This bill establishes a new income tax for entities producing or transporting oil or gas in Alaska, specifically targeting those with qualified taxable income exceeding $5,000,000. The tax rate is set at 9.4 percent on the income above this threshold. The bill also creates the "energy and electrical grid projects or upgrades fund," into which the collected taxes will be deposited. It clarifies that the tax does not apply to corporations already paying tax under a different section of the law and allows the Department of Revenue to aggregate the taxable income of multiple entities if they are deemed to be part of a single entity for tax purposes.

Additionally, the bill amends various sections of existing law to replace the term "corporation" with "taxpayer" to broaden the scope of entities subject to these tax provisions. It also includes provisions for the retroactive application of the law to January 1, 2025, and outlines a transition period for tax payments due before the effective date of the new law. The Department of Revenue is granted the authority to waive interest and penalties for tax liabilities incurred due to the retroactive nature of the bill until January 1, 2026.

Statutes affected:
SB0092A, AM SB 92, introduced 02/10/2025: 43.20.011, U.S.C, 43.20.030, 43.20.031, 43.20.145, 43.20.142, 43.20.143, 43.20.019, 43.05.225, 43.05.220, 43.05.245, 43.05.290, 44.62.240