Part II - Enacted First Nations Legislation

Decision Information

Decision Content

0 First Nations Tax Commission Commission de la fiscalité des premières nations The First Nations Tax Commission, pursuant to the First Nations Fiscal Management Act, hereby approves the following law made by the Tsleil-Waututh Nation in the Province of British Columbia, Tsleil-Waututh Nation Property Transfer Tax Law, 2019 Dated at Winnipeg, Manitoba this 26th day of June, 2019

On behalf of the First Nations Tax Commission C.T. (Mann

s Chief Commissioner t Nations Tax Commission

Tsleil-Waututh Nation Property Transfer Tax Law, 2019 TSLEIL-WAUTUTH NATION PROPERTY TRANSFER TAX LAW, 2019 TABLE OF CONTENTS PART I Citation 2 PART II Definitions and References 2 PART III Administration 5 PART IV Tax Liability and Levy 6 PART V Exemptions from Taxation 8 PART VI Investigations, Information Requests and Inspections 18 PART VII Refunds 19 PART VIII Assessment, Reconsideration and Appeal 20 PART IX Records and Tax Certificates 22 PART X Penalties and Interest 23 PART XI Collection and Enforcement 23 PART XII General Provisions 24 PART XIII Transitional Provisions and Coming into Force 26 SCHEDULES I Fair Market Value Determination II Information Required for Property Transfer Tax Returns III Notice of Property Transfer Tax Assessment IV Property Transfer Tax Certificate V Request for Information by Administrator VI Request for Reconsideration VII Costs Payable by Debtor Arising from the Collection and Enforcement of Unpaid Taxes 1

Tsleil-Waututh Nation Property Transfer Tax Law, 2019 WHEREAS: A. Pursuant to paragraph 5(1)(a) of the First Nations Fiscal Management Act, the Council of a First Nation may make laws respecting taxation for local purposes of reserve lands and interests in reserve lands;

B. The Council of the Tsleil-Waututh Nation deems it to be in the best interests of the Tsleil-Waututh Nation to make a law that provides for the levy and collection of a tax on certain interests in reserve lands at the time of the transfer of those interests; and

C. The Council of the Tsleil-Waututh Nation has given notice of this law and has considered any representations received by the Council, in accordance with the requirements of the First Nations Fiscal Management Act,

NOW THEREFORE the Council of the Tsleil-Waututh Nation duly enacts as follows: PART I CITATION Citation 1. This Law may be cited as the Tsleil-Waututh Nation Property Transfer Tax Law, 2019. PART II DEFINITIONS AND REFERENCES Definitions and References 2.(1) In this Law: "Act" means the First Nations Fiscal Management Act, and the regulations enacted under that Act; "administrator" means a person appointed by the Council under subsection 3(1) to administer this Law; "Assessment Law" means the Tsleil-Waututh Nation Property Assessment Law, 2017; "chief administrative officer" means the person, appointed by the Council, who is responsible for leading the planning, organization, implementation and evaluation of the overall management of all the day-to-day operations of the Tsleil-Waututh Nation;

"chief financial officer" means the person, appointed by the Council, who is responsible for the day-to-day management of the financial administration of the Tsleil-Waututh Nation;

"civil resolution tribunal" means the civil resolution tribunal established under the Civil Resolution Tribunal Act, S.B.C. 2012, c. 25;

"correcting transfer" means a taxable transfer that was intended to be transferred to the transferee when the original transfer was registered;

"Council" has the meaning given to that term in the Act; "expenditure law" means a law enacted by the Tsleil-Waututh Nation under paragraph 5(1)(b) of the Act; "fair market value" means the fair market value determined in accordance with the applicable rules and formulae set out in Schedule 1;

"holder", in relation to an interest in reserve lands, means a person (a) in possession of the interest, (b) entitled through a lease, licence or other legal means to the interest, (c) in actual occupation of the interest, or (d) who is a trustee of the interest; 2

Tsleil-Waututh Nation Property Transfer Tax Law, 2019 "improvement" means any building, fixture, structure or similar thing constructed, placed or affixed on, in or to land, or water over land, or on, in or to another improvement and includes a manufactured home;

"interest", in relation to reserve lands, means any estate, right or interest of any nature in or to the lands, including any right to occupy, possess or use the lands, but does not include title to the lands that is held by Her Majesty;

"lease" includes a sublease or any further sublease; "lease modification agreement" means an agreement that extends the term of a lease; "local revenue account" means the account referred to in section 13 of the Act; "manufactured home" means a structure, whether or not ordinarily equipped with wheels, that is designed, constructed or manufactured to

(a) be moved from one place to another by being towed or carried, and (b) provide (i) a dwelling house or premises, (ii) a business office or premises, (iii) accommodation for any other purpose, (iv) shelter for machinery or other equipment, or (v) storage, workshop, repair, construction or manufacturing facilities; "member" means a member of the Tsleil-Waututh Nation; "Notice of Tax Assessment" means a notice containing the information set out in Schedule III and includes an amended Notice of Tax Assessment;

"original transfer" means a taxable transfer to a transferee that was in error, or an error was made in the description or survey under which an interest in reserve lands was registered;

"parcel" means a block or other defined area of land on the reserve; "permanent resident of Canada" means a permanent resident as defined in the Immigration and Refugee Protection Act;

"person" includes a partnership, syndicate, association, corporation and the personal or other legal representatives of a person;

"principal residence", (a) for the purposes of section 12, means an interest in reserve lands (i) on which the person in relation to whose residency the exemption in section 12 is claimed usually resided and used as his or her home,

(ii) on which there are improvements that are designed to accommodate and that are used to accommodate three (3) or fewer families,

(iii) on which all of the improvements are residential improvements, and (iv) that is not larger than a half (0.5) hectare, and (b) for the purposes of sections 13 to 24, means the usual place where an individual makes his or her home;

"registration date" means the date on which an application is made to register a taxable transfer in the registry;

"registry" means the Tsleil-Waututh Lands Register, or its successor, in which interests in reserve lands 3

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Tsleil-Waututh Nation Property Transfer Tax Law, 2019 are registered; "related individual" means (a) a person's spouse, child, grandchild, great-grandchild, parent, parent's spouse, grandparent or great-grandparent,

