18 C.F.R. § 420 app C to Part 2

Current through November 30, 2024

Appendix C to Part 2 - Nationwide Proceeding Computation of Federal Income Tax Allowance Independent Producers, Pipeline Affiliates and Pipeline Producers Continental U.S.-1972 Data (Docket No. R-478)

Line No.	Particulars	Schedule No.	Line No.	(1)-Total1	(2)-Total excluding production taxes2	(3)-Gas only3	(4)-Lease separation3	(5)-No lease separation3	(6)-Total4	(7)-Percentage lease separation gas5	(8)-Allocated amount gas6
PRODUCTION, EXPLORATION AND DEVELOPMENT COSTS
2	Direct and indirect lease costs and expenses	1-A	01	1,694,893,558	1,694,893,558	57,287,938	$144,679,567	$19,763,791	$221,731,296	90.33	207,740,782
2	Taxes (except income and production)	A-1	02	210,335,720	210,335,720	16,507,630	20,431,444	4,360,024	41,299,098	9.33	39,323,337
4	Production taxes	1-A	03	479,424,297		27,124,210	96,699,673	10,005,599	133,829,482	90.33	124,478,624
5	Other lease expenses	1-A	04	61,102,433	61,102,433	17,527,077	24,988,900	336,427	42,852,404	90.33	40,435,977
6	Depletion, depreciation and amortization	1-A	05	1,716,823,070	1,716,823,070	105,999,777	297,881,312	25,502,048	429,383,137	90.33	400,578,014
7	Corporate general expense	1-A	06	278,845,909	278,845,909	13,611,337	25,077,796	3,579,728	42,268,861	90.33	39,843,838
8	Area, district, division and field expense	1-A	07	261,718,417	26,178,417	7,207,320	21,758,604	2,778,944	31,744,868	90.33	29,640,811
9	Miscellaneous lease revenues	1-A	09	(12,203,136)	(12,203,136)	(1,348,729)	(2,768,788)	(314,067)	(4,431,584)	90.33	(4,163,842)
10	Return on production rate base at 15 percent	1-A	13	2,505,272,672	2,505,272,672	186,055,524	427,939,601	69,857,212	663,852,337	90.33	622,470,578
11	Exploration and development costs and expenses	1-A	15	1,673,945,853	1,673,945,853						594,971,262
12	Return on exploration rate base at 15 percent	1-A	16	588,558,894	588,558,894						234,604,103
13	Regulatory commission expense including return	1-A	17	6,514,279	6,514,279						6,514,852
14
15	Total computed revenue			9,465,231,966	8,985,807,669						2,336,439,376
16 (gross income)
17
18 revenue deductions
19	Direct and indirect lease costs and expenses	1-A	01	1,694,893,558	1,694,893,558						207,740,872
20	Taxes (except income and production)	1-A	02	210,335,720	210,335,720						39,323,377
21	Production taxes	1-A	03	479,424,297							124,478,624
22	Other lease expenses	1-A	04	61,102,433	61,102,433						40,435,977
23	Book depletion			7 (283,121,142)	283,121,242	24,287,986	61,675,828	6,177,596	92,141,410	90.33	86,177,357
24	Depreciation expense	1-A	05	7 (654,604,447)	654,604,447	30,223,586	94,010,520	7,007,662	131,241,768	90.33	122,150,951
25	Amortization of capitalized IDC			7 (779,097,382)	779,097,382	51,488,205	142,194,964	12,316,790	205,999,959	90.33	192,249,706
26	Corporate general expense	1-A	06	278,845,909	278,845,909						39,843,838
27	Area, district, division and field expense	1-A	07	261,718,417	261,718,417						29,640,811
28	Miscellaneous lease revenues	1-A	09	(12,203,136)	(12,203,136)						(4,163,842)
29	Exploration and development costs and expenses			1,673,945,853	1,673,945,853						594,971,262
30	Regulatory commission expense	4-A	01	6,384,384	6,394,384						6,394,384
31
32	Total book expenses			6,371,380,505	5,891,856,209						1,479,243,227
33
34	Production net income (line 15 less line 32)			3,093,951,461	3,093,951,460						857,190,149
35
36 tax adjustment-add (DEDUCT)
37	Amortization of capitalized IDC			779,097,282	779,097,382						192,249,706
38	Estimated IDC capitalized in 1972			8 (1,470,935,857)	(1,470,935,857)						(362,967,445)
39	Interest expense (calculated)			9 (243,846,540)	(243,846,540)						(60,587,136)
40
41	Taxable income			2,158,266,445	2,158,266,445						625,891,274
42
43	Federal income tax at 48 percent			1,992,245,949	1,992,245,949						10 577,745,791

¹ Lines 1 thru 15, col. (1). From Notice issued Sept. 12, 1974, app. A, p. 12, col. (d).

² Production taxes have been deleted from col. (1).

³ From notice issued Sept. 12, 1974, app. A, p. 12, cols. (g), (h), and (i).

⁴ Col. (3) plus col. (4) plus col. (5).

⁵ Calculated on a modified British thermal unit basis (1.5 to 1).

⁶ Col. (7) times col. (4), plus cols. (3) and (5).

⁷ See composites mailed to all parties on Feb. 13, 1974.

⁸ Calculated, 188.8 percent (A R64-1-2) times $779,097,382 equals $1,470,935,857.

⁹ Calculated 0.0146 (interest rate) times $16,701,817,818 (app. A, schedule 2-A, (d), line 11, p. 13) equals $243,846,540.

¹⁰ $577,745,791 divided by 9,508,369,001 equals 6.08 cents per thousand cubic feet.

18 C.F.R. § 420 app C to Part 2

Opinion 749, 41 FR 3092, Jan. 21, 1976