Contractor's Excise Tax Refund (audio)
By Jackelyn Severin
After much debate lawmakers have come to a compromise on tax refunds for large projects. Senate Bill 195 gives a 45 percent contractor’s excise tax refund to projects costing ten million dollars or more and a 55 percent refund to projects between forty million dollars and five hundred million dollars.
Although Senate Bill 195 is a compromise many lawmakers were not happy with the final bill. Some republicans like Senators Bob Gray and Jason Gant believe refunds should not be capped to the first five hundred million dollars of a project.
Democrats on the other hand believe more tax incentives should be given to wind projects. Representative Bernie Hunhoff and Senator Scott Heidepriem also say oil pipelines like TransCanda should be excluded from the contractor’s excise tax refund altogether.
Hunhoff and Heidepriem did go on to vote for the final version of Senate Bill 195.
They say although it’s not completely what Democrats wanted it is a step in the right direction for reforming corporate tax incentives.
Member stations can download the audio file here.