(b) the spouse of a person's child, grandchild or great-grandchild, or (c) the child, parent, grandparent or great-grandparent of a person's spouse; "Request for Information" means a request containing the information set out in Schedule V; "Request for Reconsideration" means a request containing the information set out in Schedule VI; "reserve" means any land set apart for the use and benefit of the Tsleil-Waututh Nation within the meaning of the Indian Act;

"residential improvement" means an improvement, or a part of an improvement, constructed on and permanently affixed to land and that is intended to be a dwelling;

"residential property" means an interest in reserve lands that is (a) classified as class 1 property under the Assessment Law, or (b) used or intended to be used for residential purposes; "Return" means a tax return containing the information set out in Schedule II and in the form or forms determined by the administrator;

"settlor" means, in relation to an interest in reserve lands held in trust, the person who (a) contributed the interest in land to the trust estate, or (b) contributed to the trust estate the assets used to acquire the interest in land, whether or not that person is the creator of the trust; "spouse" includes a common law partner; "tax" means the property transfer tax imposed under this Law and includes all penalties, interest, and costs added to taxes under this Law;

"Tax Certificate" means a certificate containing the information set out in Schedule IV; "taxable transfer" means (a) a transfer, grant, assignment or other disposition of a lease by any method, including by court order (including an order absolute of foreclosure) or by the operation of any enactment,

(b) a grant of a life estate in a lease, including by court order (including an order absolute of foreclosure) or by the operation of any enactment,

(c) the extension of the term of a lease by a lease modification agreement, and (d) a grant of an option to renew or extend the term of a lease; "taxpayer" means a person liable for payment of tax under this Law; "transferee" means a person to whom an interest in reserve lands is transferred or whose interest is created, increased or given effect to under a taxable transfer;

"transferor" means a person from whom a transferee receives a taxable transfer; "Tsleil-Waututh Nation" means the Tsleil-Waututh Nation, being a band named in the schedule to the Act; and

"Tsleil-Waututh Nation Corporation" means a corporation in which at least a majority of the shares are

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Tsleil-Waututh Nation Property Transfer Tax Law, 2019 held in trust for the benefit of the Tsleil-Waututh Nation or all of the members of the Tsleil-Waututh Nation.

(2) For greater certainty, an interest, in relation to reserve lands, includes improvements. (3) For the purpose of calculating tax payable under this Law, a person registered in the registry as the holder of the interest in reserve lands, other than a person registered only as the owner of a charge, is deemed to be the legal and beneficial holder of the interest, even if the person holds the interest in trust.

(4) For the purposes of this Law, a person is considered to have only one (1) principal residence at a time.

(5) In this Law, references to a Part (e.g. Part I), section (e.g. section 1), subsection (e.g. subsection 2(1)), paragraph (e.g. paragraph 3(4)(a)) or Schedule (e.g. Schedule I) is a reference to the specified Part, section, subsection, paragraph or Schedule of this Law, except where otherwise stated.

(6) Unless otherwise specified, all references to named enactments in this Law are to enactments of the Government of Canada.

PART III ADMINISTRATION Administrator 3.(1) The Council shall appoint an administrator to oversee the administration and enforcement of this Law.

(2) The administrator shall fulfill the responsibilities given to the administrator under this Law and such other duties assigned to the administrator by the Tsleil-Waututh Nation from time to time.

(3) The administrator may, with the consent of the Council, the chief administrative officer or the chief financial officer, assign the performance of any duties of the administrator to any officer, employee, contractor or agent of the Tsleil-Waututh Nation.

(4) On or before September 30 of each year, the administrator shall prepare and present a report to the Council on the administration of this Law during the previous fiscal year, which report shall include

(a) the amount of all taxes levied; (b) the amount of all taxes received; (c) the amount of any exemptions from taxes; (d) the amount of any refunds of taxes; (e) a list of all requests for reconsideration received by the administrator and the decision made respecting each request;

(f) any appeals filed; and (g) any enforcement proceedings taken. Revenues and Expenditures 4. Taxes collected by the Tsleil-Waututh Nation shall be placed in the local revenue account of the Tsleil-Waututh Nation and expended under the authority of an expenditure law or in accordance with section 13.1 of the Act.

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Tsleil-Waututh Nation Property Transfer Tax Law, 2019 PART IV TAX LIABILITY AND LEVY Tax Liability 5.(1) This Law applies to all interests in reserve lands, and every transferee is subject to tax at the time of application for registration of a taxable transfer in respect of an interest in accordance with this Law.

(2) Except where an exemption applies as provided in Part V, a tax (a) is levied and imposed on an interest at the time of the application for registration of a taxable transfer relating to that interest; and

(b) shall be paid by the transferee in accordance with this Law. (3) A person who is a transferee of a taxable transfer under this Law is liable for the tax even if (a) that person is also liable to pay taxes imposed under other property taxation laws of the Tsleil-Waututh Nation; or

(b) the interest acquired by a co-transferee of the taxable transfer is exempt from tax under this Law. (4) Where there is more than one (1) transferee in respect of a taxable transfer, each transferee is jointly and severally liable to the Tsleil-Waututh Nation for the tax imposed under this Law.

(5) Subsection (4) does not apply to a co-transferee of a taxable transfer who is exempt from tax under this Law.

(6) Taxes are due and payable under this Law notwithstanding any proceeding initiated or remedy sought by a taxpayer respecting those taxes, including without limitation respecting the assessment of taxes, the applicability of an exemption, or the taxpayer's liability to taxation.

Tax Payment and Filing Return 6.(1) On application for registration of a taxable transfer in the registry, the transferee shall (a) pay the tax in accordance with this Law; and (b) file a completed Return in accordance with this Law, whether or not the taxable transfer is exempt from tax under this Law.

(2) The registry shall refuse to accept an application for registration of a taxable transfer if (a) the transferee does not pay the tax owing at the time of registration; (b) the transferee does not file a completed Return; or (c) the administrator or the registry staff have reasonable grounds to believe that the Return is incomplete, or the transferee does not qualify for an exemption being claimed on the Return.

(3) Payment of taxes shall be made by electronic transfer to the Tsleil-Waututh Nation as directed by the administrator, or by cheque or money order made payable to the Tsleil-Waututh Nation.

(4) The administrator shall issue a receipt to the taxpayer for taxes paid under this Law. Payment of Estimated Tax 7.(1) Despite section 6, where the amount of tax owing on a taxable transfer cannot be determined on the registration date because an appraisal or other valuation information is required to determine the fair market value of the taxable transfer, the administrator may, on the request of the transferee,

(a) estimate the tax owing using the best information available to the administrator on the registration date; and

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Tsleil-Waututh Nation Property Transfer Tax Law, 2019 (b) authorize the registry to accept the application for registration of the taxable transfer on payment by the transferee of the administrator's estimate of the tax owing.

(2) Where a transferee makes a payment of estimated tax owing under subsection (1), the administrator shall, on receipt of the appraisal or other valuation information, determine the tax owing on the taxable transfer.

(3) Despite subsection (2), if the transferee was required to provide the appraisal or other valuation information and the transferee does not provide the information within the required time, the administrator shall determine the tax owing on the taxable transfer on the registration date, based on the best information available to the administrator at the time of the determination under this subsection.

(4) Where the administrator makes a determination of tax owing under subsection (2) or (3), the administrator shall deliver a Notice of Tax Assessment to the transferee and section 32 applies.

Tax Rate 8.(1) The tax payable under this Law is the sum of the following: (a) one percent (1%) of the taxable transfer's fair market value that does not exceed two hundred thousand dollars ($200,000);

(b) two percent (2%) of that portion of the fair market value that exceeds two hundred thousand dollars ($200,000) but does not exceed two million dollars ($2,000,000);

(c) three percent (3%) of that portion of the fair market value that exceeds two million dollars ($2,000,000); and

(d) where the subject matter of the taxable transfer includes residential property, an additional two percent (2%) of that portion of the fair market value of the residential property that exceeds three million dollars ($3,000,000), determined in accordance with subsection (2).

(2) For the purposes of paragraph (1)(d), the fair market value of a residential property is (a) where the subject matter of the taxable transfer includes only residential property, the fair market value of the taxable transfer; and

(b) where the subject matter of the taxable transfer includes property that is not residential property, the fair market value of that portion of the taxable transfer comprising the residential property.

(3) If a transferee (a) applies to register a taxable transfer, and (b) within six (6) months after the application referred to in paragraph (a) applies to register one or more additional taxable transfers respecting the same interest,

the tax owing on the taxable transfer referred to in paragraph (b) shall be calculated based on the total fair market value of the taxable transfers referred to in paragraphs (a) and (b) as if all the taxable transfers referred to in paragraphs (a) and (b) were a single taxable transfer.

(4) If (a) a transferee applies to register a taxable transfer, and (b) one or more related individuals of the person referred to in paragraph (a) apply, as transferees, at the same time as or within six (6) months after the application referred to in paragraph (a), to register one (1) or more taxable transfers respecting the same interest for which the transferor is not the person referred to in paragraph (a),

the tax owing shall be calculated based on the total fair market value of the taxable transfers referred to in paragraphs (a) and (b) as if all those taxable transfers were a single taxable transfer, and the transferees

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Tsleil-Waututh Nation Property Transfer Tax Law, 2019 referred to in paragraphs (a) and (b) are jointly and severally liable to pay the total tax owing. (5) If (a) a transferee that is a corporation (in this subsection and subsection (6) called the "corporate transferee") applies for registration of a taxable transfer, and

(b) one or more corporations associated with the corporate transferee apply, as transferees, at the same time as or within six (6) months after the application referred to in paragraph (a), for registration of one or more taxable transfers respecting the same interest for which the transferor is not the corporate transferee,

the tax owing on the taxable transfers shall be calculated based on the total fair market value of the taxable transfers referred to in paragraphs (a) and (b) as if all those taxable transfers were a single taxable transfer, and the transferees referred to in paragraphs (a) and (b) are jointly and severally liable to pay that total tax.

(6) For the purposes of subsection (5), a corporation is associated with a corporate transferee if the corporation and the corporate transferee are associated, within the meaning of section 256 of the Income Tax Act, on the registration date of the taxable transfer referred to in subsection (5).

Tax Return 9. A Return shall be dated and certified (a) if no exemption is claimed, by the transferee or a person with actual authority to certify the Return on behalf of the transferee;

(b) if an exemption is claimed and the transferee is an individual, by the transferee or by an agent of the transferee who has personal knowledge of the matters certified; or

(c) if an exemption is claimed and the transferee is a corporation, by a person who has personal knowledge of the matters certified and actual authority to certify the return on behalf of the transferee.

Correcting Transfer 10.(1) Despite section 8, the tax payable for a correcting transfer is the tax payable determined under that section as if the fair market value of the taxable transfer were determined on the registration date of the original transfer.

(2) On the registration of a correcting transfer, the amount of tax paid by a transferee in respect of the original transfer is deemed to be tax

(a) paid by the transferee in respect of the correcting transfer; and (b) paid on the registration date of the correcting transfer. PART V EXEMPTIONS FROM TAXATION Applicability of Exemptions 11.(1) A transferee is exempt from taxation on a taxable transfer under sections 12 and 13 only where (a) the taxable transfer is within any of the descriptions set out in sections 12 and 13; and (b) the transferee files a claim for the exemption concurrently with the transferee's completed Return and application for registration of the taxable transfer in the registry.

(2) A claim for an exemption under this section shall (a) be in the form required by the administrator; (b) provide sufficient information for the administrator to confirm that the taxable transfer or the 8

Tsleil-Waututh Nation Property Transfer Tax Law, 2019 transferee, as the case may be, qualifies for the exemption claimed; and (c) include a consent by the transferee to the administrator conducting inquiries respecting the taxable transfer and the transferee that the administrator considers necessary to confirm the qualification for the exemption.

Exemptions from Tax 12.(1) In this section a related individual shall be a person who is a Canadian citizen or a permanent resident as defined in the Immigration and Refugee Protection Act.

(2) A transferee is exempt from taxation on a taxable transfer under this Law where the taxable transfer is

(a) from a transferor who is not a trustee to a transferee who is a related individual, if the interest transferred has been the principal residence of either the transferor or the transferee for a continuous period of at least six (6) months immediately before the registration date;

(b) from a trustee of a deceased's estate or of a trust established under a deceased's will and who is registered in that capacity in the registry, to a transferee, if

(i) the transferee is a beneficiary of the estate or trust, (ii) the transferee beneficiary was a related individual of the deceased at the time of the deceased's death, and

(iii) immediately before the deceased's death, the interest to be transferred was the deceased's principal residence or had been the transferee's principal residence for a continuous period of at least six (6) months;

(c) from a trustee of a trust that is settled during the lifetime of the settlor and who is registered in that capacity in the registry, if

(i) the transferee is a beneficiary of the trust, (ii) the transferee beneficiary is a related individual of the settlor of the trust, and (iii) the interest transferred was the principal residence of either the settlor or the transferee for a continuous period of at least six (6) months immediately before the date of transfer or of the transferee beneficiary for that period;

(d) from a transferor to a transferee who is a spouse or former spouse of the transferor where the transfer is made pursuant to a written separation agreement, a court order, or other legally binding order or agreement under the Tsleil-Waututh Nation Matrimonial Real Property Law or under an applicable provincial or federal enactment respecting the division of matrimonial or family property;

(e) to change a joint tenancy to a tenancy in common, if (i) the persons holding the interest are the same before and after the transfer, and (ii) each person holding a share of the interest after the transfer has an interest equal to that held by the other holders;

(f) by operation of law to the survivor of a joint tenancy consequent on the death of a joint tenant holder of the interest;

(g) in relation to the subdivision of an interest into smaller parcels, where (i) the transferee of one or more of the resulting subdivided parcels was one of the registered holders of the original interest immediately before its subdivision, and

(ii) the transferee's proportionate share of the fair market value of those smaller parcels, calculated

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Tsleil-Waututh Nation Property Transfer Tax Law, 2019 using the fair market values as they were immediately after the subdivision, does not exceed the transferee's proportionate share of the fair market value of the original interest, calculated using the fair market value as it was immediately before the subdivision;

(h) by which an interest reverts, escheats or is forfeited to the Tsleil-Waututh Nation or the federal or provincial Crown, or by which an interest that has reverted, escheated or been forfeited to the Tsleil-Waututh Nation or the Crown is returned to its previous holder;

(i) to the trustee in bankruptcy of an interest forming part of the estate of a bankrupt; (j) from the trustee in bankruptcy to the bankrupt of an interest forming part of the estate of the bankrupt, if no consideration for the transfer is paid by or on behalf of the bankrupt transferee and a declaration to that effect is made by the transferee and the transferor on the application for the exemption;

(k) from the trustee in bankruptcy to the spouse or former spouse of the bankrupt of an interest forming part of the estate of the bankrupt, if

(i) the interest transferred was the principal residence of the bankrupt immediately before the date of the bankruptcy, and

(ii) no consideration for the transfer is paid by or on behalf of the transferee and a declaration to that effect is made by the transferee and the transferor on the application for the exemption;

(1) to a person in his or her capacity as personal representative, if the interest transferred is part of the deceased's estate;

(m) of a life estate in a lease, if the transferee of that life estate transferred the lease in the same interest to the transferor of the life estate in a concurrent transaction;

(n) to a mortgagee, if the mortgagee was the immediately preceding holder of the interest that was subject to the mortgage;

(o) to the provincial public guardian and trustee or the Minister of Indian Affairs and Northern Development, if

(i) the interest transferred is to be held in trust by the public guardian and trustee or the Minister of Indian Affairs and Northern Development, as the case may be, for the sole benefit of a minor,

(ii) the minor is a related individual of the transferor or the person whose estate is the transferor, and

(iii) the interest transferred was the principal residence of the minor, the transferor, or the person whose estate is the transferor;

(p) from the provincial public guardian and trustee or the Minister of Indian Affairs and Northern Development, if

(i) the interest transferred was held in trust by the public guardian and trustee or the Minister of Indian Affairs and Northern Development, as the case may be, for the sole benefit of a minor, and

(ii) the transferee is the beneficiary; (q) from a transferor to a transferee, each of whom is registered in the registry as a trustee of the interest, if

(i) the change in trustee is for reasons that do not relate, directly or indirectly, to a change in beneficiaries or in a class of beneficiaries or to a change in the terms of the trust, and

(ii) the transferor and the transferee make a declaration to that effect on the application for the exemption;

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Tsleil-Waututh Nation Property Transfer Tax Law, 2019 (r) for the purpose of transferring an interest (i) that was transferred in error, or (ii) in respect of which an error was made in the description or survey relating to the registration of the interest;

(s) to a not-for-profit educational institution, including a public school, university, technical institute or public college, if the interest being transferred will be used for an educational purpose; or

(t) of a lease with a term of thirty (30) years or less remaining as of the registration date, other than a lease modification agreement.

(3) Despite paragraph (2)(t), the exemption from taxation in that paragraph does not apply to a taxable transfer where

(a) two (2) or more taxable transfers are made in respect of the same interest; (b) the applications for registration of the taxable transfers are made at the registry within six (6) months of each other;

(c) each of the taxable transfers provides a term during which a person is given a right to occupy the interest under a lease; and

(d) the terms referred to in paragraph (c) exceed thirty (30) years in total. Additional Exemptions 13.(1) A transferee is exempt from taxation on a taxable transfer under this Law where the taxable transfer is to

(a) the Tsleil-Waututh Nation as the sole transferee; (b) a Tsleil-Waututh Nation Corporation as the sole transferee; (c) a member where, in respect of the taxable transfer, (i) the member is the only transferee, (ii) all of the transferees are members, or (iii) the member and the member's spouse are the only transferees, provided that the transferee will hold the interest directly and not as a trustee, and the interest will be the transferee's principal residence; or

(d) a trustee who will hold the interest in trust only for the sole benefit of one (1) or more members and no other person, provided that at least one of the members will use the interest as their principal residence.

(2) Subject to subsection (3), where an exemption is given under paragraph (1)(b), (c) or (d), the Tsleil-Waututh Nation shall

(a) pay into the local revenue account an amount equivalent to the taxes that would have been payable by the exempted person or corporation had the exemption not applied; and

(b) make the payment under paragraph (a) using moneys that are not local revenues. (3) The requirement in subsection (2) does not apply to an exemption given under paragraph (1)(b) where all of the shares in the Tsleil-Waututh Nation Corporation are held in trust for the benefit of the Tsleil-Waututh Nation or all of the members of the Tsleil-Waututh Nation.

