The federal budget deficit, a problem of enormous scope and magnitude, has led tax administrators at all levels of government to create new and innovative ways to increase revenues. The tug and barge industry has been particularly hard hit. The states, to make up funds no longer provided by the federal government, are becoming increasingly more aggressive in taxing waterway operators. In addition to navigation user taxes, we have been confronted with a wide array of state and federal fuel taxes and general corporate tax requirements.
The tug and barge industry, in simple terms, is in a blizzard of taxes.
AWO focused much of its efforts in 1988 to reversing federal tax initiatives.
One of the association's goals for 1989 is to increase its visibility and effectiveness on issues within the jurisdiction of the taxwriting committees of Congress— the House Ways and Means Committee and the Senate Finance Committee. AWO will be closely monitoring deficit reduction proposals in all forums which could impact water carriers. Additionally, the AWO Board has directed the staff to pursue legislative relief from discriminatory state taxation. Such legislation would extend to water carriers the protections afforded to the rail, aviation and motor vehicle industries.
In 1988, the industry found itself in a particularly difficult bind. As a result of a budget bill Congress passed in late 1987, in part aimed at blunting the shock of the October market crash, tug and barge opera- tors found themselves paying millions of dollars in taxes they did not owe. The Act included a provision requiring all off-highway users of diesel fuel to pay, at time of purchase, 15.1 cents per gallon in highway taxes and then apply for an interest-free refund of those taxes from the Internal Revenue Service.
This provision, effective April 1, 1988, imposed a staggering cash flow burden on the waterways industry.
As a result, AWO generated one of the largest outcries of grassroots outrage and targeted media coverage in its history. Although this upfront payment requirement ceased as of January 1, 1989, it proved to be a bureaucratic as well as economic nightmare.
, 5 bulk carriers, 3 car/bulk carriers, 2 liquefied petroleum gas vessels and 1 ore/bulk/oil carrier. Ogden is seeking a ruling from the Internal Revenue Service that the spinoff will be tax-free to Ogden stockholders and expects the ruling to be favorable. The exact record date, distribution date
in his letter to Secretary Baker. The Secretary's response was, to paraphrase, "you guys fouled it up, now you guys fix it." The Internal Revenue Service recently decided to allow certain waterway operators (on the inland waterways alone) to offset payment of the inland waterway fuel tax against
The Internal Revenue Service (the "IRS") has issued proposed regulations under section 863 of the Internal Revenue Code of 1986, as amended (the "Code"), providing new rules for determining the source of income from activities conducted in international waters for purposes of U.S. income taxation.
all time high, especially in light of the changing government regulations regarding the Patient Protection and Affordable Care Act (PPACA) and the Internal Revenue Service’s (IRS) claim to be more vigilant against companies that don’t meet contract employee classification requirements. As a minimum, misclassifying
lease remains the same, then the greater the amount of the EBO, the lower the amount of the rent . . . and vice versa. The EBO must meet the Internal Revenue Service’s “compulsion test.” The purchase price of the collateral cannot be less than the present value of the remaining rents plus a FMV worth not
an average of about 20 percent in 2001, with activity in the international markets expected to accelerate as the major oil companies refocus on internal growth opportunities. In addition, the Gulf of Mexico rig market should continue to tighten as the industry drills aggressively to meet the need
the rules for participation, the sources and measures for deposits, the timing and accounting for withdrawals, and other Agreement matters. The Internal Revenue Service’s role is detailed in the MARAD/IRS Joint Regulations that govern a limited number of filing and accounting issues. A shipyard may make
of Homeland Security (DHS); Small Shipyard Grants at MARAD/DOT; the Capital Construction Fund (CCF), which is implemented by MARAD and the Internal Revenue Service; and MARAD’s title XI loan guarantee program, which assisted in the financing of the TOTE containerships, above. The Marine Highway Program
. This common sense argument has been recognized by the United States Supreme Court, which held that the exclusionary rule did not prohibit the Internal Revenue Service (IRS) from using evidence that was illegally seized by local police. The Court logically concluded that the societal costs of excluding important
, museums, university campus, television broadcast center, health and fitness complex, convention hall, banquet and meeting rooms, casino, and an internal marina. The Canaveral Port Authority resolution offers development rights to 95 acres of land within the port to the World City Corporation, and gives
and the Wärtsilä’s of the maritime world to come to Duqm to set up shop, all a part of the master plan to broaden revenue streams while streamlining the internal ODC team. With room to spare, Al Maawali said the yard will even look to act as landlord, allowing outside companies to come in and set-up shop to
ADVERTISER INDEX Page Company Website Phone# 31 Ahead Sanitation www.aheadsanitationsystems.com (337) 330-4407 27 All American Marine www.AllAmericanMarine.com (360) 647-7602 3 Cummins Marine www.cummins.tech/imo Please visit our website 19 Environmental Marine, Inc. www.envmar.com (606)
PEOPLE & COMPANY NEWS HII WCI National Waterways Foundation Mecklenborg Calhoun Woodruff Stephaich Calhoun Toohey Toohey Harris, Petters, Beckstoffer Gaskill tion of all ? eld installations and will gram designed to shape the future of NWF Elects Trustees, Of? cers coordinate temporary jobsite
PEOPLE & COMPANY NEWS Massport McCarthy Holvik Barrie Fitzpatrick Meyran Schmaltz Wieland Verble ter of Science degree in Environmen- (Massport) Board of Directors voted to on November 8th, 2019. Joining Rob- tal Science from UNC Chapel Hill. make Michael Meyran the Authority’s ert Allan Ltd.
