In a major victory for Native tax rights, the Federal Court of Canada has struck down Revenue Canada guidelines on taxing Native people working off-reserve.
The judge ruled it doesn’t matter where an employee lives or where the work is performed, so long as the business is based on a reserve. There is no reason a company can’t set up its head office on a reserve specifically to avoid paying taxes.
“Everyone is entitled to arrange their affairs to take advantage of statutory tax relief,” the judge ruled.