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Tsteit-Waututh Nation Property Transfer Tax Law, 2019 First-Time Home Buyer Exemption Definitions 14. The following definitions apply to sections 15 to 18: "first-time home buyer" means an individual who (a) is a Canadian citizen or a permanent resident of Canada on the registration date of a taxable transfer,

(b) has not previously (i) owned land in British Columbia or elsewhere that constituted the individual's principal residence,

(ii) held a lease in British Columbia or elsewhere that constituted the individual's principal residence, or

(iii) held an interest in reserve lands under a lease that constituted the individual's principal residence, and

(c) has not previously obtained a first-time home buyers' exemption or refund under this Law or under any other federal, provincial or First Nation enactment; and

"qualifying property" means an interest in reserve lands (a) with a fair market value that does not exceed the amount set for a qualifying property for the first time home buyers' program under the Property Transfer Tax Act, R.S.B.C. 1996, c. 378 on the registration date, and

(b) with a total parcel area of a half (0.5) hectare or less. First-Time Home Buyer Exemption Qualifications 15.(1) A transferee who applies for registration of a taxable transfer of a qualifying property is exempt from taxation under this Law if

(a) the taxable transfer is referenced in paragraph (a) or (b) of the definition of "taxable transfer" in subsection 2(1);

(b) the residential improvement is the only improvement on the qualifying property; (c) the transferee is a first-time home buyer; (d) the transferee meets the requirements set out in section 16; and (e) the transferee files a claim for the exemption concurrently with the transferee's completed Return and application for registration of the taxable transfer in the registry.

(2) A claim for an exemption under this section shall (a) be in the form required by the administrator; (b) include a declaration that the transferee is a first-time home buyer; (c) provide sufficient information to confirm that the interest in reserve lands is a qualifying property; and

(d) include a consent by the transferee to the administrator conducting inquiries respecting the transferee that the administrator considers necessary to confirm the qualifications of the transferee for the exemption.

First-Time Home Buyer Requirement to Establish a Residence 16.(1) A transferee who has applied for an exemption under section 15 or a refund under section 17 shall establish a residence on the qualifying property in accordance with subsection (2) or (3).

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Tsleil-Waututh Nation Property Transfer Tax Law, 2019 (2) For the purposes of subsection (1), a transferee establishes a residence on the qualifying property if, on the registration date, the qualifying property contains a residential improvement that the transferee inhabits as the transferee's principal residence within ninety-two (92) days after the registration date and continuing to a date that is not earlier than the first anniversary of the registration date.

(3) If, on the registration date, the qualifying property does not contain a residential improvement as required by subsection (2), a transferee may establish a residential improvement before the first anniversary of the registration date provided

(a) the transferee inhabits the residential improvement as the transferee's principal residence beginning at the time it is completed and continuing to a date that is not earlier than the first anniversary of the registration date; and

(b) the qualifying property, taking into consideration the total costs incurred to establish the residential improvement and the fair market value of the qualifying property on the registration date, would have been a qualifying property on the registration date.

First-Time Home Buyer Refund on Application 17.(1) A transferee who is entitled to an exemption under section 15 who does not apply for that exemption on the registration date may, within eighteen (18) months after that date, apply to the administrator under subsection (3) for a refund of the tax paid on the taxable transfer by the transferee.

(2) If a transferee is not entitled on the registration date to an exemption under section 15 only because the transferee does not meet a requirement set out in paragraph (a) of the definition in section 14 of "first-time home buyer" on the registration date, the transferee may apply to the administrator under subsection (3) for a refund of the tax paid on the taxable transfer by the transferee if

(a) the transferee meets the requirements of paragraph (a) of that definition on or before the first anniversary of the registration date; and

(b) the transferee makes the application for a refund within eighteen (18) months after the registration date.

(3) To claim a refund under subsection (1) or subsection (2), a transferee shall provide to the administrator

(a) a written application for a refund, in the form required by the administrator, signed by the transferee;

(b) a claim for the exemption in the form required by the administrator; and (c) any additional information or evidence necessary to satisfy the administrator that the applicant is entitled to claim the exemption.

(4) On receiving an application under subsection (1) and additional information under subsection (3), the administrator shall,

(a) on being satisfied that the transferee would have qualified for an exemption under section 15 on the registration date, pay to the transferee a refund of the tax paid by the transferee equivalent to the amount of the tax exemption had the application for the exemption been made on the registration date; or

(b) if not satisfied that the transferee would have qualified for an exemption under section 15 on the registration date, refuse the application and provide a written notice to the transferee stating the reasons for the refusal.

(5) On receiving an application under subsection (2) and additional information under subsection (3), the administrator shall,

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Tsleil-Waututh Nation Property Transfer Tax Law, 2019 (a) on being satisfied that the transferee would have qualified for an exemption under section 15 on the registration date but for the transferee's failure to meet a requirement set out in paragraph (a) of the definition in section 14 of "first-time home buyer" on that date, pay to the transferee a refund of the tax paid by the transferee equivalent to the amount of the tax exemption had the transferee met the requirement on the registration date; or

(b) if not satisfied that the transferee met that requirement on or before the first anniversary of the registration date, refuse the application and provide a written notice to the transferee stating the reasons for the refusal.

(6) A notice given under paragraph (4)(b) or (5)(b) is deemed to be a Notice of Tax Assessment for the purpose of allowing the taxpayer to make a Request for Reconsideration under this Law.

First-Time Home Buyer Unqualified Transferee 18.(1) The administrator shall, after the first anniversary of the registration date, confirm with each transferee who has obtained an exemption under section 15 or a refund under section 17 that the requirements in section 16 have been met.

(2) Where the administrator determines that a transferee who has obtained an exemption under section 15 or a refund under section 17

(a) did not qualify for the exemption on the registration date, or (b) fails, refuses or ceases to comply with section 16, the administrator shall deliver a Notice of Assessment to the transferee and the transferee shall pay to the Tsleil-Waututh Nation the tax that would have been owing by the transferee had the transferee not received the exemption or refund, plus interest calculated on the tax from the registration date and any penalty assessed under section 39.

