Oka gas station forced to cancel tax exemption

The Canada Revenue Agency (CRA) has determined the Belisle Gas Station in Oka can no longer grant the exemption for sales tax for Kanehsata’kehró:non after July 1, The Pines Reporter has learned.

In a statement, Revenue Quebec shared they were informed by the CRA in January that after a new validation was conducted by the national agency “an address containing one or more businesses had been incorrectly located within the geographic boundaries in 2015 and was actually outside the territory covered by the Decree.”

Revenue Quebec is responsible for administering the tax exemption for First Nations in Quebec, but the geographic scope for Kanehsata’kehró:non tax exemption is established by the federal government.

This new analysis was done at the request of Revenue Quebec “following contradictory responses received from the CRA regarding the geographical limits of application of the Decree.”

The CRA’s new analysis only removes tax exemption eligibility from the one Oka address on Chemin d’Oka that includes the Belisle Gas Station.

Angela Kawisokwas Gabriel said the change has significantly affected her, as the Belisle station is closest to her home in Oka, and the tax exemption has helped her family stay on a budget.

“Do people know we’re accepting them making our territory smaller and smaller? It’s so frustrating,” said Gabriel.

The change has elicited a fear that other businesses may also be forced to stop offering tax exemption for Kanehsata’kehró:non.

“What’s next?” asked Gabriel.

Mohawk Council of Kanesatake (MCK) caretaker council member Brant Etienne said that for months, the CRA refused to provide the primary documents the agency used to make their new determination to the MCK.

The law firm representing the MCK, Dionne Schulze, sent a letter requesting the primary documents in June, and the CRA responded about two weeks ago, said Etienne.

The MCK is working with Dionne Schlutz to find out what their next steps can be, said Etienne.

“A lot of people are saying, well, all we have to do is go up to CRA and tell them this. Just tell them it’s ours, just tell them there’s no tax rate. We’re past that. It’s not that simple. Everybody agrees, everybody in Council agrees that yes, we shouldn’t be taxed within our traditional territory of Kanesatake,” said Etienne.

“We’re just trying to determine how do we achieve that.”

MCK caretaker council member Serge Otsi Simon said, “the responsibility is still there, that caretaker or not, the government has to be fought when they make these wrong decisions.”

The owner of the Belisle Gas Station has hired a lawyer to push back on the CRA’s determination, The Pines Reporter learned. He could not be reached for comment this week.

Ariane Dionne, marketing manager at Les Pétroles Bélisle & Bélisle Inc., said the company disagrees with the CRA’s determination.

“We feel that the way things are being handled - and the decisions being made - show a lack of regard for us. We are losing a significant advantage, and it is disheartening to see this happen. We have always stood out in the region as a great service station,” said Dionne.

“We aren’t happy about the current situation.”

The Canada Revenue Agency did not respond to a request for comment in time for publication.

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Hadassah Alencar, Local Journalism Initiative Reporter