Open AccessAmerican Tax Considerations in the Drafting of Canadian Joint Operating Agreements
Author(s) -
John F. Curran
Publication year - 1970
Publication title -
alberta law review
Language(s) - English
Resource type - Journals
eISSN - 1925-8356
pISSN - 0002-4821
DOI - 10.29173/alr540
Subject(s) - internal revenue , revenue , direct tax , tax reform , operator (biology) , subject (documents) , joint (building) , income tax , double taxation , ad valorem tax , business , state income tax , economics , international taxation , law and economics , law , public economics , political science , accounting , engineering , economy , computer science , architectural engineering , biochemistry , chemistry , repressor , library science , transcription factor , gene , service (business)
Many operators in Canada's oil and gas industry are subject to taxation under the United States Internal Revenue Code. In their Canadian activities, operations and agreements, these operators seek to preserve any tax benefits that they may have under the income tax laws of the United States. This article outlines the tax advantages which the United States operator wishes to preserve, such as avoidance of the status of an on Canadian operators not subject to United States tax laws, and suggests draft clauses that may be included in Canadian joint operating agreements to preserve United States tax benefits for the American operator.