The Washington Supreme Court has upheld a state law allowing tribal fee lands used for economic development projects to be exempt from state taxes provided that the tribe pays a payment in lieu of tax. (PILT). The case concerned Muckleshoot-owned lands and Muckleshoot filed an amicus brief in the case. Here is the opinion in City of Snoqualmie v. King County Executive Dow Constantine.
PILTs
Washington “Payment In Lieu of Taxes” Statute Struck Down by State Trial Court
Here is “Tossed out: Superior Court deems tribal tax-break bill unconstitutional.”
And State Superior Court Strikes Down HB 1287, and PILTs as “Taxes”
Here is the court’s order in City of Snoqualmie v. King County Executive (King County Super.):
An excerpt:
3. The payment labeled “payment in lieu of tax” (“PILT”) in Section 8 of Engrossed Substitute House Bill (“ESHB”) 1287 is a property tax under Washington Law;
4. The PILT is subject to uniformity requirements in Article VII of the Washington Constitution;
5. The PILT violates the uniformity requirements in Article VII of the Washington Constitution because it is not imposed at an equal tax rate and does not produce equality in valuing the property taxed; and
6. Section 8 of ESHB 1287 violates Article VII Section 1’s command that “the power of taxation shall never be surrendered, suspended or contracted away.
Background materials here.
Turtle Talk 