Library / Implementation Guidelines for the Oil and Gas Companies (Tax Incentives, Exemption, Remission, etc.) Order, 2024.

Implementation Guidelines for the Oil and Gas Companies (Tax Incentives, Exemption, Remission, etc.) Order, 2024.

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¢ 
Na 
one 
ire 
; 
Pe 
oe 
. 
& 
2 
Soe, 
Gas Tax Credit (GTC) Rate: 
ee 
mes an 
Lower of: 
“oe 
ae / i 
cel 
a 
(a) US$1.00 and; 
—— 
sa 
N 
.. 
(b) 30% of US$3.00 = US$0.9 
pF 
rsd 
J of 
dag 
i. 
a 
‘? 
‘ 
" 
Applicable GTC rate = US$0.9 
Day 
Re 
““f 
43K 
Production per MSGFx<G3s Tax Credit Rate 
(100,000,000/1000) x US$0.9 
100,000 X US$0.9 
US$90,000 
Gas Tax Credit Claimable 
lllustration B 
As in 
illustration (A) above, but the Hydrocarbon Liquid Content is 70 barrels per 
million SCF. The Gas Tax Credit elaimable is computed thus: 
ee 
oh 
Suggested Solution to Illustration B: 
ABC Energies Limited: 
° 
Computation of Gas Tax Credit'claimable in 2024 accounting period. 
we 
7 
Volume of gas.produced = 100,000,000 MSCF 
Price per MSCF 
= US$3.00 
" 
Gas Tax Credit (GTC).Rate: 
Lower of: 
(a) US$0.5 and; 
(b) 30% of US$3.00 = US$0.9 
Applicable GTC rate = US$0.5 
Gas Tax Credit Claimable 
Production per MSCF x Gas Tax Credit Rate 
(100,000,000/1000) x US$0.5 
100,000 X US$0.5 
US$50,000 
wy 
Se 
# 
t 
& 
# 
Illustration C 
. 
_ 
. 
“" 
og 
wis 
As 
in 
illustration (A) above, but the Hydrocarbon Liquid Content is 110:barrels per 
~, 
million SCF. The Gas Tax Credit claimable is computed as follows: 
aie 
*. é 
— 
by