This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Nevada Republicans Want New Mining Tax

Nevada Republicans Want New Mining Tax

If a group of Nevada Republican senators has its way, mining in the state will get more expensive. Funding is needed for education, and while the state's teachers' union and other labor groups are pushing for the Education Initiative, a measure that would bring in funds from a broad-based margin tax, some Republican senators are staunchly opposed to that idea. Instead, they want to milk miners for the money.

The Education Initiative proposes a 2-percent tax on businesses with annual earnings over $1 million. Supporters of the measure have said that this new tax could raise $800 million per year, according to a Bloomberg Businessweek article.

The matter will be put before the state legislature on March 15. If lawmakers do not take action, the matter will be placed on the 2014 ballot for consideration by Nevada voters, an NBC News report notes.

Leading Nevada Republicans, such as Senate Minority Leader Michael Roberson, are opposed to this broad-based taxation, which has been called flawed and a job killer. He and his comrades were reportedly among the “no new tax” group. But now, as an alternative to the across-the-board business tax, the group believes Nevada should look to miners to improve education.

Nevada's constitution currently limits how much miners can be taxed, allowing only the "net proceeds of mining" to be taxed, according to the Las Vegas Review-Journal; currently these proceeds can be taxed at 5 percent. Republicans are hoping that Democrats will support the taxation of the "gross proceeds" of mining "with a severance tax or in other ways," another Las Vegas Review-Journal article notes.

Those opposed to the current mining scheme say it amounts to special treatment of an industry that is profiting from non-renewable resources: the tax paid by miners is lower than the one paid by industries such as gaming, and critics are irked that the tax is charged only on net proceeds.

1 of 4

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 18,030.21 +6.04 0.03%
S&P 500 2,081.88 -0.29 -0.01%
NASDAQ 4,773.4720 +8.0480 0.17%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs