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A view of the Swinomish Reservation in Washington. Photo from Joe Mabel / Wikipedia
The Swinomish Tribe has pledged $400,000 to offset property tax losses in Skagit County, Washington. In 2012, the Bureau of Indian Affairs issued a regulation to clarify that Indian land remains free from state and local taxes. The following year, the 9th Circuit Court of Appeals affirmed that state and local taxes can't be imposed in Indian Country in a case involving a different Washington tribe. As a result, Skagit County can no longer impose taxes on non-Indians who own homes or lease homes on Swinomish trust land. The loss came to about $799,000 for a local public school district, The Seattle Times reported. "That’s a massive hit for a district our size," Superintendent Tim Bruce of the La Conner School District told the paper. To address the losses, the tribe imposed its own tax on the reservation. The revenues will fund the $400,000 contribution being made to the county -- future distributions are possible. “Without the tribe doing what it did, this could’ve been a lot worse,” Chairman Brian Cladoosby told the paper. “A lot of people in La Conner just don’t realize how much we’ve done to help.” The tribe's tax was applied retroactively so it will address potential refunds for people who wrongfully paid taxes to Skagit County. Get the Story:
Rift between La Conner, Swinomish tribe ‘comes down to taxes’ (The Seattle Times 4/20) Federal Register Notice:
Residential, Business, and Wind and Solar Resource Leases on Indian Land (December 5, 2012) 9th Circuit Decision:
Chehalis Tribe v. Thurston County (July 30, 2013) Related Stories:
9th Circuit sides with Chehalis Tribe in county taxation dispute (07/30)
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