Ottawa Drops Plan To Tax Native Education Grants

Thursday, July 28, 2005 at 14:50



As expected, the federal government has changed its mind on the issue of taxing First Nations students for grants they receive for post-secondary education.


Ottawa had been planning to consider educational grants given to status Indians as taxable income, but the plan was officially abandoned earlier this week.


Assembly of First Nations Chief Phil Fontaine doesn’t expect the government to try this measure again.


However, he points out that Ottawa hasn’t changed its mind about whether post-secondary education is a treaty right.


The federal government decided in 1989 that the treaties do not provide guarantees for tax-free post-secondary education grants.