Decommissioning and abandonment is the process of shutting down operations in an oil field, whereby installations, structures, chemicals, and operation materials are removed; and environmental restoration of the area is carried out. It comes at the end of the field life, but is planned for at the very beginning of petroleum operations. In fact,…
This is sequel to our Echoes on INPUT-OUTPUT VAT MECHANISM (PT. 1). As explained in Part 1 of the Echoes on the Input-Output VAT Mechanism, Input VAT incurred by businesses in their operations are recouped from the output VAT they charge customers during sales. It is what remains of the Output VAT after deduction…
It may be surprising that the Petroleum Profit Tax Act remains in force in spite of the taxation of upstream petroleum operations in the Petroleum Industry Act, 2021 as Hydrocarbon Tax. Why was the Finance Act, 2023 amending the Petroleum Profit Tax Act Cap P13 LFN 2004, instead of the Petroleum Industry Act,…
Jerome Okoro[1] and P.C. Obutte[2] Abstract This paper examines the feasibility of corporate restructuring as a turn-around mechanism for the marginal field companies in Nigeria. It examines the nature, procedure, and statutory requirements of corporate restructuring schemes in the context of marginal field development. The study finds that corporate strength or weakness is a…