A question about Alaska residency?

Question

I have heard some unusual claims, made a while ago, that living in AK three months out of the year, entitles you to acreage and... was it a state income tax refund?

Answer 1

There is no state income nor any state sales tax in Alaska (some localities have a sales tax though). We put a royality on pumped oil instead. Some of that money goes into a "Permenant Fund" and dividends ("PFD"s) go out to state residents.

You have to have been here for the previous calendar year (or been born in the last calender year) to receive it in October. This year it was $1106.96 to every man, woman and child. Just for taking up space. Not surprisingly, when getting paid to just take up space, that is what some people do.

I'd rather it was used for education and infrastructure, but free money is such a popular concept, it is political sacred and will never go away.

There was homesteading in Alaska decades ago and it really took off after WWII. Guys who found it too crowded in North Dakota passed through during the war and wanted to come back. No longer the case, for many years. But it lives on in the popular imagination and in various internet /marketting scams.

I do know people who bought 5 forested acres far back on a dirt road for $3,000 or so. So I suppose there is some truth in the combined concept: Take the free money and use it buy cheap land. And, if you don't mind a snowy 500-foot dirt-road driveway, shitting in an outhouse at -30F, and heating with wood you cut and split all by yourself, you can live on that land pretty cheapily. I know people who do that to, but they usually stop when they 1) grow up around age 35 or 2) get/want a girlfriend. But some keep at it.

Hope that helps.

Answer 2

You must be an AK resident for 1 year before you will receive a dividend check from the oil profits. See AK Permanent Fund. Alaska no longers gives away acreage. It stopped the homestead program years ago. If you want land...use money to buy it.

Answer 3

Nope, no acreage, but we *do* get a check every year - a share of the oil royalties. We don't (yet) have a state income tax. And to qualify for the Permanent Fund, you have to live here for at least a year. You can't just live here 3 months a year to get it.

Answer 4

+ I also heard something like that a long while ago. They give you some money every year. but I don't think that 3 months was enough for you to get it. I also heard that the acreage might be pretty far out in the wilderness and it could take you some time to get there. I would think that the plan was canceled years ago. It was to get more population into the state.

Answer 5

You have to be an Alaskan resident for over a year before you are entitled to a "Permanent Fund" Check. This is a share of the oil revenue profits made on Alaskan oil. Can't answer about the land claims.