Quick backgrounds: I signed an oil and gas lease late 2010 and have been getting royalties for about the last 20 months. Every document that I have seen states that the well site is in LaSalle County. However, I just received a (modest) tax bill from Frio County for the first time. How can this be?
Wayne,
The same exact thing happened to me (but probably for different wells). Talked to the Tax Assessors for Frio County and was forwarded to the firm, Pritchard and Abbott who handles their appraisals. Apparently, Dilley School District extends into La Salle County, and that is what you are being assessed for. A portion of the taxes are assessed to the Cotulla ISD and a portion to Dilley ISD, but I pay (basically) no more taxes than I would if the property was 100% in Cotulla or 100% in Dilley. On one well it was assessed 60% Cotulla, 40% Dilley and on another it was 70% Cotulla, 30% Dilley. You can call Pritchard & Abbott and get them to explain it to you, but it ended up being all correct on mine. P & A's number is 832-243-9600. My Assessor was Toni Cuellar at ext. 119, but yours might be different.
Hope this helps!
Even though your minerals may exist in one county, a school district (or other tax jurisdiction) may contract with a different county to collect their taxes for them. Very common here in Texas from my experience.
It gets confusing because you get a value notice from the county your minerals are in, and then end up with tax bills from two or more taxing entities or counties.
Kitchen is exactly right. In our case, La Salle Co. handles the Appraisements and Value Notices, but Frio Co. still gets a piece of the pie as well as the Water District, etc.
Thanks for the help.