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  • Record keeping for PRRT

    You are required to keep records that record and explain all transactions and other acts that are relevant for determining your petroleum resource rent tax (PRRT) liability for each project interest you hold.

    If you hold interests in exploration permits and retention leases, you should also keep records to meet future PRRT obligations.

    Types of records to be kept

    If you hold an interest in a petroleum project, exploration permit or retention lease you should ensure that you keep records that are in writing in English, or readily accessible and convertible into writing in English, so as to enable your liability under the PRRT legislation to be ascertained.

    Examples of the types of records that may assist in explaining transactions include:

    • contracts
    • agreements
    • lifting schedules
    • billing statements
    • invoices
    • financial statements.

    Record retention periods

    Records must be retained for a period of seven years or longer after the completion of the transactions or acts to which they relate.

    It is often the case for PRRT that there are many years between expenditure being incurred and that expenditure being claimed. Records of such expenditure need to be retained for PRRT purposes for periods that are generally much longer than the retention periods applicable to other record keeping requirements.

    Joint venture record keeping requirements

    If you hold an interest in a petroleum project, exploration permit or retention lease under a joint venture arrangement, you are required to maintain records about your individual interest.

    Both operators and non-operators in a joint venture arrangement are required to meet the same PRRT record keeping obligations as other taxpayers.

    See also:

      Last modified: 22 Oct 2019QC 27324