Replies

And do you understand that if the governor raises taxes too high then the checks going out to people are going to go down?

The current Governor is trying to lower the taxes, not raise them.

The checks to the people are not from the taxes but the royalties. The royalty payment was not changed under Governor Palin. ACES changed the tax rate after royalties are paid.

Either the tax is too high, or the oil companies have the opportunity to develop fields cheaper in other places.

That is what happened. After ACES went into effect, projects were canceled, investment capital was reduced and other areas like Canada, Texas and North Dakota gained investment dollars from the same companies. People like me in the Alaska oil patch left for other location more inclined to work with business instead of trying to choke the golden goose.

In AK, the taxpayer is also a shareholder receiving a dividend.

Don't confuse the royalties with Taxes. They do effect each other, but the tax is not distributed.