Texas Tax Code
§ 202.059 — EXEMPTION FOR HYDROCARBONS FROM TERRA WELLS
TX § 202.059Title 2. STATE TAXATION · Part I. SEVERANCE TAXES · Ch. 202. OIL PRODUCTION TAX · Art. B. TAX IMPOSED
Statute text
View on source(a)Hydrocarbons produced from a well subject to an agreement under Chapter 93, Natural Resources Code, and under a license issued under that chapter qualify for an exemption from the taxes imposed by this chapter and Chapter 201 if the comptroller approves the tax exemption under Subsection (g).
(b)Hydrocarbons produced from a well formerly subject to an agreement under Chapter 93, Natural Resources Code, and a license issued under that chapter resuming production after participation in TERRA for two years qualify for an exemption from the taxes imposed by this chapter and Chapter 201 if the comptroller approves the tax exemption under Subsection (g).
(c)The commission may certify a well eligible for a tax exemption or an application may be made to the commission for certification under this section. The commission may require an applicant to provide the commission with any relevant information required to administer this section. The commission shall issue a certificate to each operator of the well. The certificate must:
(1)include identification of the well; and
(2)state the date on which the tax exemption takes effect, subject to the comptroller's approval of the exemption under Subsection (g).
(d)The commission shall furnish to the comptroller a copy of a certificate of exemption for each well qualifying under this section.
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Legislative history
Added by Acts 1995, 74th Leg., ch. 989, Sec. 5, eff. Jan. 1, 1996.