Monday, July 16, 2012

The Pipeline And Pawnbroker Principle

I watch Pawn Stars.  Whenever an expert comes into the shop and states an item's value, the pawnbrokers invariably pay only half the quoted amount.  Pipeline companies must operate like pawnbrokers.  Although they say they will pay an given amount in taxes, they'll end up paying only half.

From this Omaha World Herald article:

"When TransCanada officials began promoting the benefits of its first pipeline to cross Nebraska,they projected a $5.5 million taxwindfall for the state in the first year of operation.

"The actual taxbill for the original Keystone pipeline is less than half that figure.

"State and county records indicate that TransCanada this year will pay $2.2 million in personal property and real estate taxes to eight rural counties in eastern Nebraska crossed by the 30-inch, crude-oil pipeline."

No comments: