Advertisement

Advertisement

severance tax

noun

  1. a tax levied by a state on the extraction and use of a natural product, as coal, that is sold outside the state or during a certain period.



Discover More

Word History and Origins

Origin of severance tax1

First recorded in 1925–30
Discover More

Example Sentences

Examples are provided to illustrate real-world usage of words in context. Any opinions expressed do not reflect the views of Dictionary.com.

An oil embargo by Arab countries triggered a boom in the coal industry, and Carroll’s administration was awash in money from the coal severance tax.

Read more on Washington Times

The arrangement would harness the state’s bonding authority and financial reserves held in its multibillion-dollar Severance Tax Permanent Fund.

Read more on Seattle Times

In another report, Carbon Tracker recommended a severance tax on remaining oil output to prop up an insurance program to plug wells.

Read more on Salon

Legislation adopted this year will divert excess income from petroleum to the state’s severance tax permanent fund, to generate investment income and underwrite construction projects.

Read more on Seattle Times

“I was the sponsor of the coal severance tax in West Virginia. Millions and millions of dollars have been paid on that tax, and I’m sure the coal industry has never forgotten.”

Read more on Seattle Times

Advertisement

Advertisement

Advertisement

Advertisement


severance paysevere