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A BILL TO BE ENTITLED
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AN ACT
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relating to the periods for applying for and receiving designation |
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of a well as a two-year inactive well for purposes of the oil and gas |
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severance tax exemption. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Sections 202.056(c) and (d), Tax Code, are |
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amended to read as follows: |
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(c) If the commission designates a three-year inactive well |
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under this section, it shall issue a certificate designating the |
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well as a three-year inactive well as defined by Subsection (a)(3) |
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of this section. The commission may not designate a three-year |
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inactive well under this section after February 29, 1996. If the |
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commission designates a two-year inactive well under this section, |
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it shall issue a certificate designating the well as a two-year |
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inactive well as defined by Subsection (a)(4) of this section. The |
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commission may not designate a two-year inactive well under this |
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section after February 28, 2020 [2010]. |
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(d) An application for three-year inactive well |
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certification shall be made during the period of September 1, 1993, |
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through August 31, 1995, to qualify for the tax exemption under this |
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section. An application for two-year inactive well certification |
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shall be made during the period September 1, 1997, through August |
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31, 2019 [2009], to qualify for the tax exemption under this |
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section. Hydrocarbons sold after the date of certification are |
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eligible for the tax exemption. |
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SECTION 2. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect on the 91st day after the last day of the |
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legislative session. |