The Legion is not doomed.
Royal Canadian Legion Branch 50 is breathing a sigh of relief after mayor and council voted to spare the organization from a tax bracket that was suddenly thrust upon them.
The unpleasant surprise occurred when the Legion organizers realized they were not in correct compliance with relatively new provincial liquor regulations. They applied for and received the corrected liquor license. But that triggered a notification from the Village of Burns Lake that they were, thanks to their new designation, now considered a for-profit business and thus must pay regular commercial tax for a liquor-primary facility.
A contingent from the legion went before mayor and council in January to plead their case.
“We have always been a business, with a building to maintain, staff to hire and manage, utilities and operational expenses to pay, PST and GST to file and pay… That did not change with acquiring a Liquor Primary license. It’s just that now, we are compliant with the liquor laws. Nothing else has changed,” said legion board president Robert Winning.
It was argued that, yes, their facility has a kitchen, out of which meals and drinks may be purchased during legion events or when the building is rented to secondary users, but that merely constitutes social enterprise in aid of the charitable functions the legion supports.
Those charitable functions would cease if the legion were burdened with the level of taxation that would come with being deemed a commercial for-profit business, said Winning, and urged mayor on council to intervene.
On Feb. 14, the Legion got that show of love from the council table. After spending three weeks looking into the matter, they spent only about a minute of agenda time doing away with the tax requirements, and restoring the organization back to the not-for-profit status it had always fallen under before.
“When I was a youth, I used to volunteer a lot with my legion, to the point they presented me with a medal I could wear on my cadet uniform,” said councillor Charlie Rensby. “Part of who I am today is because of the legion and how they were involved in supporting veterans and supporting youth. I am a proud supporter of the legion.”
Following those words, council voted unanimously to undo the tax formality.