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Vegas Loop expansion beyond underground tunnels raises tax questions
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State lawmakers are questioning whether Elon Musk’s Boring Company owes taxes to Nevada now that its Tesla-filled Vegas Loop tunnels have expanded to include above-ground transportation, raising a revenue dispute.
The Vegas Loop tunnels are classified as a monorail system owned by the Boring Company and operated through a franchise agreement with Clark County and Las Vegas.
By providing above-ground transportation, the Vegas Loop may now be operating more like rideshare services such as Uber or Lyft, which are classified as transportation network companies.
About 1 million people ride the Vegas Loop annually, traveling through underground tunnels in Teslas.
The system has eight completed stations in the Strip corridor — five at the Las Vegas Convention Center and one each at Resorts World, Westgate and Encore.