15 AAC 20.445 - Intangible drilling and development costs

A taxpayer subject to AS 43.20.144 shall capitalize, and depreciate under 15 AAC 20.480, intangible drilling and development costs that are not subject to capitalization and depletion in the determination of federal taxable income as a result of an election under Internal Revenue Code section 263(c) (26 U.S.C. 263(c)), including intangible drilling and development costs subject to capitalization and amortization under Internal Revenue Code sections 59(e), 291(b), and 312(n) (26 U.S.C. 59(e), 291(b), and 312(n)), but not Internal Revenue Code section 263(i) (26 U.S.C. 263(i)). A taxpayer may elect to capitalize, and depreciate under 15 AAC 20.480, intangible drilling costs capitalized under Internal Revenue Code section 263(i) (26 U.S.C. 263(i)) and may make a separate election for each group of combined corporations set out in 15 AAC 20.480(d).

Notes

15 AAC 20.445
Eff. 3/6/98, Register 145

In 2012 the revisor of statutes, acting under AS 01.05.031, renumbered former AS 43.20.072 as AS 43.20.144. As of Register 204 (January 2013), the regulations attorney made a conforming technical revision under AS 44.62. 125(b)(6), to 15 AAC 20.445, so that the cross-reference to former AS 43.20.072 now refers to the renumbered statute, AS 43.20.144. In addition, the regulations attorney made a conforming technical revision to the authority citation that follows 15 AAC 20.445, so that the citation to former AS 43.20.072 now refers to the renumbered statute, AS 43.20.144.

Authority:AS 43.05.080

AS 43.20.144

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