Question 22 of 33
True or False? All Aboriginal people in Canada are exempt from income tax.
The Indian Act provides for certain income tax exemptions for aboriginal people in certain situations. For example, those who work on a reserve or for an employer located on a reserve are exempt. However, an Aboriginal person’s income is taxable when work is performed off reserve for an employer located off the reserve. This includes, for example, all Aboriginal people living and working in urban areas.
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