The Federal Court of Appeal's decision

VICTORIA/EDMONTON: The Canadian Taxpayers Federation (CTF) today responded to the Federal Court of Appeal decision in Benoit v. Canada, in which the CTF has been an intervener since the trial began. Today the Federal Court of Appeal released its Judgment, which overturns the trial ruling that descendants of the Treaty 8 Indians do not have to pay any tax at any time for any reason, regardless of where in Canada they reside.

The trial judge, Douglas Campbell, ruled in March of 2002 that the federal government negotiators did not promise the Indians a tax exemption in 1899. He further ruled that the federal government must assume responsibility for the misunderstanding that arose. On that basis he declared that descendants of the Treaty 8 Indians do not have to pay any tax at any time for any reason.

"As interveners in Benoit v. Canada, we applaud the Federal Court of Appeal for overturning this divisive and destructive tax ruling," stated Tanis Fiss, CTF Director, Centre for Aboriginal Policy Change. "This is a great victory for all taxpayers, knowing that they will be treated equally regardless of race or ancestry. Our federal and provincial legislatures can create legitimate tax exemptions to fight poverty, but tax exemptions should never be based on race or ancestry."

"This case had huge national implications," continued Fiss. "Indian leaders in Saskatchewan were pushing for all 100,000 people of aboriginal descent in the province to be completely tax-free. They used the argument that if the ancestors from one treaty allege they were promised a total tax exemption, the signatories of all treaties must get the same treatment. Obviously this would have created a tax system based on race, not income."

John Carpay, the CTF's in-house legal counsel and Alberta Director, stated "This ruling chastises the trial judge for completely abandoning the rules of evidence and ignoring relevant evidence. This decision also says that the Indians did not misunderstand the basic fact that no promise of a tax exemption was ever made."

Gordon Benoit, the Plaintiff in this case, may petition the Supreme Court of Canada to hear an appeal.