Nunavut is the most remote and the most distinctive trade jurisdiction in Canada. It still runs the old Mechanics Lien Act with a 45-day preservation window, it is the only place still on the 2015 building code editions, and government-funded work carries an Inuit firm contracting priority under the land claim agreement. It charges only 5 percent GST, pays the highest minimum wage in the country at 19.75 dollars an hour, and shares the WSCC workers comp board with the Northwest Territories. For most southern contractors the real challenge is logistics: a thin local workforce, extreme remoteness and long permit lead times. This guide goes deeper than the combined territories summary on what is specifically Nunavut.
Sales tax, mileage and minimum wage
Nunavut has no provincial sales tax or HST. You charge only the 5 percent federal GST. The CRA per-kilometre rate is 4 cents higher in the territories, so for 2026 it is 77 cents for the first 5,000 km and 71 cents after. The minimum wage is 19.75 dollars an hour, the highest in Canada, which together with freight and accommodation makes a Nunavut quote unlike anything in the south. The small claims limit is 20,000 dollars.
Builders lien: the old 45-day Act
Nunavut does not have its own modern lien Act. It continues to use the old Mechanics Lien Act (RSNWT 1988, c.M-7) as duplicated for Nunavut by the Nunavut Act. The deadlines are short and fixed.
- Preservation: 45 days from completion or abandonment of the contract, the last supply of materials, the last day labour was supplied for wages, or the last supply date for machinery.
- Perfection: commence an action and register a certificate of proceedings within 45 days of the last day the lien could have been filed.
- Holdback: 10 percent, consistent with the general Canadian standard.
- Credit extension: if credit was extended, the lien expiry can extend to 90 days after the credit period expired.
The Nunavut Court of Justice confirmed these deadlines in a practice directive referencing the Mechanics' Lien Act. The 45-day window is shorter than the reformed 60-day provinces, and unlike the Northwest Territories next door, Nunavut has not modernised its lien law, so do not assume the new Northwest Territories Builders' Lien Act applies here. There is also no prompt-payment law in Nunavut, so the lien is your only statutory payment tool.
Building code: still on 2015
Nunavut is the one jurisdiction still on the 2015 editions of the National Building, Fire and Plumbing Codes, all adopted on 8 September 2018, and adoption of the 2020 editions has not been confirmed. A contractor arriving from a province working to a 2020 or 2024 code must adapt to the 2015 requirements here. Building permits are issued by the Government of Nunavut's Department of Community and Government Services, and many communities are extremely remote and isolated, so factor significant lead time into permit review and into getting materials and crew to site.
Workers comp: the WSCC
Nunavut shares the Workers' Safety and Compensation Commission (WSCC) with the Northwest Territories, with an office in Iqaluit. The 2026 average provisional rate is 2.40 dollars per 100 dollars of assessable payroll, and the 2026 maximum insurable remuneration for Nunavut is 117,300 dollars, slightly higher than the Northwest Territories figure because the WSCC sets separate ceilings for the two territories. Construction subclass rates require a WSCC Connect login and vary by code, so do not budget on the 2.40 average. Registration is triggered when you hire one or more workers for more than 10 days a year. Fall protection is required at 3 metres.
Inuit firm priority and northern procurement
This is the procurement rule that defines Nunavut. Article 24 of the Nunavut Land Claims Agreement gives Inuit firms a contracting preference on Government of Nunavut funded projects. Government-funded tenders can require evidence of local hiring efforts, subcontracting to locally owned or Inuit-owned businesses, and specific reporting to the project owner. Always read the tender documents for any Inuit firm priority, local-hire or northern-benefit clauses before you bid, because they can shape who can realistically win the work and how you must structure your crew and subcontracting.
Certification and the remote-crew reality
There is no territorial general contractor licence in Nunavut. Certification is administered by the Nunavut Apprenticeship Certification Unit in the Department of Family Services, and tradespeople can certify through the apprenticeship program or, for experienced workers, the trade qualification route. Red Seal credentials from other jurisdictions can be verified by email to nuapprenticeship@gov.nu.ca. Nunavut has a very thin trades workforce, so on remote projects many southern contractors bring their full crew, which means every crew member's certification must be in order before you mobilise. The CRA special work site and remote work location rules are especially relevant here: board, lodging and travel on a genuinely remote site can be excluded from an employee's income, and a self-employed contractor deducts these as business expenses on out-of-base work.
Common mistakes
- Assuming the new NWT lien Act applies. Nunavut still runs the old Mechanics Lien Act with a 45-day window.
- Designing to a 2020 or 2024 code. Nunavut is still on the 2015 editions.
- Ignoring Inuit firm priority. On government-funded work it can decide who wins, so read the tender.
- Underestimating logistics. Remoteness drives permit lead time, freight and the need to bring a certified crew.
Know someone who needs this?
Keep reading
Was this guide useful?
Didn't find what you were looking for?
Spotted something wrong or out of date? Email us at hello@kilnguides.co.uk.
In crisis? 988 Suicide Crisis Helpline (call or text 988) ·