Title 15 . Revenue

Chapter 55 . (Repealed)

Section 220. Oil and gas exploration tax credit

15 AAC 55.220. Oil and gas exploration tax credit

(a) An explorer may request an oil and gas exploration tax credit by filing an application with the department no later than six months after the completion date of the exploration activity for which the tax credit is claimed.

(b) For a particular exploration well, an explorer may claim a tax credit of

(1) 20 percent of exploration expenditures,

(A) if those expenditures qualify under AS 43.55.025 (b) and (c); and

(B) regardless of whether the well is less than 25 miles from an existing unit that is under a plan of development;

(2) 20 percent of exploration expenditures,

(A) if those expenditures qualify under AS 43.55.025 (b) and (d); and

(B) regardless of whether the bottom hole of the exploration well is less than three miles away from the bottom hole of a preexisting suspended, completed, or abandoned oil or gas well; or

(3) 40 percent of exploration expenditures, if those expenditures qualify under AS 43.55.025 (b), (c), and (d).

(c) For a particular seismic or geophysical exploration activity, an explorer may claim a tax credit of 40 percent of exploration expenditures, if those expenditures qualify under AS 43.25.025 (b) and (e).

History: Eff. 1/1/2004, Register 168

Authority: AS 43.05.080

AS 43.55.025

AS 43.55.110