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UTAH STATE SENATE

UTAH STATE CAPITOL COMPLEX * 320 STATE CAPITOL

P.O. BOX 145115 * SALT LAKE CITY, UTAH 84114-5115 * (801) 538-1035

        February 12, 2013

Mr. President:

    The Revenue and Taxation Committee reports a favorable recommendation on 1st Sub. H.B. 74, PROPERTY TAX MODIFICATIONS, by Representative J. Mathis, with the following amendments:


1.    Page 11, Lines 318 through 327
    House Floor Amendments
    2-8-2013 :
    

             318          H. [(32)] (33) .H "Split estate mineral rights owner" means a person who:
             319          (a) has a legal right to extract a mineral from property;
             320          (b) does not hold more than a H. [1%] 25% .H interest in:
             321          (i) the

{   property's   } land surface rights        of the property where the wellhead is located       ; or

             322          (ii) an entity with an ownership interest in the
{   property's   } land surface rights        of the property where the wellhead is located       ;

             323          (c) is not an entity in which the owner of the
{   property's   } land surface rights        of the property where the wellhead is located       holds more

             324      than a H. [1%] 25% .H interest; and
             325          (d) does not have a relationship with an owner of the
{   property's   } land surface rights        of the property where the wellhead is located       H. [ that


             326
     is a relationship described in Subsection 267(b), Internal Revenue Code, except that the term
             327      1% shall be substituted for the term 50% in Subsection 267(b), Internal Revenue Code
] .H .

        Respectfully,

        Deidre M. Henderson
        Committee Chair

Voting: 4-0-5
3 HB0074.SC1.wpd phildean/PVD RLR/PVD 2/12/13 3:54 pm


Bill Number
Action Class
Action Code

*HB0074S01*
*S*
*SCRAMD*

HB0074S01
S
SCRAMD