severance tax


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severance tax

n.
A tax imposed by a state on the extraction of natural resources, such as oil, coal, or gas.

sev′erance tax`


n.
a tax levied by a state on the extraction and use of a natural product, as coal, that is sold outside the state.
[1925–30]
References in periodicals archive ?
Dallas, Texas-based tax services firm Ryan has acquired Houston, Texas-based severance tax consulting firm Shiv Om Consultants, the company said.
27 December 2016 - Dallas, Texas-based tax services firm Ryan has acquired Houston, Texas-based severance tax consulting firm Shiv Om Consultants, the company said.
Couch works with Sheffield Nelson, the former natural gas company executive and Republican gubernatorial nominee, on an initiated act to increase the state's severance tax on natural gas to raise money for roads.
He has also sponsored legislation to levy a severance tax on gas production but said a transmission fee could cover turnpike costs and generate far more revenue than a severance tax would, according to published reports.
That's just below the $30 threshold to shave 25 percent off a small producer's severance tax bill.
Earl Ray Tomblin has put his signature on Senate Bill 419, which provides severance tax breaks for the state's coal and natural gas industries.
However, as of January 1, in place of a negotiated PUT the NAB has levied a substantial severance tax.
The biggest share of the state's severance tax money comes from taxes on oil and gas production.
The imposition of a severance tax to help ensure that costs associated with resource extraction are paid by the producers, essentially those companies extracting and selling the gas, rather than placing the burden on the people of the given state, is a route most states have adopted.
We effectively receive a 75 percent severance tax on timber sales on the BLM lands, in the form of county payments.
The funding source would be coal severance tax revenue that's earmarked for multi-county economic development projects in the region.