Law360 Quotes Jon Iversen on Impact of Proposed $1.1 Billion Increase in Alaska’s Oil Production Tax

Tax partner Jon Iversen was quoted in Law360 in an article titled “5 Tax Ballot Measures To Watch On Election Day,” published October 23. (Subscription required.) The article outlines four high-stakes tax measures on the November 3 ballot in California, Illinois, Oregon and Alaska and notes that Arizona, Montana, New Jersey and South Dakota will vote on whether to legalize and tax recreational marijuana.

If Alaska Ballot Measure 1 passes, it would potentially increase state tax revenue from the oil industry by more than $1.1 billion through increased oil production taxes. The measure would levy new taxes on three high-producing North Slope oil fields that produce most of Alaska's oil, and according to Iversen, they could also be imposed on existing fields under certain conditions or on fields discovered in the future.

“If there are big discoveries — and there very well may be over time — of solid-producing fields, or ramp-ups in other fields, those may get tagged with this as well,” he said.

Jon Iversen has written extensively about Alaska tax issues for State Tax Notes. Links to his most recent columns can be found at Alaska’s Perfect Storm, Alaska: Preparing for a Tumultuous Year and Alaska Taxpayers Feel the Heat.