Debates of October 26, 2004 (day 28)

Topics
Statements

Question 314-15(3): Taxation Of Financial Support Provided To Post-Secondary Aboriginal Students

Thank you, Mr. Speaker. I guess my question would be directed to the Minister of Education, Culture and Employment. I just want to ask the Minister what his department will do or plans on doing, if anything, to protect the constitutional rights of the aboriginal treaty natives in the NWT…

Protect the rights.

…with student financial assistant.

---Applause

Speaker: MR. SPEAKER

Thank you, Mr. Villeneuve. The honourable Minister of Education, Culture and Employment, Mr. Dent.

Return To Question 314-15(3): Taxation Of Financial Support Provided To Post-Secondary Aboriginal Students

Thank you, Mr. Speaker. Mr. Speaker, what we do already is we offer indigenous aboriginal people in the Northwest Territories the choice of receiving their living allowance either through a remissible loan or a grant. We have, for a number of years, advised people that there is some question whether or not CCRA will at some point start to tax the grants. We have known for some time that they are looking at this. The option is there if a student takes a remissible loan, for instance, they can avoid paying the taxes in any case, no matter what CCRA decides.

That means that will make sure that we offer an option that would avoid the taxes in any case in the Northwest Territories, or would allow students the option to avoid paying taxes on the monies. Thank you, Mr. Speaker.

Speaker: MR. SPEAKER

Thank you, Mr. Dent. Time for question period has expired, however, Mr. Villeneuve, I will allow you your supplementary questions. Mr. Villeneuve.

Supplementary To Question 314-15(3): Taxation Of Financial Support Provided To Post-Secondary Aboriginal Students

Thank you, Mr. Speaker. I guess I don’t know what would be better, a remissible loan or pay the tax on your grant. I’m not sure which, where the student would come out on top. The Minister said he has had some dialogue with the federal cohorts on this taxation issue. I’m just wondering what his department, as the Minister of Education for all our youth, aboriginal and non-aboriginal alike in the NWT, is doing to assist and help these treaty people to get a point across to the federal government that this is a treaty right and should be non-taxable. Whether it is a remissible loan, grant…

Speaker: MR. SPEAKER

Thank you, Mr. Villeneuve. Mr. Dent.

Further Return To Question 314-15(3): Taxation Of Financial Support Provided To Post-Secondary Aboriginal Students

Thank you, Mr. Speaker. Mr. Speaker, we’re not experts on treaty in the Department of Education, Culture and Employment and don’t claim to have that expertise. We would expect that it is in the interest of Canada and Canadians to make sure that the cost of education is kept as low as possible, and we would hope that that is looked at. But in terms of defining treaty, it isn’t something that I think this government is in a position to do, and I think that we want to be cautious about getting ourselves into that argument. As I’ve said, we have made sure that we are offering students the opportunity to choose whether they receive the money through remissible loan, in which case it doesn’t have to be paid back, so that if they get 100 percent of the dollars and never wind up having to pay it back, they can choose that method; or they can choose a grant and then their argument is going to be with CCRA over whether or not they have to pay taxes. That’s not one that we can intervene on directly, because it was one between the individuals, but it certainly is in the interest of all of us to see as much money as possible getting into the hands of students. Thank you, Mr. Speaker.

Speaker: MR. SPEAKER

Thank you, Mr. Dent. Supplementary, Mr. Villeneuve.

Supplementary To Question 314-15(3): Taxation Of Financial Support Provided To Post-Secondary Aboriginal Students

Thank you, Mr. Speaker, I guess I had the remissible loan concept a little mixed up. I thought that was repayable, but I guess you have to come back north and repay it in the form of hard labour. I just want to get the Minister’s support, I guess, to help move this thing forward for aboriginals and treaties alike in Canada and the NWT, and I guess I’m looking at him to offer the NWT students some level of comfort in saying yes, they are going to maybe lobby the federal government to help them with this initiative and establish it as a treaty right, which I feel it is. I just want to get the Minister just to offer these people some level of support, that he do everything in his power to move the federal government toward a more reasonable approach to this whole taxation of student financial assistance. Thank you.

Speaker: MR. SPEAKER

Thank you, Mr. Villeneuve. I don’t know if I heard a question there, but, Mr. Dent.

Further Return To Question 314-15(3): Taxation Of Financial Support Provided To Post-Secondary Aboriginal Students

Thank you, Mr. Speaker. Mr. Speaker, I could certainly commit to the Member that I would communicate to the appropriate federal Minister our concern about the impact that this change might have on the ability of students to be successful and ask that they take a look at their policy. Thank you, Mr. Speaker.

Speaker: MR. SPEAKER

Thank you, Mr. Dent. Before I proceed to item 7, written questions, the Chair would like to correct the record with respect to Written Question 49-15(3), asked by Ms. Lee, and contained on pages 2203 and 2204 of unedited Hansard. The Member incorrectly identified the Honourable Floyd Roland as the Minister to whom questions regarding the North Slave Correctional Centre were addressed. In reviewing the unedited Hansard, I note that the questions contained in Written Question 49-15(3) are all directed to the Honourable Charles Dent, Minister of Justice. Therefore, I have ordered that the requisite changes be made to Hansard and the official records of this House.