Section 15.21.125. Prevailing value for gas.

For a taxpayer's gas, the prevailing value for purposes of this chapter is  
		(1) the volume-weighted average of the prices received under the terms of sales contracts for significant quantities which have been entered into or whose pricing provisions have been amended during the tax year or the two preceding years at the sales delivery points within the same market for that production by the taxpayer in arm's-length sales transactions for like kind, character, and quality Alaskan gas produced during the month; or  
		(2) if the taxpayer makes no arm's-length sales of significant quantities at the sales delivery points within the same market for like kind, character, and quality Alaskan gas produced during the month, the volume-weighted average of the prices under the terms of arm's-length sales contracts for significant quantities of gas from the same field as the taxpayer's gas (whether between third parties or not) which were entered into or the pricing provisions of which were amended during the tax year or the two preceding years (or if there are no contracts which comply with this paragraph for that field, contracts which comply with this paragraph in the nearest field to that field), with appropriate adjustments for differences, if any, in kind, character, and quality between gas sold under the reference sales contracts and the taxpayer's gas.  

Authorities

43.05.080;43.19.010;43.21.020;43.21.090;43.21.120

Notes

Reference

15 AAC 21.120
15 AAC 21.900

Authority

AS 43.05.080 AS 43.19.010 Art. IV, _ 18, Ak Const. AS 43.21.020 AS 43.21.090 AS 43.21.120

History

Eff. 5/21/81, Register 78