Is There a Permanently Severable "Wind Estate" In Texas?

Lisa Chavarria’s article on The Severance of Wind Rights in Texas was recently published on the Dallas Bar Association’s website. The article recognizes that there are questions about whether there is a severable real property estate consisting of wind rights. Legislative guidance may be necessary, particularly if the Texas courts don’t address this issue soon.

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Texas Schools Using Wind Tax Abatements to Avoid "Robin Hood" Tax

Danny Robbins reports that many school districts have granted tax abatements for wind projects and the results are more income to the school districts. See, Texas Schools Get Millions from Wind Farm Deals. But those payments are in lieu of taxes instead of in the form of taxes. Therefore, the school districts do not include those receipts in the formula for determining the amount of tax revenues that they must return to the State of Texas to fund the statewide equalizing payments for education expenses. This has created a controversy explained in more detail in Robbins' article.

Gifts by Parents to Fund a Child's Roth IRA

A recent article (Family tax savings compound when a parent funds a child's Roth IRA, R.E. Coppage and L.M. Blum, 82 Practical Tax Strategies 212 (April 2009).) presents an extremely interesting idea – gifting to provide a child funds to contribute to a Roth IRA. Article describes how, not only does the child reap the usual benefits from a Roth IRA and from early retirement savings, but there is also a net tax savings within the family as a whole when such a plan is implemented. Considering the magnitude of the accumulated tax savings, the authors believe a cash gift to fund a child's RIRA contribution is one of the most caring, thoughtful, and practical gifts a parent can make to a child, and I would agree with their conclusion.

Argument for Continued Expansion of Wind Power Projects

Paul Sadler, Executive Director of the Wind Coalition, believes that effective power storage will someday be an economical reality. Therefore, we should continue developing wind energy capacity. See, The answer is in the wind.

Wind Credits Giving Way to Direct Financial Aid

Wind developers have in the past relied on wind energy income tax credits to attract capital investment in their projects. But those credits require taxable income to remain usable. In the current economic times, investors with taxable income are harder to come by.

Some wind developers are now looking at whether the direct monetary aid contained in the American Reinvestment and Recovery Act might be accessible as reported in Wobbly wind sector sets sights on stimulus.