Table of contents

Important notices

Fuel tax relief program

Alberta is suspending the collection of the provincial fuel tax on gasoline and diesel effective January 1, 2023. This relief measure will remain in place until at least June 30, 2023. After that, the government will review the fuel tax on a quarterly basis and consider reinstating it in stages, based on the average price of WTI over a number of weeks.

The earliest date the government would start to reinstate collection, or partial collection, would be July 1.

For additional information, see:

Budget 2022

Budget 2022 was introduced in the Alberta Legislature on February 24, 2022 and included a tax decrease on smokeless tobacco to 27.50 cents per gram, effective at 12:01 am on March 1, 2022.

Registered AITE retailers can apply for a refund on the tax differential for smokeless tobacco inventories by completing and submitting a declaration of inventory. See Inventory declaration for instructions.

For more information, see Special Notice Vol. 3 No. 18 - Budget 2022 Implementation of New Category and Tax Rate for Smokeless Tobacco.

AITE cards are no longer accepted as proof of eligibility

As of October 4, 2021, the only accepted proof of eligibility for tax-exempt purchases made on reserve in Alberta will be the federal Certificate of Indian Status card (status card) or Temporary Confirmation of Registration document. Any version of the status card will be accepted, including expired cards.

Notice about terms on this page

The Government of Alberta recognizes that many First Nations people and communities in the province prefer not to describe themselves as Indians/Indian bands. These terms have been used where necessary to reflect their legal meaning in the federal Indian Act.

Overview

The Alberta Indian Tax Exemption (AITE) program consists of:

  • An exemption from taxes and levies for eligible consumers and bands at the time of purchase on:
    • fuel products purchased on reserve in Alberta or delivered to reserve
    • tobacco products purchased on reserve in Alberta
    • accommodation purchased on reserve in Alberta
  • A refund of the Alberta fuel tax to fuel sellers when the fuel is sold or delivered to eligible consumers on reserve in Alberta.
  • A refund of the Alberta tobacco tax on tobacco products sold by retailers to eligible consumers on reserve in Alberta.
  • A refund of the Alberta tourism levy to operators that provide accommodation on reserve to eligible consumers.
  • Information for tobacco wholesalers and fuel suppliers that provide products to registered retailers making tax-exempt sales to eligible consumers.

Eligible consumers

You are an eligible consumer, if:

  • you are an 'Indian' as defined in the Indian Act (Canada), who is 16 years of age or older
  • you are a 'band' as defined in the Indian Act (Canada), whose reserve is partially or totally located in Alberta
  • you are a band whose band office is located in Alberta

No incorporated entity is eligible for the AITE program.

Proof of eligibility

Individuals

To receive a tax or levy exemption, eligible individuals must present at the time of purchase either a:

  • Certificate of Indian Status (status card) or
  • Temporary Confirmation of Registration Document

If you need a new or replacement status card:

  • contact your First Nation office or apply online at Canada.ca/indian-status
  • get a temporary confirmation of registration by calling Indigenous Services Canada

Bands

Tax and Revenue Administration will provide the band with a letter containing a registration number issued by Alberta. The band must present this letter at the time of purchase.

Get a tax refund

How to get a refund of fuel or tobacco tax or tourism levy

Eligible consumers may apply for a refund when the tax or levy was paid in error. Refund applications for fuel or tobacco tax or tourism levy must be received within 3 years from the end of the year in which the purchase took place.

To apply for a refund of tax or levy paid in error, submit a written request to TRA with the following information:

  • when the purchase took place
  • the supplier or tourism operator that charged the tax or levy
  • the location of the purchase or where the fuel was delivered

Who can provide the exemption

AITE cards are no longer accepted as proof of eligibility.

As of October 4, 2021, the only accepted proof of eligibility for tax-exempt purchases made on reserve in Alberta will be the federal Certificate of Indian Status card (status card) or Temporary Confirmation of Registration document. Any version of the status card will be accepted, including expired cards.

Fuel or tobacco retailers wanting to provide the AITE to eligible consumers must be:

  • located on a reserve in Alberta, or
  • a fuel seller that delivers fuel to eligible consumers located on reserve in Alberta

Accommodation operators wanting to provide the AITE to eligible consumers must be:

  • providing the accommodation on reserve in Alberta, and
  • registered with TRA under the Tourism Levy Act. See Tourism Levy for more information on how to register and collect the tourism levy.

Sale of tobacco exempt of tobacco tax

Black stock tobacco is cigarettes, tobacco sticks and fine-cut tobacco that has a federal stamp indicating that duty has been paid, but does not have an Alberta stamp. In Alberta, black stock is sold to eligible consumers by AITE retailers and in duty-free shops.

Registered AITE retailers must:

  • purchase black stock tobacco tax included (cigarettes or fine-cut tobacco) from wholesalers with an Alberta tobacco tax licence
  • sell black stock to eligible consumers, that present their AITE card at the time of purchase, from a location located on reserve in Alberta
  • sell Alberta stamped tobacco product to all other consumers
  • apply weekly for a refund for all tax-exempt sales using an approved Point of Sale System (POSS) (AITE Direct)

For more information regarding the sale of tobacco to eligible consumers, see Information Circular AITE 3 – Exemptions Under the AITE Program.