GREAT WORKBOATS toric agreement signed this year between The Interlake vendors and suppliers. Major partners for the project Steamship Company and Fincantieri Bay Shipbuild- include ABS, EMD Engines, Caterpillar, Lufkin (a GE ing of Sturgeon Bay, Wisconsin. The new River-Class, Company) and MacGregor.
GREAT WORKBOATS ment of requirements for the tug and a clear vision of the FERRIES: desired layout and accordingly the design was developed in GLADDING-HEARN DELIVERS close collaboration with Island Tug. Partway through con- ANOTHER HIGH-SPEED FERRY struction, Island Tug was acquired by Vancouver
GREAT WORKBOATS I and is Classed by ABS as a High-Speed Craft with DP-2 Association in Freeport, Texas. The new vessel, Brazos Pi- and Fire-Fighting Capability notations. Libby L. McCall lot, is a De? ant-class monohull pilot boat both designed was constructed by Gulf Craft in Franklin, LA. and built by
GREAT WORKBOATS sustainable farm-to-market systems that is in operation to- HYBRID ELECTRIC: day – all-important issues when trading in the gentri? ed ar- DERECKTOR LAUNCHES THIRD eas the vessel will trade. Harbor Harvest is working towards HYBRID CATAMARAN expending the ? eet with a second vessel with
SPECIAL REPORT happening. Icebreaker Wind is a six turbine, 20.7-megawatt Association (OMSA), the mouthpiece of the domestic off- offshore demonstration project in Lake Erie. Once approved, shore marine transportation service industry, responded to it will be the ? rst freshwater project in North America.
SAFETY Investing in Safety for Investing in Safety for All the right ReasonsAll the right Reasons It’s time to upgrade to a Marine Evacuation System. Credit: CMLF By Derek Robinson s domestic traf? c from coast-to-coast continues to thority, completed the installation of a new MES aboard worsen, ferry
MarineNews MarineNews December 2019 Volume 30 Number 12 (ISSN#1087-3864) (USPS#013-952) Florida: 215 NW 3rd St., Boynton Beach, FL 33435 tel: (561) 732-4368; fax: (561) 732-6984 Departments Analysis New York: 118 E. 25th St., New York, NY 10010 & tel: (212) 477-6700; fax: (212) 254-6271 www.marinelink.
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This directory section is an editorial feature published in every issue for the convenience of the readers of MARITIME REPORTER. A quick-reference readers’ guide, it includes the names and addresses of the world’s leading manufacturers and suppliers of all types of marine machinery, equipment, supplies and
Chris-Marine Cylinder Liner Monitoring Prime Mover Controls is a world leading manufacturer of Marine Propulsion Controls and Integrated Machinery Alarm and Control Systems. Our products also include Engine Order Telegraphs, Navigation Light Control Panels, and a variety of Marine Instruments. We have
T TECH FILES The power of Data helps OSV Operator Cuts Consumption Stena Line Stena Line Test Drives AI, Saves Fuel Stena Lines completed a pilot project using arti? cial intel- ligence (AI) technology to predict the most fuel-ef? cient way to operate a vessel, the Stena Scandinavica on the Gothenburg –
GREAT SHIPS OF 2019 RV Atair: A (new) Star is Born The new research vessel received its While it is a medium-sized research tally friendly natural gas or diesel fuel. quirements for the “Blue Angel” eco- name on the occasion of its traditional vessels, it is the largest ship in the BSH In addition
GREAT SHIPS OF 2019 Ærø-Windmills electri? ed E-Ferry Ellen “An electric ferry costs more up front, The vessel operates in Denmark on the battery-powered car ferries. parts – and for possible scaling to other but is cheaper to operate in the long run, route between Soby (Ærø) and Fynshav • Record-high
GREAT SHIPS OF 2019 ©Pospiech Potsdam: German Federal Police On December 14, 2018, the ? rst of continuing its journey. ment, such as a marine radio, a radio for phase motor is used in this speci? c case, three new police mission ships was The diesel-electric propulsion system BOS, a chart plotter
GREAT SHIPS OF 2019 Wind of Change Wind of Change is a maintenance ves- drive the diesel-electric vessel. Two the landing platforms of the wind farm sel for offshore wind turbines, built in 1,400 kW transverse thrusters and an towers directly via a special, hydrauli- Turkey at the Cemre shipyard for
S SOFTWARE SOLUTIONS which you can infer aspects of a vessel’s condition. go periodical surveys by their ? ag state administra- no surprises, no off-hire. Just the provision of consis- However, even with all these sources, you can’t get a tion or classi? cation society and are therefore legally tent
S SOFTWARE SOLUTIONS Tapio Hulkkonen (left) is the Director of Product Management at NAPA Design Solutions. His experi- ence includes 23 years working at shipyards in Finland and now 14 years at NAPA. Teemu Mander- backa is a Senior R&D Engineer at NAPA Shipping Solutions. He has a background in experimental
I INSIGHTS: DIGITALIZXATION be in the form of something far more sinister, such neous connections, means that information can as terrorist groups. For example, seaport competi- be shared back and forth in a fully mobile, highly tors may deploy drones to disrupt operations, or resilient web of communicatio