WASHINGTON - The U.S. Supreme Court has rejected an appeal from Missouri Gas Energy over a court ruling that could allow counties in Oklahoma to collect taxes on natural gas that is shipped by pipelines that run through the counties.
The justices did not comment on March 1 on their order in an appeal filed by Missouri Gas. In 2008, the Oklahoma Supreme Court ruled that the natural gas is subject to taxation.
The ruling could mean millions for several counties in the state and could affect similar disputes in Kansas and Texas.
Showing posts with label property taxes. Show all posts
Showing posts with label property taxes. Show all posts
Wednesday, March 3, 2010
Monday, February 22, 2010
South Dakota tax bill targets TransCanada’s Keystone XL oil pipeline
PIERRE, S.D. - The company planning to build an oil pipeline across western South Dakota said it would lose an estimated $38 million in tax incentives under a bill approved by state lawmakers on Feb. 18.
The bill would change state law so oil pipelines would no longer be exempt from sales and excise taxes. It would apply to the TransCanada Keystone XL pipeline, which will carry crude oil from Canada to refineries in Texas.
Committee debate on the bill came just hours before the state Public Utilities Commission was to act on a construction permit for the $900 million pipeline project across seven South Dakota counties.
Bill sponsor Rep. Jason Frerichs, D-Wilmot, said once the pipeline is in the ground the state will get few benefits in terms of new jobs or other economic activity. He said incentives such as tax refunds should go to projects that bring long-lasting benefits, and that the tax revenue from the Keystone project would help the state balance its budget.
Dennis Duncan, a lobbyist for TransCanada, pointed out that the company would be paying $20 million in property taxes annually on the pipeline, and said the bill could damage the state's image as pro-business and tax friendly.
"It's clearly dangerous to change the rules in midstream after you've attracted businesses to the state," Duncan said.
The bill would change state law so oil pipelines would no longer be exempt from sales and excise taxes. It would apply to the TransCanada Keystone XL pipeline, which will carry crude oil from Canada to refineries in Texas.
Committee debate on the bill came just hours before the state Public Utilities Commission was to act on a construction permit for the $900 million pipeline project across seven South Dakota counties.
Bill sponsor Rep. Jason Frerichs, D-Wilmot, said once the pipeline is in the ground the state will get few benefits in terms of new jobs or other economic activity. He said incentives such as tax refunds should go to projects that bring long-lasting benefits, and that the tax revenue from the Keystone project would help the state balance its budget.
Dennis Duncan, a lobbyist for TransCanada, pointed out that the company would be paying $20 million in property taxes annually on the pipeline, and said the bill could damage the state's image as pro-business and tax friendly.
"It's clearly dangerous to change the rules in midstream after you've attracted businesses to the state," Duncan said.
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