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South Dakota makes refunds for illegal gas tax

The state of South Dakota is refunding money to tribal members and tribal governments for an illegal gasoline tax that was imposed on reservations.

The state Supreme Court ruled that the state lacked authority to tax the sale of gasoline. The court ordered refunds to individual Indians who purchased gas on their own reservations.

So far the state has refunded $72,933 to tribal members but many were unable to claim a refund because they didn't have receipts or records of their purchases.

The state then decided to refund nearly $4.9 million to eight tribes to use for road projects. Four tribes also signed compacts to share gas tax revenues with the state.

Get the Story:
Tribes to get about $5 million in refunds on state fuel tax (AP 4/15)

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