PETROLEUM RESOURCE RENT TAX ASSESSMENT REGULATIONS 2005 (REPEALED)

PART 3 - ASSESSABLE PETROLEUM RECEIPTS  

REGULATION 14   ASSESSABLE PETROLEUM RECEIPTS - SALES GAS OF INTEGRATED OPERATION WITH NON-ARM ' S LENGTH SALE  

14(1)    
For subparagraph 24(1)(d)(iii) of the Act, this regulation applies to sales gas that has been sold if:

(a) it is project sales gas of an integrated operation; and

(b) the sale is a non-arm ' s length transaction.

Note:

Paragraph 24(1)(b) of the Act applies to other sales of sales gas.

Advance pricing arrangement

14(2)    
If an advance pricing arrangement applies to the sale, the amount of assessable petroleum receipts of a taxpayer is the amount calculated in accordance with the arrangement.

Comparable uncontrolled price

14(3)    
The assessable petroleum receipts of a taxpayer in relation to the sale is the amount calculated under subregulation (4) if:

(a) no advance pricing arrangement applies to the sale; and

(b) a comparable uncontrolled price exists for the sale; and

(c) no election has been made in relation to the integrated operation under regulation 42 or 43 .

14(4)    
The amount is the higher of:

(a) the consideration received or receivable, less any expenses payable, by the taxpayer in relation to the sale; and

(b) the comparable uncontrolled price multiplied by the volume or mass of project sales gas sold.

Residual pricing method

14(5)    
The assessable petroleum receipts of a taxpayer in relation to the sale is the amount calculated under subregulation (6) if:

(a) no advance pricing arrangement applies to the sale; and

(b) either:

(i) no comparable uncontrolled price exists for the sale; or

(ii) an election has been made in relation to the integrated operation under regulation 42 or 43 .

14(6)    
The amount is the higher of:

(a) the consideration received or receivable, less any expenses payable, by the taxpayer in relation to the sale; and

(b) the RPM price of project sales gas for the taxpayer in the year of tax in which the sale took place multiplied by the volume or mass of project sales gas sold.