Bill Text: FL H0087 | 2012 | Regular Session | Comm Sub

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Bill Title: Tax on Severance and Production of Oil

Spectrum: Slight Partisan Bill (Republican 4-2)

Status: (Failed) 2012-03-09 - Died in Conference Committee, companion bill(s) passed, see HB 7087 (Ch. [H0087 Detail]

Download: Florida-2012-H0087-Comm_Sub.html

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CS/HB 87

1	A bill to be entitled
2	An act relating to the tax on severance and production
3	of oil; amending s. 211.02, F.S.; defining the term
4	"mature field recovery oil" and applying to such oil
5	the tiered severance tax rates applicable to tertiary
6	oil; providing an effective date.
7
8	Be It Enacted by the Legislature of the State of Florida:
9
10	Section 1.  Paragraph (b) of subsection (1) of section
11	211.02, Florida Statutes, is amended, present subsections (4)
12	and (5) of that section are renumbered as subsections (5) and
13	(6), respectively, and a new subsection (4) is added to that
14	section, to read:
15	211.02  Oil production tax; basis and rate of tax; tertiary
16	oil and mature field recovery oil.-An excise tax is hereby
17	levied upon every person who severs oil in the state for sale,
18	transport, storage, profit, or commercial use. Except as
19	otherwise provided in this part, the tax is levied on the basis
20	of the entire production of oil in this state, including any
21	royalty interest. Such tax shall accrue at the time the oil is
22	severed and shall be a lien on production regardless of the
23	place of sale, to whom sold, or by whom used, and regardless of
24	the fact that delivery of the oil may be made outside the state.
25	(1)  The amount of tax shall be measured by the value of
26	the oil produced and saved or sold during a month. The value of
27	oil shall be taxed at the following rates:
28	(b)  Tertiary oil and mature field recovery oil:
29	1.  One percent of the gross value of oil on the value of
30	oil $60 dollars and below;
31	2.  Seven percent of the gross value of oil on the value of
32	oil above $60 and below $80; and
33	3.  Nine percent of the gross value of oil on the value of
34	oil $80 and above.
35	(4)  As used in this section, the term "mature field
36	recovery oil" means the barrels of oil recovered from new wells
37	that begin production after July 1, 2012, in fields that were
38	discovered prior to 1981.
39	Section 2.  This act shall take effect July 1, 2012.

CODING: Words stricken are deletions; words underlined are additions.