Revenue Information Bulletin 14-009: Natural Gas Severance Tax Rate Effective July 1, 2014 through June 30, 2015

The Louisiana Department of Revenue has issued Revenue Information Bulleting 14-009: Natural Gas Severance Tax Rate Effective July 1, 2014 through June 30, 2015:

The natural gas severance tax rate effective July 1, 2014 through June 30, 2015 has been set at 16.3 cents per thousand cubic feet (MCF) measured at a base pressure of 15.025 pounds per square inch absolute and at the temperature base of 60 degrees Fahrenheit.

This tax rate is set each year by multiplying the natural gas severance tax base rate of 7 cents per MCF by the “gas base rate adjustment” determined by the Secretary of the Department of Natural Resources in accordance with R.S. 47:633(9)(d)(i). The “gas base rate adjustment” is a fraction, of which the numerator is the average of the New York Mercantile Exchange (NYMEX) Henry Hub settled price on the last trading day for the month, as reported in the Wall Street Journal for the previous 12-month period ending on March 31, and the denominator is the average of the monthly average spot market prices of gas fuels delivered into the pipelines in Louisiana as reported by the Natural Gas Clearing House for the 12-month period ending March 31, 1990 (1.7446 $/MMBTU).

Based on this computation, the Secretary of the Department of Natural Resources has determined the natural gas severance “gas base rate adjustment” for April 1, 2013, through March 31, 2014, to be 232.34 percent. Applying this gas base rate adjustment to the base tax rate of 7 cents per MCF produces a tax rate of 16.3 cents per MCF effective July 1, 2014, through June 30, 2015. The reduced natural gas severance tax rates provided for in R.S. 47:633(9)(b) and (c) remain the same.

Questions concerning the natural gas severance tax rate should be directed by email to Policy.Publications@La.gov.

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RIB 12-024: Natural Gas Severance Tax Rate Effective July 1, 2012

The Louisiana Department of Revenue has issued Revenue Information Bulletin (RIB) 12-024, which addresses the natural gas severance tax rate effective July 1, 2012.

The natural gas severance tax rate has been set at 14.8 cents per thousand cubic feet (MCF) measured at a base pressure of 15.025 pounds per square inch absolute and at the temperature base of 60 degrees Fahrenheit effective July 1, 2012, through June 30, 2013.

To read the full text of RIB 12-024, visit revenue.louisiana.gov.

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Revenue Information Bulletin 11-011: Natural Gas Severance Tax Rate

The Louisiana Department of Revenue has issued Revenue Information Bulletin (RIB) 11-011, which discusses the natural gas severance tax rate for the fiscal year that begins July 1, 2011:

The natural gas severance tax rate effective July 1, 2011, through June 30, 2012, has been set at 16.4 cents per thousand cubic feet (MCF) measured at a base pressure of 15.025 pounds per square inch absolute and at the temperature base of 60 degrees Fahrenheit.

The full text of RIB 11-011 is available at revenue.louisiana.gov.

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Revenue Information Bulletin 09-056 – Crude Oil and Natural Gas Severance Tax Filing Changes

The Louisiana Department of Revenue has issued Revenue Information Bulletin (RIB) 09-056 explaining changes for the filing of oil and natural gas severance taxes.


Beginning with the January 2010 Severance Tax reports, due March 25, 2010, prior period amended credit returns will no longer be allowed to be offset against amounts owed. Instead, credit amounts will be refunded.

Reporting and Adjustments to Prior Periods

Severance taxpayers who file paper returns must file separate detail returns and summaries for each tax period. In addition, changes to prior periods must be reported on separate amended returns for each tax period. Taxpayers who file electronically will report the current month’s detail information separately from amended returns and pay the correct amount of tax due as shown on the current month’s return.

Because prior period credits can no longer be used to offset amounts owed, payment of amounts owed on returns must be made with each return. Credits resulting from changes reported on amended returns will be refunded.

Electronic Filing and Payment

The following forms may be filed electronically:

  • Oil or Gas Severance Tax Return-Lease Detail (Ol-d & G-ld);
  • Incapable/Stripper Well Reports (O-3 & G-3); and,
  • Well Reports for Exempt Wells (O-5 & G-5).

The Severance Parish Summaries (O1-S & G1-S) will be automatically created from the lease detail filings.

Taxpayers who file a return electronically will no longer automatically be mailed paper returns. However, a paper return will be mailed upon request.

Electronic tax payments may be made using existing electronic funds transfer payment methods, or by E-check, which is a new service available through the Department of Revenue’s web site.
Additional information about severance tax forms and instructions can be obtained from the Department’s web site at: www.revenue.louisiana.gov.


A Revenue Information Bulletin (RIB) is issued under the authority of LAC 61:III.101(D). A RIB is an informal statement of information issued for the public and employees that is general in nature. A RIB does not have the force and effect of law and is not binding on the public or on the Department of Revenue.

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Revenue Information Bulletin 09-011: Natural Gas Severance Tax Rate Effective July 1, 2009

RIB 09-011:

The natural gas severance tax rate effective July 1, 2009, through June 30, 2010, has been set at 33.1 cents per thousand cubic feet (MCF) measured at a base pressure of 15.025 pounds per square inch absolute and at the temperature base of 60 degrees Fahrenheit.

This tax rate is set each year by multiplying the natural gas severance tax base rate of 7 cents per MCF by the “gas base rate adjustment” determined by the Secretary of the Department of Natural Resources in accordance with R.S. 47:633(9)(d)(i). The “gas base rate adjustment” is a fraction, of which the numerator is the average of the New York Mercantile Exchange (NYMEX) Henry Hub settled price on the last trading day for the month, as reported in the Wall Street Journal for the previous 12-month period ending on March 31, and the denominator is the average of the monthly average spot market prices of gas fuels delivered into the pipelines in Louisiana as reported by the Natural Gas Clearing House for the 12-month period ending March 31, 1990 (1.7446 $/MMBTU).

Based on this computation, the Secretary of the Department of Natural Resources has determined the natural gas severance “gas base rate adjustment” for April 1, 2008, through March 31, 2009, to be 472.82 percent. Applying this gas base rate adjustment to the base tax rate of 7 cents per MCF produces a tax rate of 33.1 cents per MCF effective July 1, 2009, through June 30, 2010. The reduced natural gas severance tax rates provided for in R.S. 47:633(9)(b) and (c) remain the same.

Revised reporting forms will be distributed as soon as they are available. Questions concerning the natural gas severance tax rate should be directed to the Taxpayer Services Division, Severance Tax Section at 225-219-7656, Option 3.

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