Section 42: Special Tax Deductions for Mineral Oil Businesses Under Government Agreements, Covering Exploration and Production Costs

Section 42 provides special provisions for deductions related to businesses involved in prospecting, extraction, or production of mineral oil, including petroleum and natural gas, under agreements with the central government. It allows additional allowances beyond standard tax provisions for expenses such as infructuous exploration prior to commercial production, costs related to drilling and exploration activities, and depletion of mineral oil in the mining area. These deductions are contingent upon their specification in the agreement and must be calculated as per the agreement's terms.

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