement Monies, the Framework Agreement does not attempt to answer the legal question, but it specifically recognizes that the Entitlement Monies are being paid in fulfilment of Canada's Treaty land entitlement obligation.

GST Exemption

The purchase of land and most related acquisition costs will be exempt from the application of the Goods and Services Tax (GST).

Public Utilities

Finally, it was agreed by Canada and the Entitlement Bands that any of the public utility transmission, distribution or other lines which are the subject of a Replacement Public Utility Easement under the terms of the Framework Agreement will not be subject to any new taxation measures except as permitted in the Article.

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