(3) Subsection (2) does not apply where a transferee does not comply with section 16 only because (a) the transferee dies before the first anniversary of the registration date; or (b) the interest in reserve lands is transferred by the transferee to a spouse or former spouse pursuant to a written separation agreement or court order under the Tsleil-Waututh Nation Matrimonial Real Property Law or under an applicable provincial or federal enactment relating to the division of matrimonial or family property.

New Housing Exemption Definitions 19. The following definitions apply to sections 20 to 24: "qualifying individual" means an individual who is a Canadian citizen or a permanent resident of Canada; "qualifying property" means an interest in reserve lands (a) with a fair market value that does not, on the registration date, exceed the sum of (i) the qualifying value of an interest, and (ii) the amount set for a qualifying property for the new housing exemption under the Property Transfer Tax Act, R.S.B.C. 1996, c. 378, and

(b) with a total parcel area of a half (0.5) hectare or less; and "qualifying value", in respect of an interest in reserve lands, means the amount set for the qualifying value for the new housing exemption under the Properly Transfer Tax Act, R.S.B.C. 1996, c. 378.

New Housing Exemption Qualifications 20.(1) A transferee who applies for registration of a taxable transfer of a qualifying property that

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Tsleil-Waututh Nation Property Transfer Tax Law, 2019 contains a residential improvement is exempt from taxation under this Law if (a) the taxable transfer is referenced in paragraph (a) or (b) of the definition of "taxable transfer" in subsection 2(1);

(b) the transferee is a qualifying individual on the registration date; (c) the taxable transfer is in respect of either of the following: (i) a qualifying property in respect of which the residential improvement (A) was constructed or placed on the property, and (B) on the registration date, has not been used as a dwelling since the construction of the residential improvement began or since the residential improvement was placed on the property, as the case may be, or

(ii) a qualifying property that resulted from a subdivision of a parcel and in respect of which the residential improvement

(A) was developed from the division of an improvement that was on the parcel that was subdivided, and

(B) on the registration date, has not been used as a dwelling since the subdivision of the parcel;

(d) the qualifying property does not, on the registration date, contain a residential improvement other than a residential improvement that falls within the description in subparagraph (c)(i) or (ii);

(e) the application is the first application for registration in respect of the qualifying property, (i) in the case of a qualifying property described in subparagraph (c)(i), since the residential improvement was completed or since the residential improvement was placed on the property, as the case may be, or

(ii) in the case of a qualifying property described in subparagraph (c)(ii), since the subdivision of the parcel;

(f) the transferee files a claim for the exemption concurrently with the transferee's completed Return and application for registration of the taxable transfer in the registry.

(2) If the fair market value of a qualifying property exceeds the qualifying value of the property, the exemption under subsection (1) is the amount calculated as follows:

PTT x ((QV+50,000-FMV)/50,000) where FMV is the fair market value of the qualifying property; PTT is the amount of tax that would be payable on the taxable transfer but for the exemption under subsection (1); and

QV is the qualifying value of the qualifying property. (3) A claim for an exemption under this section shall (a) be in the form required by the administrator; (b) include a declaration that the transferee and the taxable transfer meet all of the requirements for the exemption;

(c) provide sufficient information to confirm that the interest is a qualifying property; and (d) include a consent by the transferee to the administrator conducting inquiries respecting the

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Tsleil-Waututh Nation Property Transfer Tax Law, 2019 transferee that the administrator considers necessary to confirm the qualifications of the transferee and the transfer for the exemption.

New Housing Exemption Obligation to Inhabit as Principal Residence 21. A transferee who has applied for an exemption under section 20 or a refund under section 22 shall,

(a) beginning on a date that is not more than ninety-two (92) days after the registration date, and (b) continuing to a date that is not earlier than the first anniversary of the registration date, inhabit as the transferee's principal residence the residential improvement on the qualifying property. New Housing Exemption Refund where Principal Residence on Registration Date 22.(1) A transferee who is entitled to an exemption under section 20 and who fails to apply for that exemption on the registration date may, within eighteen (18) months after that date, apply to the administrator for a refund of the tax paid by the transferee on the registration date of the taxable transfer.

(2) A transferee who is not entitled on the registration date to an exemption under section 20 because the transferee is not a qualifying individual on that date may apply to the administrator for a refund of the tax paid on the registration of the transaction by the transferee if

(a) the transferee becomes a qualifying individual on or before the first anniversary of the registration date; and

(b) the application for the refund is made within eighteen (18) months after the registration date. (3) On receiving an application under subsection (1), the administrator, (a) if satisfied that the transferee would have qualified for an exemption under section 20 on the registration date, shall refund the portion of the amount of tax paid by the transferee that is equivalent to the amount of the exemption to which the transferee would have been entitled had the application for the exemption been made on the registration date; or

(b) if not satisfied that the transferee would have qualified for an exemption under section 20 on the registration date, shall refuse the application and provide the transferee with written notice stating the reasons for the refusal.

(4) On receiving an application under subsection (2), the administrator, (a) if satisfied that the transferee (i) would have qualified for an exemption under section 20 on the registration date but for the transferee's failure to be a qualifying individual on that date, and

(ii) became a qualifying individual on or before the first anniversary of the registration date, shall refund that portion of the amount of tax paid by the transferee that would have been exempted under section 20 had the transferee been a qualifying individual on the registration date; and

(b) if not satisfied that the requirements for the refund set out in paragraph (a) have been met, shall refuse the application and provide the transferee with written notice stating the reasons for the refusal.

(5) A notice given under paragraph (3)(b) or (4)(b) is deemed to be a Notice of Tax Assessment for the purpose of allowing the taxpayer to make a Request for Reconsideration under this Law.

