Indian tribe wins right to tax oil and gas flow

January 26, 1982

The Supreme Court bolstered the rights of Indian tribes Monday by ruling that Indians can tax oil, gas, and minerals produced on their reservations. The ruling was a victory for the Jicarilla Indian tribe of New Mexico in its court battle with the giants of the oil industry. The justices rejected the arguments of 19 oil and gas companies that a severance tax imposed on them by the Jicarillas is an illegal and excessive burden on business activity.