Just started to receive payments on a new well in Grady and I haven’t seen some of these Tax Deductions before?. They are deducting for 1) Conservation 2) Environment 3) Exise 4) Severance and 5) OKLA.withholding… I have only seen OKLA withholding and Excise Production or Severance before.
Are some of these new for new wells?
O, yes;;and they are deducting for Transportation,Production and Compression even though the lease excludes it ( no however’s in my No Deduct clause) ( Getting ready to get that cleared-up also )
I too have just encountered the conservation and environmental deductions. They are not a tax but they are a “voluntary” assessment for Okla Energy Resources Board and for Saving Okla Energy Resources group. Discussions with OERB and Okla Tax Commission resulted in limited answers as to the mechanism by which these assessments function and are documented. And guidelines state the assessments can be refunded upon request. But will be interested in more response/insight from someone with greater understanding of these deductions.