SB130 Summary

• Modifies interest rates on delinquent taxes: taxes delinquent on or after January 1, 2017, accrue interest at 7 percentage points above the federal rate for the first three years, then stop accruing interest after three years.

• Eliminates certain tax credit requirements by removing the requirement that applicants lack outstanding delinquent tax liabilities to receive refunds or credit certificates, instead allowing the state to offset payments against outstanding liabilities.

• Imposes a $250,000 surety bond or cash deposit requirement for applicants engaged in oil and gas exploration, development, or production businesses.

• Restricts oil and gas tax credits and production tax to exclude the Cook Inlet sedimentary basin effective January 1, 2018, and reduces capital expenditure and well lease expenditure credits.

• Establishes transition provisions and different effective dates for various sections, with most changes effective January 1, 2017, 2018, or 2022.