Attention to state, local taxes can save producers money
- Price Waterhouse LLP, Houston, TX (United States)
A constant challenge for independent oil and gas producers in the US is taxes. While the federal income tax code undergoes periodic revision, with much sound and fury attached to congressional and presidential action, state and local taxes are constantly being revised with little fanfare and little publicity. As an independent producer, one should pay close attention to these taxes because, in the aggregate, businesses pay considerably more to state and local jurisdictions in income, sales and use, and property taxes than they pay to the federal government in income tax. More than 85,000 taxing jurisdictions in the US impose a variety of taxes in a variety of ways, and your company`s operations may span a number of them. The goal is to lower one`s overall effective rate--the percentage of income one is paying to state and local governments. This article will explore some of the issues raised by the major taxes for which one is responsible.
- OSTI ID:
- 549436
- Journal Information:
- Oil and Gas Journal, Vol. 95, Issue 46; Other Information: PBD: 17 Nov 1997
- Country of Publication:
- United States
- Language:
- English
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