Quebec to honor point of sale gas tax exemption for Natives on reserve

04/05/2011

The Mohawk Council of Kahnawà:ke (MCK) wishes to inform the community that it has received information from Quebec that indicates that the province will implement a new system to allow Native people to receive point-of-sale tax exemption for gasoline purchased on reserve.

This is the result of a class action suit filed in 2004 by the Assembly of First Nations of Quebec and Labrador (AFNQL), in the name of Regional Chief Ghislain Picard, challenging the legality of the reimbursement process for gas tax. The lawsuit refers to the “Specific Tax” that is included in the cost of gasoline upon delivery to the retailer. This is currently approximately sixteen (16) cents per liter. Those eligible can apply for a reimbursement by Quebec.

The MCK is aware of the lawsuit and the settlement and is currently awaiting a copy, at which time Chief & Council will assess the situation.

“I have been speaking with Chief Picard and his lawyer about the implementation of the new exemption to find out exactly how this will benefit our community members,” said Chief Lloyd Phillips, who represents the MCK at AFNQL meetings. “I have questions and concerns but overall at this point it looks positive because, once it is implemented, Kahnawa’kehró:non will not have to pay tax on the gas they buy in Kahnawà:ke or apply for a refund. Even though Quebec and the AFNQL will probably send out information on this, we (MCK) will make sure that any and all information on this is passed on the community as the situation develops.”

The date for implementation is set for 1 Ohiari’kó:wa/July, 2011.