A sign for Hilcorp Alaska is seen on an office building in Midtown Anchorage on Thursday, March 30, 2023. Friday. But the Texas-based company warned that a tax hike could “significantly” impact its investment decisions and its existing contracts.
Sen. Bill Wielechowski, D-Anchorage, proposed the amendment and has long fought to raise taxes on the oil industry. He said it is “fundamentally unfair” that Hilcorp does not pay state corporate income tax when those taxes do apply to publicly owned oil companies like ConocoPhillips.Due to state confidentiality requirements for individual taxpayers, legislators are unsure exactly how many oil and gas companies the tax would apply to.
“That is an absolutely abusive, horrendous form of intimidation, and hostage-taking,” he said. “That is just not acceptable. And I don’t think the people of Alaska should stand for it.” “But he has a pass on corporate income tax that other companies pay. I guess they kind of own the narrative here, don’t they? ‘You either keep us tax-free, or we will simply stop producing gas in Cook Inlet that supplies more than 75% of the population with energy.’ I guess I’d ask citizens what they think about that,” Giessel said.
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