Principales Questions: Does section 87 of the Indian Act apply to an individual’s employment income in two situations? In each situation, the individual is an "Indian" as defined in section 2 of the Indian Act. The following additional questions are asked:
a. Would the answer be different if the individual worked 90 % of the time from his home located on a reserve?
b. Does the fact that the activities of the minister employing the individual may have an impact on the Canadian indigenous communities affect the analysis?
c. Would the taxation exemption apply if the individual did not live on a reserve, considering his functions as a government employee?
Position Adoptée: Situation 1: Question of fact, but based on Guideline 3, the taxation exemption in section 87 of the Indian Act may apply to the individual’s employment income, provided that a formal telework arrangement is in place.
Situation 2: Question of fact, but based on Guideline 3, the taxation exemption in section 87 of the Indian Act may apply to the individual’s employment income, provided that a formal telework arrangement is in place.
Additional questions:
a. Question of fact, but based on Guideline 3 and Guideline 1, the taxation exemption in section 87 of the Indian Act may apply to the individual’s employment income, provided that a formal telework arrangement is in place.
b. No.
c. No.
Raisons: Wording of the Indian Act; jurisprudence on section 87 of the Indian Act.