New Housing Exemption Refund where no Principal Residence on Registration Date 23.(1) A transferee of a qualifying property that does not, on the registration date, contain a residential improvement may apply for a refund of the tax paid on the registration date by the transferee if

(a) the transferee is a qualifying individual on the registration date or becomes a qualifying 16

Tsleil-Waututh Nation Property Transfer Tax Law, 2019 individual on or before the first anniversary of the registration date; (b) before the first anniversary of the registration date, the transferee establishes a residential improvement on the qualifying property

(i) that the transferee inhabits, as the transferee's principal residence, (A) beginning at the time the residential improvement is completed, and (B) subject to subsection (2), continuing to a date that is not earlier than the first anniversary of the registration date, and

(ii) in respect of which the total costs incurred to establish the residential improvement, when added to the fair market value of the property at the registration date, do not exceed the sum of the qualifying value of the property and fifty thousand dollars ($50,000); and

(c) the application for the refund is made on a date that is (i) after the first anniversary of the registration date, and (ii) on or before the date that is eighteen (18) months after the registration date. (2) The requirement set out in clause (1)(b)(i)(B) is deemed to have been met in respect of a property if the transferee fails to meet that requirement only because, before the first anniversary of the registration date,

(a) the transferee dies; or (b) the property is transferred by the transferee pursuant to a written separation agreement or a court order under the Tsleil-Waututh Nation Matrimonial Real Property Law or under an applicable federal or provincial enactment respecting the division of matrimonial or family property.

(3) On receiving an application under subsection (1), the administrator, (a) if satisfied that (i) the qualifying property was, on the registration date, a qualifying property that did not contain a residential improvement, and

(ii) the requirements for the refund set out in subsection (1) have been met, shall refund the portion of the amount of tax paid by the transferee that is equivalent to the amount of the exemption to which the transferee would have been entitled under section 20 had the property contained a residential improvement meeting the requirements in subsection 20(1); or

(b) if not satisfied that the requirements for the refund set out in subsection (1) have been met, shall refuse the application and provide the transferee with written notice stating the reasons for the refusal.

(4) A notice given under paragraph (3)(b) is deemed to be a Notice of Tax Assessment for the purpose of allowing the taxpayer to make a Request for Reconsideration under this Law.

New Housing Exemption Unqualified Transferee 24.(1) A transferee who has obtained an exemption under section 20 or a refund under section 22 is liable under subsection (2) if the transferee,

(a) in the case of a transferee who obtained an exemption under section 20 or a refund under paragraph 22(3)(a), is not a qualifying individual on the registration date;

(b) in the case of a transferee who obtained a refund under paragraph 22(4)(a), does not become a qualifying individual on or before the first anniversary of the registration date;

(c) in the case of a transferee who obtained an exemption under section 20, fails or refuses to comply with paragraph 20(1)(f) or subsection 20(3); or

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Tsleil-Waututh Nation Property Transfer Tax Law, 2019 (d) fails to inhabit the residential improvement referred to in section 21 as the transferee's principal residence as required by that section.

(2) A transferee referred to in subsection (1) shall pay to the Tsleil-Waututh Nation tax in the same amount that the transferee would have been obliged to pay under this Law had the transferee not received the exemption or refund.

(3) Where the administrator determines that subsection (1) applies to a transferee, the administrator shall deliver a Notice of Tax Assessment to the transferee and the transferee shall pay to the Tsleil-Waututh Nation the tax that would have been owing by the transferee had the transferee not received the exemption or refund, plus interest calculated on the tax from the registration date and any penalty assessed under section 39.

(4) A transferee not referred to in subsection (1) who has obtained an exemption under section 20 or a refund under section 22 or 23 for an amount greater than the amount to which the transferee is entitled under this Law shall pay to the Tsleil-Waututh Nation as a tax liability the amount by which the exemption or refund received exceeded the exemption or refund to which the transferee was entitled, plus interest calculated on the tax from the registration date and any penalty assessed under section 39.

(5) Subsections (1) to (4) do not apply to a transferee who has obtained an exemption under section 20 or a refund under section 22 if the transferee does not comply with section 21 only because, before the first anniversary of the registration date,

(a) the transferee dies; or (b) the property is transferred by the transferee pursuant to a written separation agreement or a court order under the Tsleil-Waututh Nation Matrimonial Real Property Law or under an applicable federal or provincial enactment respecting the division of matrimonial or family property.

Rule Respecting Exemptions 25. Despite sections 14 to 24, a transferee is not entitled to and shall not apply for both a first-time home buyers' exemption or refund and a new housing exemption or refund in respect of the same taxable transfer.

PART VI INVESTIGATIONS, INFORMATION REQUESTS AND INSPECTIONS Review and Investigations 26.(1) The administrator shall review every Return and every claim for an exemption submitted under this Law.

(2) The administrator may investigate whether (a) a Return is accurate; (b) a claim for an exemption is accurate; (c) the tax owing has been paid as required by this Law; and (d) any provision of this Law has been contravened. Requests for Information or Documents 27.(1) The administrator may deliver a Request for Information to any person, including a transferor, a transferee, or a holder of an interest on which tax has or should have been levied, and that person shall provide to the administrator, within fourteen (14) days or a longer period as specified in the notice, information, including the production of records, for any purpose related to the administration of this Law.

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Tsleil-Waututh Nation Property Transfer Tax Law, 2019 (2) The administrator is not bound by the information provided under subsection (1), and may, despite any information delivered, or if no information is delivered, make a tax assessment in respect of taxes payable, or make any other determination or take such action as the administrator determines appropriate.

Inspections 28.(1) The administrator or another person authorized by the Tsleil-Waututh Nation may, for any purpose related to the administration or enforcement of this Law,

(a) during normal office hours enter into a place where a business is carried on, or where anything is done in connection with a business, or where business records are or should be kept, and inspect the records that relate or may relate to the amount of tax payable under this Law; and

(b) examine any interest in reserve lands an examination of which may, in the person's opinion, assist in determining the accuracy of a Return or a claim for an exemption, information that is or should be in the Return or the claim for an exemption, or the amount of tax payable under this Law.

(2) If a record has been inspected or produced under this section, the person by whom it is inspected or to whom it is produced may make copies of that record.

(3) A person shall not obstruct a person doing anything that he or she is authorized by this section to do.

PART VII REFUNDS Refund of Taxes Paid 29.(1) If a person has paid tax pursuant to a Notice of Tax Assessment and, as a result of (a) a decision of the administrator under section 33, or (b) an order of the court under section 34, the tax payable is less than the amount actually paid, the administrator shall refund the excess tax paid, including interest on the amount overpaid calculated in accordance with subsection (4).

