cancel
Showing results for 
Search instead for 
Did you mean: 
Announcements
groobi
Level 2

Tax exemption for Indians

I need to apply tax exemption for my Status Indian client's T1. I will ask my client for proof of registration with ISC but have no idea how to send this information to CRA. Anybody has done this before?

2 Comments 2
dogilvie89
Level 4

Tax exemption for Indians

Employment income

Throughout the following text, for purposes of the tax exemption under section 87 of the Indian Act, the CRA uses the term “Indian” because it has a legal meaning in the Indian Act.

Employment income is exempt from income tax under paragraph 81(1)(a) of the Income Tax Act and section 87 of the Indian Act only if the income is situated on a reserve.

groobi
Level 2

Tax exemption for Indians

I read that CRA needs to receive proof of registration as an Indian. Don't I need to send anything to CRA before we claim the tax exemption on the tax return?