December 3, 2003
To
All First Nations and Tribal Councils
RE: NBBC Taxation Task
Group
The Native Brotherhood of BC concluded a successful 72nd
Annual Convention in Prince Rupert, November 18-20,2003. The
membership attending the Convention passed a unanimous priority
motion regarding tax issues related to aboriginal commercial
fishermen. Taxation also impacts aboriginal people who are working
in other resource sectors, such as forestry, mining, ecotourism,
etc.
The Motion, itself, stated that the NBBC Convention was to adopt
the recommendation to strike up the formation of the Native
Brotherhood Taxation Task Group and be guided by a set of
principles. An Interim Task Group is now in place and started their
meetings.
This
is the second year in a row where the NBBC Executive has been
mandated to assist First Nation People who are in a tax crisis. The
NBBC held its first Taxation Workshop in Fort Rupert. Leif Nordahl,
Financial Advisor, and an expert in this field directed the
discussions and presentations. The second Taxation
Workshop/Conference will be held in January 20th
and 21st, 2004 at the Radisson Burnaby Hotel. As
soon as we have developed an agenda and details as to content, we
will be forwarding this to registered participants.
Recently CCRA has been making a concerted effort to continue the
erosion of aboriginal peoples rights and benefits as related to
taxation. In particular, at this time there is a campaign of
harassment of aboriginal people being carried out by CCRA based upon
inconsistent policy. They are going back a number of years ago to
attempt to tax the earnings, other income and including the sales of
licenses and equipment of aboriginal people. The latest assault has
been against our clam diggers. We have been told that they have been
also going after pensions, EI payments and Child Tax Credits.
Not one person we have spoken with ever agreed to give up their
fishing tax-exempt status. Right now, not only have we lost most of
our boats and licenses in the industry, the few which remain may be
forced into bankruptcy if we can't deal with the taxation matters.
We
know that when our reserves were established on the coast, they were
deliberately made small based, on the government’s statement that our
livelihood came from the ocean and its resources. For decades we have
harvested those resources both for sustenance and commercial purposes.
The current actions of CCRA are contrary to the basis for our reserve
allocations, are in conflict with Canada’s fiduciary obligation to us,
and contravene Section 35 of the Constitution Act.
Also in our opinion the CCRA has not fulfilled its obligation to
consult with First Nations people regarding taxation policy changes.
No consultations have occurred with the Federal Government.
The CCRA attack on First Nation commercial fishers is but the ‘tip of
the iceberg’. It is an issue that could severely affect all First
Nation people throughout Canada who work in the natural resource
industry. In our view it will have impact on your treaty negotiations.
We need your advice,
involvement and support to put an effective First Nation taxation
strategy in place to prevent the continuing
erosion of aboriginal peoples rights and benefits as related to
taxation, please do not hesitate to contact our office for further
information. Furthermore any future litigation concerning the
application of the s.87 of the Indian Act should include a
thorough review of the contemporary connecting factors and also focus
on the size, quality and circumstances surrounding the allotment of
reserves to the Coastal First Nations. This history can, in our view,
constitute a crucial and compelling connection factor.
We look
forward to your support for this important NBBC Tax Initiative and if
you are interested in attending our Workshop/Conference, please RSVP
by either phoning our office at 604-913-3372 or faxing us at
604-913-3374.
Gilakasla
Original Signed
Chris Cook, Jr.
President
c.c. Edwin Newman, Interim Chair of The Native Brotherhood of BC
-Taxation Task Group |