Bill No.: HB0031 Drafter: JAR

LSO No.: 06LSO-0090 Effective Date: 7/1/2006

Enrolled Act No.: HEA0026

Chapter No.: 96

Prime Sponsor: Joint Revenue Interim Committee

Catch Title: Sales tax exemption-oil & gas well.

Subject: Provides a sales tax exemption for the deepening or extending of an existing oil and gas well.

Summary/Major Elements:

· Current law provides a sales tax exemption for the sales price paid for all services related to the production and drilling of any oil or gas well.

· This bill extends the sales tax exemption to deepening or extending any existing oil or gas well "beyond the maximum point to which they were initially drilled."