Only Three Year Refund For Mining Companies
April 15, 2008
In 1978, a tax on coal was placed, but this decision was vetoed within the Supreme Court about twenty years later. It was found that at least ten percent of the coal was being exported. As a result, coal exported to international countries could not be properly taxed.
However some of the mining companies continued to pay a coal tax, even after the tax was overturned. A lot of this companies were small businesses that did not keep themselves properly informed about the industry laws.
When the minin companies realised they were still pay taxes, they filed a lawsuit under the Tucker Act to dispute their right to claim back a refund for the past six years. The judge handling the case, however, decided against their six year claim and only granted the companies a three year refund. He stated that they were not eligible under the Tucker Act.