Monday, October 27, 2008

Oil & Gas Information | Triple Diamond Energy

Tax Information
There may be significant tax advantages associated with participation in privately held domestic oil and gas drilling and production in the U.S. today. The Internal Revenue Code of 1986, as amended (the “Code”) currently provides tax advantages for certain types of direct participation in oil and gas drilling and production in order to encourage investment in oil and gas exploration within the United States. However, in order to benefit from these tax incentives participants must meet certain requirements – not all oil and gas ventures generate the same types of tax advantages. This overview sets forth some of the tax benefits associated with participating in private oil and gas ventures within the United States. It is applicable only to participation in private companies – investing in a publicly traded stock does not generate the same types of tax advantages. Of course, you are encouraged to consult with your tax advisor regarding how any specific participation will be treated given your particular circumstances.

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