(2) If, after a person has paid tax under section 6, (a) the person withdraws the application for registration, or (b) the application for registration is rejected and not resubmitted, the administrator shall refund the tax paid, including interest calculated in accordance with subsection (4). (3) If a person is deemed to have paid tax in respect of a correcting transfer and the tax payable is less than the amount deemed to have been paid, the administrator shall refund the overpaid tax, including interest on the amount overpaid calculated in accordance with subsection (4).

(4) Where interest is payable on a refund of taxes under this Law, the administrator shall calculate the interest payable as follows:

(a) interest accrues from the date that the taxes were originally paid to the Tsleil-Waututh Nation; (b) the interest rate during each successive three (3) month period beginning on January 1, April 1, July 1 and October 1 in every year, is two percent (2%) below the prime lending rate of the principal banker to the Tsleil-Waututh Nation on the 15th day of the month immediately preceding that three (3) month period;

(c) interest will not be compounded; and

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Tsleil-Waututh Nation Property Transfer Tax Law, 2019 (d) interest stops running on the earliest of the day payment of the money owed is mailed, delivered or actually received by the person to whom it is owed.

Refund of Taxes on Application 30.(1) Where a person has paid an amount as tax under this Law in circumstances where there was no legal obligation to pay the amount as tax, the person may apply to the administrator for a refund of the amount paid.

(2) To claim a refund under subsection (1), a person shall (a) submit to the administrator a written application, in the form required by the administrator, signed by the person who paid the amount claimed; and

(b) provide sufficient evidence to satisfy the administrator that the person who paid the amount is entitled to the refund.

(3) For the purposes of paragraph (2)(a), if the person who paid the amount claimed is a corporation, the application shall be signed by an authorized signatory of the corporation.

(4) Where the administrator receives an application for a refund under this section and is satisfied that person paid an amount as tax in circumstances where there was no legal obligation to pay the amount as tax, the administrator shall refund that amount to the person entitled to it, without interest.

(5) As a limitation on subsection (4), the administrator shall not provide a refund for an amount paid more than two (2) years before the date on which the application for a refund is submitted under paragraph (2)(a).

(6) Where the administrator determines that a refund is not payable under this section, the administrator shall give a written notice to the transferee stating the reasons a refund is not payable and the notice is deemed to be a Notice of Tax Assessment for the purpose of allowing the taxpayer to make a Request for Reconsideration under this Law.

Recovery of a Refund Wrongly Obtained 31.(1) If a refund is made under this Law and the administrator subsequently determines that the person was not entitled to the refund, or was entitled only to a refund in a lesser amount, the amount of the refund to which the person was not entitled is deemed to be tax imposed by section 6 which was required to have been paid by the person on the date the refund was made to the person.

(2) Where the administrator makes a determination under subsection (1), the administrator shall give a Notice of Tax Assessment to the person stating the reasons the person was not entitled to the refund, or was entitled only to a refund in a lesser amount, and the amount of taxes payable, including interest and penalties where section 39 applies.

PART VIII ASSESSMENT, RECONSIDERATION AND APPEAL Tax Assessment by Administrator 32.(1) The administrator may determine, in respect of a taxable transfer, and on information available to the administrator,

(a) the fair market value of a taxable transfer; (b) the applicability of an exemption claimed under this Law; and (c) the tax owing by a transferee under this Law. (2) If the administrator determines that (a) the fair market value indicated on a Return is not correct, 20

Tsleil-Waututh Nation Property Transfer Tax Law, 2019 (b) an exemption claimed by a transferee is not applicable, or (c) for any reason a transferee has not paid the correct amount of tax, the administrator shall make a tax assessment and deliver a Notice of Tax Assessment to the transferee. (3) The Notice of Tax Assessment shall set out, as applicable, (a) the name and address of the transferee; (b) a description of the interest in reserve lands; (c) the administrator's determination of the fair market value of the taxable transfer; (d) the administrator's determination of the applicability of an exemption claimed by the transferee; (e) the administrator's determination of the total amount of tax payable on the taxable transfer; (f) the amount of tax paid by the transferee; (g) any penalty and interest owing by the transferee under Part X, as of the date of the Notice of Tax Assessment;

(h) the balance of tax owing or overpaid; and (i) the date of the Notice of Tax Assessment. (4) The delivery of a Notice of Tax Assessment by the administrator constitutes a statement of and demand for payment of the taxes where taxes are owing.

(5) Where a Notice of Tax Assessment indicates an overpayment of taxes, the administrator shall refund any excess taxes that have been paid, in accordance with this Law.

(6) Where a Notice of Tax Assessment indicates taxes owing, the taxes are due and payable within thirty (30) days after the date shown on the Notice of Tax Assessment, whether or not a taxpayer delivers a Request for Reconsideration in respect of the tax assessment.

(7) Subject to being varied on reconsideration, a Notice of Tax Assessment is valid and binding despite any error, defect, omission, or error in procedure.

(8) Except as provided in subsections (9) to (11), the administrator shall issue a Notice of Tax Assessment within one (1) year after the registration date of a taxable transfer.

(9) Where a claim for an exemption is made under paragraph 12(2)(g), the administrator shall issue a Notice of Tax Assessment within twenty-four (24) months after the date of the first transfer after the subdivision.

(10) Where a claim for an exemption is made under section 15 or 20, or an application for a refund is made under any of sections 17, 22 or 23, the administrator shall issue a Notice of Tax Assessment within twenty-four (24) months after the registration date of the taxable transfer relating to the exemption or refund.

(11) Despite the time limitations set out in this section, where the administrator determines that a person has made any misrepresentation that is attributable to neglect, carelessness or wilful default, or has committed any fraud, in supplying any information under this Law, in claiming an exemption or applying for a refund, or in omitting to disclose any information, or the person has failed to deliver a Return required by this Law, the administrator may make a tax assessment and deliver a Notice of Tax Assessment to that person at any time.

Reconsideration of Tax Assessment 33.(1) A transferee who receives a Notice of Tax Assessment may request that the administrator reconsider that tax assessment by delivering a Request for Reconsideration to the administrator within

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Tsleil-Waututh Nation Property Transfer Tax Law, 2019 sixty (60) days after the date shown on the Notice of Tax Assessment.</