Taxation of leaseholders on reserve lands

This page explains property taxation of leaseholders on reserve lands in the rural area of British Columbia. For information regarding property taxation on treaty lands, please visit the Ministry of Aboriginal Relations and Reconciliation website.

Reserve land is Crown land specifically set aside for occupation by First Nations. Leaseholders on reserve lands in the rural area (land outside cities, towns, districts and village boundaries) are responsible for paying property taxes under the Taxation (Rural Area) Act. The taxes are calculated in the same manner as on privately-owned land, by applying tax rates to the assessed value of the property (land and improvements) determined by the BC Assessment Authority.

Leaseholders on reserve lands may be exempted from provincial property taxation if the First Nation levies its own taxes under an approved taxation law and the BC Minister of Finance issues a taxation certificate to the First Nation for that purpose under the Indian Self Government Enabling Act.

If you have questions about the taxes levied under a First Nation taxation law, please direct your enquiries to the First Nation. To learn more about First Nations property taxation and to find out which First Nations have taxation laws, please visit the First Nations Tax Commission website (www.fntc.ca).

The provincial property tax deferment and home owner grant programs are not available to leaseholders on reserve lands who have been exempted from provincial property taxation; however, most First Nations that levy property taxes provide a home owner grant program of their own.