Severance Tax

severance tax
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  • Do a feasibility study on the possibility of a permanent mineral trust fund. The fund could be revenue-neutral where funds are returned to taxpayers similar to Alaska.
  • Use a state Public Bank to manage public funds and buffer taxpayers from the volatility of hydrocarbons


Texas constitution
Code – Tax Code
Chapter – 201 Gas Production Tax
Chapter – 202 Oil Production Tax
Chapter – 204 Tax Credit for New Oil Discoveries


NCSL – Severance Taxes

Kansas Repeals 24-Month Severance Tax Exemption for Oil and Gas Production

Texas Tribune – As Oil Prices Plunge, Small Producers Could Get Tax Relief

Texas Tribune – Report Recommends Changes to Tax Exemption for Fracking

Reuters – When the oil boom went bust, Oklahoma protected drillers and squeezed schools

NPR – Gov. Mary Fallin Signs Controversial Tax Incentive for New Oil and Gas Wells

NPR – New Report Suggests Reducing Fracking Tax Exemptions

NPR – Why Alaska is Reconsidering Texas-Inspired Oil Tax Cut

NPR – Lawmaker Targets Natural Gas Drilling Exemption

NPR – Texas Drillers Get Big Tax Breaks

NPR – Analysis finds Pennsylvania’s effective tax rate on shale gas wells among lowest

The Atlantic – America’s Most Obvious Tax Reform Idea: Kill the Oil and Gas Subsidies

Close Delaware loophole and enact severance tax

CBPP – Short-Sighted Tax Cuts Hurting Energy States

Pew – Plummeting Oil Price Creates Problems for Severance-Tax States

Pew – North Dakota Saves for the Future With Today’s Oil Riches

Pew – From Volatile Severance Taxes to Sustained Revenue

The importance of Wyoming’s Permanent Mineral Trust Fund

U.S. Energy Information Administration – Alaska residents are paid a unique yearly dividend from state’s permanent fund

John Kasich says Oklahoma, Texas have “sky high” taxes on oil and gas but are reducing or have no income tax

Louisiana lost $1.1 billion from 2010-2014 because of severance tax exemption on horizontal drilling, audit says

Business Journal – Why a key state investment fund only got $85 last year

USA Today – Ohio giving away its oil, gas

Kleinman Center for Energy Policy – A Tale of Two Taxes: Impact Fee and the Severance Tax in Pennsylvania

West Virginia Center on Budget and Policy – West Virginia’s Severance Tax Below Other Energy Intensive States

Ballotpedia – California Proposition 87, Alternative Energy Oil Tax (2006)

Point of View: Facts important in debate over Oklahoma gross production tax

Albuquerque Journal – State permanent funds hit record high

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