Section 78

(1) Sections 78 to 88 of this Act and the provisions of chapter two of Income tax
this Act shall apply to any company, concessionaire, licensee, lessee, contractor on petroleum
operations
or subcontractor involved in the upstream, midstream or downstream petroleum
operations under the Petroleum Industry Act – Act No. 6,
2021
(2) For the purpose of determining the value of chargeable crude oil or
chargeable gas, in relation to any accounting period, the crude oil and gas
revenue of a company for that period shall be the value of any chargeable oil
or chargeable gas adjusted to the measurement points, based on the –
(a) proceeds of all chargeable oil or gas sold by the company; and
(b) value of all chargeable oil or gas disposed by the company.
(3) In determining the income tax under Chapter Two of this Act –
(a) hydrocarbon tax is not deductible; and
(b) income chargeable to tax includes –
(i) all income of that period incidental to and arising from any one or
more of its petroleum operations, and
(ii) gains arising from the disposal of assets accruing to the company
in any accounting period, ascertained in accordance with the relevant
provisions of Part VIII of Chapter two of this Act.
A 440 2025 No. 7 Nigeria Tax Act, 2025