Federal law prohibits the sale of tobacco to anyone under 18 years of age, including individuals with an AITE card.

Sale of fuel exempt of fuel tax

Registered AITE fuel sellers may sell clear gasoline or diesel fuel, and propane for motive purposes, to eligible consumers, exempt from the fuel tax.

All fuel purchased by an AITE fuel seller is purchased with the tax included.

Apply weekly for a refund for all tax exempt sales, using an approved Point of Sale System (POSS) (AITE Direct).

How to register

If you are a bulk fuel dealer located off reserve that delivers fuel directly to consumers located on reserve (e.g., heating fuel), proceed to Step 2 below.

For step-by-step instructions, see:

Step 1: Before applying

Complete the following forms and print a copy of each:

  • Contact a certified software vendor from the Vendors Offering Secure File Transfer Protocol (SFTP) Service listing. Note the vendor’s contact information as this will be required when completing page 2 of the online registration form.

  • Save a copy of the Band Council Resolution to upload. The Band Council Resolution must give the registrant authority to operate on the respective reserve.

Step 2: Create or sign in to your Alberta.ca Account

Continue to Alberta.ca Account

  • Create a basic account.

Step 3: Sign in and select Online Registration

  • Sign in using your Alberta.ca Account username and password. Once you sign in, you will be redirected to TRACS.
  • Select Online Registration.
  • Select ‘Alberta Indian Tax Exemption (AITE) Retailer’ from the Program Name menu.
  • After you submit your registration, you will receive a pending status notification and a reference number. Note this number in case you need to contact TRA about your registration.

Step 4: Review and sign Exempt Sale Retailer Agreement

  • TRA will send you a copy of an Exempt Sale Retailer Agreement (the Agreement) by GoA Secure Email.
  • Review the conditions outlined in the Agreement.
  • An authorized signing representative must sign and date the document in the presence of a witness, who must also sign the Agreement.
  • Email your signed Agreement and the completed Application for Direct Deposit (AT4812) (PDF, 174 KB) to TRA.

Step 5: Once approved

  • You will be notified by email that your approval letter is available in your TRACS account. A copy of the signed Agreement will be emailed to you.
  • Set up your point of sale system (POSS).

Apply for AITE retailer refund

Point of Sale System (POSS)

On a daily basis, TRA receives the details of the retailer’s tobacco and/or fuel sales. The POSS is then updated of cardholder changes and purchases-to-date information about individual cardholders.

Each Sunday, TRA totals the daily information received during the week and creates a claim.

Once the claim is approved, a refund will be generated and will be directly deposited into the retailer’s bank account within a few days.

You must maintain and provide upon request proper records, including purchase invoices, sales invoices, vouchers and other supporting documents for at least 4 years.

Paper claims

Step 1: Complete the refund application

Step 2: Submit the refund application

  • Submit your completed refund application to TRA.

Step 3: Receive your refund

  • After your claim has been assessed you will receive your refund by direct deposit.

Direct deposit

How to pay

Maintain your account in TRACS

Tax and Revenue Administration (TRA) is no longer processing phone or email requests for basic account information.

Account owners or their representatives can access most of the information related to their account in Tax and Revenue Administration Client Self-Service (TRACS) portal.

TRA Client Self-Service (TRACS) is a secure online system for authorized TRA clients to conveniently conduct business with TRA. You can do the following tasks in TRACS:

  • view the status of submitted claims
  • submit documents
  • view status of prior assessments, financial details and letters of assessment and notices of reassessment (if available)
  • access financial information and view account period balances
  • update address and contact information
  • delegate account access to other employees or authorized individuals
  • view reports including cancelled cards, rejected sales and variance report

For more details, instructional videos and to log in to your TRACS account, see TRACS information.

Authorize a representative

An individual with proper authorization for the business may consent to the release of confidential information about account(s) with TRA to a specific firm and/or individual.

An individual with proper authorization for the business includes a(n):

  • owner
  • partner of a partnership
  • corporate director
  • trustee of an estate
  • individual with delegated authority

Step 1: Fill out the Alberta Consent Form

Step 2: Submit the consent form

  • Submit your completed consent form to TRA.

Step 3: Representative receives PIN (only for TRACS access)

  • TRA will review the consent form to ensure it is complete.
  • TRA will issue a PIN number to the individual via secure e-mail. TRACS access can only be provided to an individual.

The representative must enter the PIN and account number to access TRACS account. See How to access TRACS for instructions.

Tax and levy rates

Inventory declaration

January 1, 2023 (Fuel)

As of January 1, 2023, the fuel tax rate will be decreased to $0.00 on diesel and gasoline fuel.

Registered AITE retailers who held inventories of gasoline or diesel fuel that was purchased tax included prior to January 1, 2023, may apply for a refund of $0.045 per litre of clear fuel by completing and submitting a Fuel Tax Online Inventory Declaration.

