Nisga'a Nation Taxation Agreement Amendment Agreement (no. 3)

BETWEEN:

HER MAJESTY THE QUEEN IN RIGHT OF CANADA, as represented by the Minister of Finance

("Canada")

OF THE FIRST PART

AND:

HER MAJESTY THE QUEEN IN RIGHT OF THE PROVINCE OF BRITISH COLUMBIA, as represented by the Minister of Finance

("British Columbia")

OF THE SECOND PART

AND:

NISGA'A NATION, as represented by the Nisga'a Lisims Government Executive

(the "Nisga'a Nation")

OF THE THIRD PART

(together, "the Parties")

WHEREAS:

1. The Nisga'a Nation, Canada and British Columbia have entered into the Nisga'a Final Agreement, which provides that the Parties will enter into a Taxation Agreement;
2. The Parties entered into a Taxation Agreement on May 11, 2000, and amended it by way of the Nisga'a Nation Taxation Agreement Amendment Agreement, dated for reference April 1, 2013, and the Nisga'a Nation Taxation Agreement Amendment Agreement No. 2, dated for reference March 31, 2019 (as amended, the "Nisga'a Nation Taxation Agreement");
3. The Parties now wish to further amend the Nisga'a Nation Taxation Agreement; and
4. Paragraph 54 of the Nisga'a Nation Taxation Agreement provides that any amendment must be in writing and executed by all Parties.

NOW THEREFORE in consideration of the premises and the covenants and agreements set out below, the Parties agree as follows:

AMENDMENTS

1. Paragraph 2 of the Nisga'a Nation Taxation Agreement is amended by replacing subparagraph (f) of the definition of "Nisga'a settlement trust" with the following:
   1. "f. contributions to the trust are limited to:
      1. contributions received from the Nisga'a Nation of amounts which reasonably can be considered to be:
         1. capital transfer payments received by it under the Capital Transfer and Negotiation Loan Repayment Chapter of the Nisga'a Treaty,
         2. amounts received by it from Canada as reimbursement of amounts that the Nisga'a Nation had paid to Canada further to the terms of the Capital Transfer and Negotiation Loan Repayment Chapter of the Nisga'a Treaty,

         but only to the extent that the contributions of amounts does not result in the cumulative total of amounts, described in clauses (A) and (B), contributed by the Nisga'a Nation to a Nisga'a settlement trust exceeding the total capital transfer as set out in Schedule A of the Capital Transfer and Negotiation Loan Repayment Chapter of the Nisga'a Treaty, including any adjustment made in accordance with the notes for finalizing the capital transfer payment plans of that chapter, or

      2. amounts received from another Nisga'a settlement trust where substantially all of the funds of that contributing trust reasonably can be considered to have been derived from a contribution to a Nisga'a settlement trust by the Nisga'a Nation of amounts described in subparagraph (i) and income and gains derived therefrom; and"

2. The Nisga'a Nation Taxation Agreement is amended by adding the following new heading and new paragraphs 36.1 and 36.2 immediately after paragraph 36:

   "REGISTERED PENSION PLAN INCOME

   36.1 Commencing for the taxation year in which this paragraph comes into effect, and for subsequent taxation years, an amount received from a registered pension plan, or from a registered retirement savings plan or registered retirement income fund as these terms are defined in the Income Tax Act to which amounts were transferred from a registered pension plan in accordance with the Income Tax Act, by a Nisga'a citizen who is an Indian as defined in the Indian Act, shall be exempt from income tax under the Income Tax Act, to the extent that the amount is attributable to employment income to which one of the following conditions applies:

   1. it was exempt from tax under section 87 of the Indian Act or under any similar provision of any other Act of Parliament; or
   2. it was income for which income tax was remitted under a regulatory instrument that provided tax treatment comparable to that provided under section 87 of the Indian Act.

   36.2 Income exempt from income tax because of paragraph 36.1 will be administered by Canada on the same basis as if it were exempt from income tax because of section 87 of the Indian Act."

CONTINUING FORCE AND EFFECT

3. For greater certainty, the Nisga'a Nation Taxation Agreement as amended by this Amendment Agreement continues in full force and effect in accordance with its terms.

FURTHER ASSURANCES

4. The Parties will execute any other documents and do any other things that may be necessary to carry out the intent of this Amendment Agreement.

HEADINGS

5. In this Amendment Agreement, headings are for convenience only, do not form a part of this Amendment Agreement and in no way define, limit, alter or enlarge the scope or meaning of any provision of this Amendment Agreement.

NO ASSIGNMENT

6. This Amendment Agreement may not be assigned, either in whole or in part, by any Party.

ENUREMENT

7. This Amendment Agreement will enure to the benefit of and be binding upon the Parties and their respective successors.

COUNTERPARTS

8. This Amendment Agreement may be signed in one or more counterparts. A signed counterpart may be delivered to another party by facsimile transmission or be scanned and emailed, and a facsimile or scanned and emailed signature will be accepted the same as an original signature. Signed counterparts held by a party, taken together, will constitute one and the same instrument.

EFFECTIVE DATE

9. This Amendment Agreement is effective on the date it is executed by the last of the Parties to execute it.

EXECUTED on the 12 day of September, 2022 in the presense of:

HER MAJESTY THE QUEEN IN RIGHT OF CANADA, as represented by the Minister of Finance
Minister of Finance
Chrystia Freeland

EXECUTED on the 15 day of June, 2022 in the presense of:

HER MAJESTY THE QUEEN IN RIGHT OF THE PROVINCE OF BRITISH COLUMBIA, as represented by the Minister of Finance
Minister of Finance
Selina Robinson

EXECUTED on the 27 day of May, 2022 in the presense of:

NISGA'A NATION, as represented by the Nisga'a Lisims Government Executive
President
Eva Clayton