Impact of Tax Reform Act of 1984 on deductions for prepaid intangible drilling costs

Journal Article · Sat Dec 01 04:00:00 EST 1984 · Oil Gas Tax Q.; (United States)

OSTI ID:6091417

Lovelace, D B; Jackson, D R

The Act contains numerous provisions that taxpayers must consider in structuring their oil and gas investments, especially if the investment involves the prepayment of intangible drilling costs (IDCs). While not eliminating the deduction, the Act adds new rules that can limit the amount of any otherwise available deductions. The authors examine the impact of these new limitations on three groups of prepayments: those made by accrual-basis taxpayers, by cash-basis taxpayers who are not ''tax shelters'', and those made by cash-basis ''tax shelters''.

• Research Organization: Arthur Andersen and Co., Dallas, Texas
• OSTI ID: 6091417
• Journal Information: Oil Gas Tax Q.; (United States), Journal Name: Oil Gas Tax Q.; (United States) Vol. 33:2; ISSN OGTQD
• Country of Publication: United States
• Language: English

Related Subjects

02 PETROLEUM
021000* -- Petroleum-- Legislation & Regulations
03 NATURAL GAS
031000 -- Natural Gas-- Legislation & Regulations
29 ENERGY PLANNING, POLICY, AND ECONOMY
294002 -- Energy Planning & Policy-- Petroleum
294003 -- Energy Planning & Policy-- Natural Gas
ECONOMIC POLICY
FINANCIAL INCENTIVES
GOVERNMENT POLICIES
INDUSTRY
LAWS
NATURAL GAS INDUSTRY
PETROLEUM INDUSTRY
TAX LAWS
TAXES