Electric Cooperatives are assessed a State Gross Receipts
Tax based on the amount of energy sold in their territory.
This tax is basically a sales tax on natural resources and
energy consumed in Oklahoma. All Oklahoma utilities are taxed
in one form or another. The unique advantage of being served
by an electric cooperative is that the taxes we pay (gross
receipts tax) directly benefit the local school district in
which the tax is assessed. Over $485,000 was contributed to
schools within the IEC territory during 2005 through the gross
The miles of line and percentage of total system within each
school district determines the amount each district receives.
The table below itemizes gross receipts taxes paid into school
districts based on both Indian Electric Distribution lines
and KAMO's (IEC's wholesale power provider, owned jointly
with other cooperatives) transmission lines.