Special deduction for mineral oil exploration business covers exploration costs, depletion allowance, and transfer-based tax computation. Special deduction is available for specified oil exploration business involving prospecting for, extraction of, or production of mineral oil under an agreement with the Central Government. Allowable deductions cover abortive exploration expenditure before commercial production, specified drilling, exploration, services and related asset expenditure after commencement, and depletion allowance for mineral oil as provided in the agreement. The deduction may be in substitution for, or in addition to, normal deductions only as permitted by the agreement, and transfer of the business or interest triggers agreement-based tax computation with no further deduction for unallowed expenditure.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Special deduction for mineral oil exploration business covers exploration costs, depletion allowance, and transfer-based tax computation.
Special deduction is available for specified oil exploration business involving prospecting for, extraction of, or production of mineral oil under an agreement with the Central Government. Allowable deductions cover abortive exploration expenditure before commercial production, specified drilling, exploration, services and related asset expenditure after commencement, and depletion allowance for mineral oil as provided in the agreement. The deduction may be in substitution for, or in addition to, normal deductions only as permitted by the agreement, and transfer of the business or interest triggers agreement-based tax computation with no further deduction for unallowed expenditure.
Full Summary is available for active users!
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
AI OCR ✕
of 
TaxTMI 
TaxTMI 
