What's happening in the PA Legislature
How will it affect your oil and gas rights?
POGLA is currently watching a number of bills in the Pennsylvania House and Senate that have the potential to affect your oil and gas rights. Advocating for your rights means pursuing legislation for additional protection, voicing concerns or supporting opposition if proposed legislation is harmful, and continually monitoring introduction of all relevant legislation. POGLA is the only organization representing your interests in Harrisburg as an owner of oil and gas rights. Join Us!
SB 654 (Bartalotta) and House Bill 81 (Dunbar) Sister bills that would allow the depletion allowance deduction on PA tax returns. Under current law a farm owner or gas owner pays Pennsylvania income tax on every royalty dollar received. Under the proposed bill the land owner would receive a 15% deduction on the income meaning that they would pay State taxes on every $85 out of $100 received and have a savings of about 3% State tax on $15 out every $100 received. This would bring parity to the Federal Tax regulations.
Most investors would not have additional benefit as investors assign a basis value to the gas when they purchase gas producing land as an investment. They can already deduct royalty income against the basis and save on their taxes. The depletion allowance would only apply to an investor after they depleted their recorded basis value. A traditional farmer has no basis recorded and therefore receives no tax benefit.
House Resolution 131 (Steele) A Resolution directing the Legislative Budget and Finance Committee to conduct a study to determine the amount of revenue that Pennsylvania may have collected since the enactment of Act 13 of 2012 if the Commonwealth implemented a severance tax.
SB 286 (Yaw) – An Act amending the act of June 22, 1937 (P.L.1987, No.394), known as The Clean Streams Law, in other pollutions and potential pollution, providing for notice of discharge endangering public health or environment. (First consideration June 21, 2023)
SB 831 (Yaw) – An Act providing for the injection of carbon dioxide into an underground reservoir for the purpose of carbon sequestration, for the ownership of pore space in strata below surface lands and waters of the Commonwealth, for conveyance of the surface ownership of real property; imposing duties on the Department of Environmental Protection; and establishing the Carbon Dioxide Storage Facility Fund. (First consideration June 21, 2023)
SB 832 (Yaw) – An Act amending Title 71 (State Government) of the Pennsylvania Consolidated Statutes, in boards and offices, establishing the Independent Energy Office. (In Committee)
HB 170 (Otten) - Setback Distances for Natural Gas Well Sites and Related Infrastructure
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Owners and lessors of subsurface Oil and Gas resources need up-to-date information to manage their resources. We have several new membership options to accommodate the needs of our members. If you would like to upgrade your membership, sign in or email membership.pogla.org now!
- · Dive deep into the records of the Pennsylvania Department of Environmental Resources to find the Oil and Gas records and reports on your properties.
- · Review and download Courtroom documents to find out exactly what the courts have said about issues that affect you.
- · Find links to tools and articles to help Oil and Gas resource owners manage their properties.
