Baldwin EMC Pays Taxes
March 17, 2010
Baldwin EMC has recently completed the payment of $13.7 million in taxes for 2009. This is a combination of payroll taxes, property taxes, state revenue taxes, and city license taxes.
City license taxes were delivered by Baldwin EMC Board Members and employees at each city council meeting within the cooperative's service area over the past two months.
While cooperatives do maintain a not-for-profit, tax-exempt status, Baldwin EMC's Chief Executive Officer E.A. "Bucky" Jakins, Jr. says that title can be misleading. "Baldwin EMC is not-for-profit in that we only take in enough revenue to cover our operating costs," Jakins explains. "Anything in excess of that is refunded to our members." The only taxes the cooperative is actually exempt from are federal corporate income taxes.
Jakins says the cooperative paid $928,000 in payroll taxes, $1.2 million in property taxes, $8.9 million in Alabama revenue taxes, and $2.7 million in city license taxes. That amounts to be a total of $13.7 million.