• Energy Tax Facts
  • 2 Nov 17

House Republican Leadership Releases Tax Reform Legislation

Earlier today, the U.S. House of Representatives Republican leadership released its tax reform legislation. The bill is comprehensive. It changes corporate tax rates to a single 20 percent rate and creates a 25 percent rate for pass-through entities. Full expensing of capital expenditures is provided through 2022. The Alternative Minimum Tax is repealed.

Importantly, for U.S. independent oil and natural gas producers, the tax reform bill does not alter the treatment of intangible drilling costs (IDCs) or percentage depletion. These two provisions have been IPAA’s primary focus over the past several years. Taken together with the other components of the bill, the House tax reform proposal is a positive and significant step forward. More details of the legislation can be found here

As the tax reform debate moves forward in Congress, stay tuned for more details at and check back regularly.