Scott, I'm pretty sure that the consequences of not allowing a deduction for IDC is that the IDC costs would then be considered additional costs related to the well, to be added to the tangible costs of the well.  The tangible costs of the well have never been deductible, but rather have to be capitalized and depreciated over a 7 yr. period.  Due to a special tax law change passed a few years ago, for any assets placed in service before 1/1/23 you get to take a deduction for 100% of the cost of that asset in the year it was placed in service (in effect giving you the same benefit that you would get if you got to take a deduction for IDCs).

 

The above is why I was surprised to see such a high figure for additional tax collections from repealing the IDC deduction.  At worst its just a timing issue.