We can all admit that we don’t know everything and more often than not, we don’t have the time (or the will power) to trawl through the internet trying to find the information we need. So to help you out we’ve compiled a few handy website links about oil and gas taxation.
Overview Of PRT – Computation Of PRT Charge
As PRT is a field related tax the charge to PRT is primarily based on a participator’s share of the taxable income from the field less the participator’s share of the allowable costs for that field. There are however special rules that also allow certain types of non-field related costs and in addition to costs there are also some further allowances and reliefs that are available on a field specific basis.
How Petroleum Revenue Tax (PRT) Is Charged On Oil And Gas Production And Submitting Returns To HMRC
All The Petroleum Tax Forms And Documents You Need
Petroleum Revenue Tax (PRT) was introduced by the Oil Taxation Act 1975 and is a tax on the profits from oil and gas production in the UK or on the UK Continental Shelf. PRT was abolished on 16 March 1993 for all fields that were given development consent on or after that date. PRT remains in force for fields given consent before 16 March 1993.
Filing PRT Information Electronically
You can send elections, notifications and returns to HM Revenue and Customs by email or electronically to the company’s Shared Workspace.
A full list of the information that you can send electronically to HM Revenue and Customs (HMRC) is listed in the Schedule to The Petroleum Revenue Tax (Electronic Communications) Regulations 2003 (SI 2003/2718).
Find Out How The Supplementary Charge Is Calculated On Ring Fence Profits And When It Must Be Paid
Oil Taxation Manual – Supplementary Charge Info
Ring Fence Corporation Tax
The modified Corporation Tax rules for companies in the UK oil and gas industry including calculating the charge and payment deadlines.
Oil Taxation Manual – Corporation Tax Ring Fence
Corporation Tax Rates and Reliefs
Advance Pricing Agreements
An Advance Pricing Agreement (APA) is a written agreement between a business and HM Revenue and Customs (HMRC) which determines a method for resolving transfer pricing issues in advance of a return being made.
For more information, visit the international manual: https://www.gov.uk/hmrc-internal-manuals/international-manual/intm422000
How profits are treated from activities carried out in the UK territorial sea or designated areas and the effect of double taxation agreements. Further information about non-residents working on the UK continental shelf: https://www.gov.uk/hmrc-internal-manuals/oil-taxation-manual/ot40000
The Oil and Gas Authority’s role is to regulate, influence and promote the UK oil and gas industry in order to maximise the economic recovery of the UK’s oil and gas resources. On 1 October 2016 they became a government company, limited by shares under the Companies Act 2006, with the Secretary of State for Business, Energy and Industrial Strategy the sole shareholder.
Their website has a wealth of information concerning everything from regulatory framework and licensing, to exploration, decommissioning and technology.