A bill to establish an Energy Trust Fund Reserve, to require the deposit in such reserve of amounts equivalent to so much of the taxpayer's deduction for percentage depletion on oil and natural gas as is in excess of the amount allowable on an average daily production of barrels in the case of oil or cubic feet in the case of natural gas, to require the investment of such reserve into the exploration for and development of new sources of energy, and for other purposes.
Energy Trust Fund Reserve Act - Title I: Energy Trust Fund Reserve - Requires persons eligible for the percentage depletion allowances under the Internal Revenue Code on oil and natural gas income to set aside a Special Energy Trust Fund Reserve Account, equal to the amount of the deduction claimed. States that the purpose of such reserve account shall be to invest in exploration research and the development of new sources of energy.
Requires that amounts deducted as percentage depletion but not deposited into the reserve account shall be considered as ordinary income for tax treatment purposes.
Sets forth provisions governing the energy trust fund reserve. Excludes from gross income the net income of the invested reserve funds, provided such income is reinvested in qualifying energy expenditures. Defines "qualifying energy expenditure" as meaning any amount paid by the taxpayer for specified energy research and development items.
Introduced in Senate
Referred to Senate Committee on Finance.
checking server…
Ask anything about this bill. The AI reads the full text to answer.
Enter to send · Shift+Enter for new line