Florida Senate - 2012                                    SB 1188
       By Senator Altman
       24-00399D-12                                          20121188__
    1                        A bill to be entitled                      
    2         An act relating to the tax on severance and production
    3         of oil; amending s. 211.02, F.S.; defining the term
    4         “mature field recovery oil” and applying to such oil
    5         the tiered severance tax rates applicable to tertiary
    6         oil; providing an effective date.
    8  Be It Enacted by the Legislature of the State of Florida:
   10         Section 1. Paragraph (b) of subsection (1) of section
   11  211.02, Florida Statutes, is amended, present subsections (4)
   12  and (5) of that section are renumbered as subsections (5) and
   13  (6), respectively, and a new subsection (4) is added to that
   14  section, to read:
   15         211.02 Oil production tax; basis and rate of tax; tertiary
   16  oil.—An excise tax is hereby levied upon every person who severs
   17  oil in the state for sale, transport, storage, profit, or
   18  commercial use. Except as otherwise provided in this part, the
   19  tax is levied on the basis of the entire production of oil in
   20  this state, including any royalty interest. Such tax shall
   21  accrue at the time the oil is severed and shall be a lien on
   22  production regardless of the place of sale, to whom sold, or by
   23  whom used, and regardless of the fact that delivery of the oil
   24  may be made outside the state.
   25         (1) The amount of tax shall be measured by the value of the
   26  oil produced and saved or sold during a month. The value of oil
   27  shall be taxed at the following rates:
   28         (b) Tertiary oil and mature field recovery oil:
   29         1. One percent of the gross value of oil on the value of
   30  oil $60 dollars and below;
   31         2. Seven percent of the gross value of oil on the value of
   32  oil above $60 and below $80; and
   33         3. Nine percent of the gross value of oil on the value of
   34  oil $80 and above.
   35         (4) As used in this section, the term “mature field
   36  recovery oil” means the barrels of oil recovered from wells that
   37  begin production on or after July 1, 2012, in fields that were
   38  discovered before 1981.
   39         Section 2. This act shall take effect July 1, 2011.