Alaska Gov. Dunleavy vetoes corporate tax bill intended to fund public education programs

Alaska Gov. Mike Dunleavy on Monday vetoed his ninth bill of the year, canceling Alaska lawmakers’ efforts to fund public schools by rewriting a portion of the state’s corporate tax code .

Senate Bill 113 , passed by the Alaska House and Senate in May by a combined vote of 42-18, would have required internet companies to pay corporate income taxes based on the location of their sales, not the location of their server farms or offices.

That shift, already enacted by 36 other states, would have required companies like Netflix and Hulu, which do not have any in-state business presence, to pay corporate taxes based on sales to Alaskans. That shift was expected to generate between $25 million and $65 million per year for the state treasury once fully implemented.

In House Bill 57 , wh