Does TVA pay taxes?
TVA makes tax-equivalent payments annually to state and local governments in eight states. In 2009 those payments totaled more than $505 million. They are based on power sales revenue in the previous year and property owned by TVA in each state. Such payments make TVA one of the largest taxpayers in Tennessee and Alabama. In addition to the seven states and many counties in the Tennessee Valley region, the state of Illinois and two of its counties receive payments for coal reserves TVA owns there.