Retailers must maintain records supporting the amounts reported on their inventory declaration.

TRA must receive the inventory declaration form on or before December 31, 2023.

Step 1: Complete your inventory declaration

Step 2: Receive your refund

  • Once approved, you will receive your refund by direct deposit.

October 1, 2022 (Fuel)

Effective October 1, 2022, the fuel tax rate will change to 4.5 cents per litre on clear gasoline and clear diesel products. Marked gasoline and marked diesel will remain at 0 cents per litre. For more information, refer to Special Notice Vol. 1 No. 45 – Collection of Alberta Fuel Tax.

Registered AITE retailers who hold inventories of clear gasoline and clear diesel are required to complete the Fuel Tax Online Inventory Declaration by October 31, 2022. Inventories of clear gasoline (including ethanol blended gasoline) and clear diesel (including blended diesel) held as of 12:01 am on October 1, 2022 are subject to a tax rate of 4.5 cents per litre.

Step 1: Complete your inventory declaration

  • Fuel Tax Online Inventory Declaration form
  • See the instruction guide for assistance completing the form.
  • The physical count should be taken after closing September 30 or before opening October 1.
  • Note the Inventory Account Number from the confirmation page as this is required with your payment.

Step 2: Remit your payment

  • Payment can be made online or by cheque, and must be received by TRA by October 31, 2022.
  • If paying online, select Alberta Finance – Fuel Tax Collectors as the payee. The tax account number is the Inventory Account Number from the previous step.
    • A known issue entering an account number with a '3' should be resolved by October 27. Try again after this date or payment can be made by cheque.
  • Cheques are payable to the Government of Alberta and sent to:
    Tax and Revenue Administration
    9811 109 Street NW
    Edmonton, AB T5K 2L5

April 1, 2022 (Fuel)

The provincial fuel tax was paused between April 1 and Sept. 30. Registered AITE retailers who held inventories of gasoline or diesel fuel that was purchased tax included prior to April 1, 2022, may apply for a refund of $0.13 per litre of clear fuel and $0.04 per litre of marked fuel by completing and submitting a Fuel Tax Online Inventory Declaration.

Retailers must maintain records supporting the amounts reported on their inventory declaration.

TRA must receive the inventory declaration one year from the date of the tax rate change. The Fuel Tax Online Inventory Declaration must be submitted on or before March 31, 2023 for the tax rate change effective April 1, 2022.

Step 1: Complete your inventory declaration

Step 2: Receive your refund

  • Once approved, you will receive your refund by direct deposit.

March 1, 2022 (Tobacco)

Budget 2022 was introduced in the Alberta Legislature on February 24, 2022 and included a tax decrease on smokeless tobacco effective at 12:01 am on March 1, 2022.

For more information, refer to Special Notice Vol. 3 No. 18 - Budget 2022 Implementation of New Category and Tax Rate for Smokeless Tobacco (February 24, 2022).

Registered AITE retailers can apply for a refund on the tax differential for smokeless tobacco inventories by completing and submitting a declaration of inventory. The inventory declaration must include all stock, on and off premises, including:

  • stock held at a location in Alberta
  • dry and damaged stock to be returned to the supplier
  • stock in transit from suppliers and invoiced at old rates
  • stock invoiced to a customer but still on the property

TRA must receive the inventory declaration form on or before February 28, 2023.

Step 1: Take an inventory of all smokeless tobacco for sale in Alberta

The physical count should be taken after close on February 28 or before opening on March 1.

Step 2: Complete your inventory declaration form

Complete AT380 – Tobacco Tax Refund Application – Smokeless Tobacco Inventory Declaration (PDF, 250 KB).

Email the completed form to [email protected] on or before February 28, 2023.

Step 3: Refunds

Once approved, you will receive your refund by direct deposit.

PDF form issues

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  1. Save the PDF form to your computer – click or right-click the link and download the form.
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If you are still having problems opening the form, contact PDF form technical support.

Publications, forms and videos

Instruction guides

Fact sheets

Information circulars

These documents discuss procedural matters and administrative policies and practices for programs administered by TRA. They are updated as necessary and a revision number assigned.

Cross-program information circulars

AITE information circulars

Special notices

These documents are used to announce changes to the legislation administered by TRA or changes to administrative policies and practices carried out by TRA. These notices are time-specific, and meant to be transitory in nature. The information may eventually be incorporated into other publications, such as information circulars or web content.

AITE special notices

Fuel tax special notices

Tobacco tax special notices

Certified software

Forms

Videos

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Contact

Connect with Tax and Revenue Administration

Hours: 8:15 am to 4:30 pm (open Monday to Friday, closed statutory holidays)
Phone: 780-427-3044
Toll free: 310-0000 before the phone number (in Alberta)
Fax: 780-427-0348
Email: [email protected]

Related

Other programs administered by Tax and Revenue Administration

Tax and levy rates and prescribed interest rates

Fuel Tax Act and Regulations

Tobacco Tax Act and Regulations

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