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HOUSE BILL NO. 4002
IN THE LEGISLATURE OF THE STATE OF ALASKA
THIRTY-SECOND LEGISLATURE - FOURTH SPECIAL SESSION
BY THE HOUSE SPECIAL COMMITTEE ON WAYS AND MEANS
Introduced: 10/4/21
Referred: Resources, Finance
A BILL
FOR AN ACT ENTITLED
1 "An Act relating to nonrefundable tax credits against the oil and gas production tax;
2 and providing for an effective date."
3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:
4 * Section 1. AS 43.55.024(j) is amended to read:
5 (j) A producer may apply against the producer's tax liability for the calendar
6 year under AS 43.55.011(e) a tax credit in the amount specified in this subsection for
7 each barrel of oil taxable under AS 43.55.011(e) that does not receive a reduction in
8 the gross value at the point of production under AS 43.55.160(f) or (g) and that is
9 produced during a calendar year after December 31, 2013, from leases or properties
10 north of 68 degrees North latitude. A tax credit under this subsection may not reduce a
11 producer's tax liability for a calendar year under AS 43.55.011(e) below the amount
12 calculated under AS 43.55.011(f). The amount of the tax credit for a barrel of taxable
13 oil subject to this subsection produced during a month of the calendar year is
14 (1) $4 [$8] for each barrel of taxable oil if the average gross value at
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1 the point of production for the month is less than $80 a barrel;
2 (2) $3 [$7] for each barrel of taxable oil if the average gross value at
3 the point of production for the month is greater than or equal to $80 a barrel, but less
4 than $90 a barrel;
5 (3) $2 [$6] for each barrel of taxable oil if the average gross value at
6 the point of production for the month is greater than or equal to $90 a barrel, but less
7 than $100 a barrel;
8 (4) $1 [$5] for each barrel of taxable oil if the average gross value at
9 the point of production for the month is greater than or equal to $100 a barrel, but less
10 than $110 a barrel;
11 (5) zero [$4 FOR EACH BARREL OF TAXABLE OIL] if the
12 average gross value at the point of production for the month is greater than or equal to
13 $110 a barrel [, BUT LESS THAN $120 A BARREL;
14 (6) $3 FOR EACH BARREL OF TAXABLE OIL IF THE AVERAGE
15 GROSS VALUE AT THE POINT OF PRODUCTION FOR THE MONTH IS
16 GREATER THAN OR EQUAL TO $120 A BARREL, BUT LESS THAN $130 A
17 BARREL;
18 (7) $2 FOR EACH BARREL OF TAXABLE OIL IF THE AVERAGE
19 GROSS VALUE AT THE POINT OF PRODUCTION FOR THE MONTH IS
20 GREATER THAN OR EQUAL TO $130 A BARREL, BUT LESS THAN $140 A
21 BARREL;
22 (8) $1 FOR EACH BARREL OF TAXABLE OIL IF THE AVERAGE
23 GROSS VALUE AT THE POINT OF PRODUCTION FOR THE MONTH IS
24 GREATER THAN OR EQUAL TO $140 A BARREL, BUT LESS THAN $150 A
25 BARREL;
26 (9) ZERO IF THE AVERAGE GROSS VALUE AT THE POINT OF
27 PRODUCTION FOR THE MONTH IS GREATER THAN OR EQUAL TO $150 A
28 BARREL].
29 * Sec. 2. This Act takes effect January 1, 2022.
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Statutes affected:
HB4002A, AM HB 4002, introduced 10/04/2021: 43.55.024