Retail Dealers on a Reserve or in a First Nations Settlement
Under the fuel tax and the tax on alcoholic beverages systems, if you are a retail dealer of fuel or alcoholic beverages, you must pay your suppliers, at the time of purchase, an amount equal to the tax. You can usually recover this amount by collecting the fuel tax and the tax on alcoholic beverages on the retail sale of fuel and alcoholic beverages.
However, under the Program for Administering the Consumption Tax Exemption for First Nations, if your service station or retail outlet is situated on a reserve or in a First Nations settlement in Québec, you do not have to collect these taxes if:
- The retail sale of fuel or alcoholic beverages was made to a First Nations member with an Attestation d'inscription.
- The retail sale of fuel was made to a band council, tribal council or band-empowered entity with an Attestation d'inscription.
In these situations, you can claim a refund of the amount equal to the tax you paid to your suppliers but were unable to recover on sales made to holders of an Attestation d'inscription.
The method for claiming a refund of the amount equal to the tax you are entitled to differs based on whether you use the IT solution or paper forms.
If you use the IT Solution, you do not need to request a refund. Each week, we refund you the amount equal to the tax you paid to your suppliers but did not recover on sales made to holders of an Attestation d'inscription.
- You must contact us to use the IT solution.
- We cover the expenses deemed necessary to implement and maintain the IT solution.
If you use Paper Forms, you must request a refund. You can request a refund equal to the amount of the fuel tax paid to your supplier, which you did not recover on sales made to holders of an Attestation d'inscription. To do so, you must file a monthly return for each service station you operate that is situated on a reserve or in a First Nations settlement in Québec.
Under the program, you must meet certain obligations when you sell fuel or alcoholic beverages to an Attestation d'inscription holder. For example, you must check the purchaser's eligibility and send us information about fuel or alcoholic beverage sales made to Attestation d'inscription holders.
To learn about your obligations, click Obligations of Retail Dealers on a Reserve or in a First Nations Settlement.