Petroleum Resource Rent Tax Assessment Regulations 2024

PART 4 - THE RESIDUAL PRICING METHOD  

Division 2 - Identifying and classifying included costs  

SECTION 36  

36   EXCLUSION OF CERTAIN COSTS OF RELEVANT OPERATION  
For the purposes of step 2 of the residual pricing method, exclude a cost associated with the relevant operation if it is any of the following:

(a)    exploration expenditure incurred by a person in relation to a petroleum project (see section 37 of the Act);

(b)    a cost incurred in carrying out a feasibility or environmental study before the production of project sales gas;

(c)    a cost incurred in removing infrastructure facilities used for a relevant GTL operation;

(d)    an environmental restoration or site restoration cost;

(e)    expenditure listed in paragraphs 44(1)(a) to (h) of the Act.