Lagniappe
Venezuela:
Law on the Special Contribution on Extraordinary Prices in the
International
Hydrocarbons Market
Article
1. A special contribution is established, payable by parties
who
export or transport natural and upgraded liquid hydrocarbons,
and derivatives. [S]uch contribution shall be applicable when,
in any given month, the average price of Brent crude exceeds
seventy Dollars of the United States of America per barrel. The
People’s Ministry for Energy and Oil will issue a resolution
on the technical methodology to determine such average price.
The amount per barrel of this special contribution shall be
fifty percent (50%) of the difference between the abovementioned
monthly average and the threshold price of seventy Dollars of
the United States of America. Also, when the abovementioned average
exceeds one hundred Dollars, the amount per barrel of this special
contribution that shall be applicable to any difference in excess
of the threshold price of one hundred Dollars, will be sixty
percent (60%).
The
monthly balance of this special contribution shall be calculated
by
multiplying the special contribution’s amount per barrel
times the monthly volume of liquid, natural or improved hydrocarbons,
and derivatives, determined pursuant to Article 4 of this Law.
Article
2. The special contribution set forth in this Law, may
be partially or totally exonerated by the National Government,
to benefit certain exports, within the framework of economic
and international cooperation policies.
Article
3. The People’s Ministry for Energy and Oil shall
pay this special contribution on a monthly basis and in foreign
currency to the National Development Fund (Fondo de Desarrollo
Nacional, FONDEN).
Article
4. The special contribution provided herein is caused
and determined by the volumes of natural or upgraded liquid hydrocarbons
and derivatives, exported or transported outside the country,
according to the dates and data indicated in the loading certificates.
Taxpayers subject to this special contribution shall have the
right to deduct the volumes of natural or improved liquid hydrocarbons
and derivatives imported into the country for their blending
or transformation, according to the dates and data indicated
in the unloading certificates.
Article
5. Hydrocarbon operating companies may deduct contributions
to the National Development Fund (Fondo de Desarrollo Nacional,
FONDEN) made in accordance with the Venezuelan Central Bank Law
from the special contribution provided herein.
Article
6. The amounts paid for the special contribution provided
in this Law, shall be considered as costs for calculating Income
Tax.
Article
7. The income resulting from the collection of this
special contribution shall be destined by the Executive Branch
of the Government to the execution of projects for the development
of infrastructure, production and social development and the
strengthening of the communal power.
Article
8. This Law will enter into effect on the date of its
publication in the Official Gazette of the Bolivarian Republic
of Venezuela.
Issued, signed and sealed at the National Assembly, in Caracas,
on the fifteenth day of the month of April of two thousand and
eight.
Note: This
translation is courtesy of Despacho
de Abogados miembros de Macleod
Dixon, S.C. If
you are interested in obtaining further information, please
do not
hesitate to contact Elisabeth Eljuri and/or Carlos Fernández
Smith at Macleod Dixon - Caracas.
(elisabeth.eljuri@macleoddixon.com, carlos.fernandez@macleoddixon.com)
Editor's
Note:This Law was originally published in Spanish by the venezuelan
goverment on the Gaceta Oficial ( Oficial Gazzete ), on April
16, 2008.
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Petroleumworld
News 04/17/08
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