New Client who lives on the Reserve

Tax Topics
1

Hello,

I took on a new client (couple) who lives on the reserve. Only the husband is a Native. This is my first return dealing with the reserve and is very keen to learn.

I would appreciate any tips or information to get me started preparing their tax return.

2

@indiramajorm
I’m not an expert on the subject, but as I understand it, they are taxable the same as anybody else, except for income earned on the reserve (paid to a registered Indian).

https://www.canada.ca/en/revenue-agency/services/aboriginal-peoples.html

3

Thank you! I appreciate it.

Indira

4

Be aware that, if you have a Quebec Indian, the Quebec government requires that you report the entire income, under the same rules, then take the deduction as status indian income. This is different than the federal return, so the two returns almost need to be prepared in separate files. (Taxcycle staff can jump in here…)

5

Thank you Tim!