“Also, the federal and tribal interest in promoting tribal self-sufficiency through Indian gaming outweigh the State\u2019s interest in raising revenue for the general fund,\u201d Schrier wrote.<\/p>\n<\/div>\n
A month later, South Dakota officials asked the Eighth Circuit Court of Appeals to take up the case.<\/p>\n
In a 2-1 decision filed on Friday, the circuit judges ruled that the tribe failed to prove that the excise tax levied on a contractor would impinge on the tribe\u2019s ability to operate a casino. In addition, the state has the right to generate revenue to provide services for its residents and businesses, including the Henry Carlson Company.<\/p>\n
To be sure, revenues from the Casino are of great financial importance to the Tribe,\u201d wrote US Circuit Judge James B. Loken. \u201cIn 2016 and 2017, the Casino enterprise generated roughly 40% of the Tribe\u2019s budget and more than 90% of its yearly sales tax revenue. The burden of the State\u2019s contractor excise tax pales in comparison. The projected total tax that would be paid when the Casino\u2019s renovation is completed is $480,000. While substantial, that is only a small percentage of the gross Casino revenues generated in 2016 and 2017 alone.\u201d<\/p><\/blockquote>\n
In her dissent, Circuit Judge Jane L. Kelly countered that the Flandreau Santee Sioux interest in keeping the $480,000 was more important than South Dakota’s right to generate revenue.<\/p>\n
It is unclear how the tribe will proceed with the case. Tribal officials could not be reached for comment Monday.<\/p>\n","protected":false},"excerpt":{"rendered":"
A federal appellate court ruled last week that the state of South Dakota had the right to apply an excise tax on a nontribal contractor who renovated and expanded a casino for the Flandreau Santee Sioux. The case stems from the tribe\u2019s 2016 gaming compact with the state. That agreement allowed it to expand its […]<\/p>\n","protected":false},"author":45,"featured_media":114517,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[60,18456],"tags":[],"acf":[],"yoast_head":"\n
South Dakota Tribal Casino Expansion Subject to Tax, Circuit Court Rules<\/title>\n\n\n\n\n\n\n\n\n\n\n\n\n\t\n\t\n\t\n\n\n\n\n\n\t\n\t\n\t\n