Oklahoma § 68-1010 - Information in monthly report - Reporting numbers

§ 68-1010. Information in monthly report - Reporting numbers

assigned by Tax Commission - Delinquencies - Allowance of semiannual

reports.

A. The tax provided for in Section 1001 et seq. of this title

shall be paid to the Oklahoma Tax Commission.

B. Except as otherwise provided in subsection G of this

section, every person responsible for paying or remitting the tax

levied by Section 1001 et seq. of this title on the production from

any lease shall file with the Tax Commission a monthly report on

each lease, under oath, on forms prescribed by the Tax Commission,

giving, with other information required, the following:

1. The Tax Commission assigned production unit number,

subnumber and merge number, or, with the consent of the Tax

Commission, the full description of the property by lease name,

subdivision of quarter section, section, township, and range, from

which the oil or gas was produced, or both, as may be required by

the Tax Commission;

2. The Tax Commission assigned company reporting numbers of the

producer and purchaser, or with the consent of the Tax Commission,

the company name;

3. The gross amount of asphalt, ores bearing lead, zinc, jack

or copper, oil or gas produced or purchased;

4. The kind of mineral, oil, gas, or casinghead gas produced or

purchased;

5. The total value of the mineral oil, gas, or casinghead gas,

at the time and place of production, including any and all premiums

paid for the sale thereof, at the price paid, if purchased at the

time of production;

6. If requested by the Tax Commission, the prevailing market

price of oil not sold at the time of production; and

7. The amount of royalty payable on the production from the

lease, if the royalty is claimed to be exempt from taxation by law,

and the facts on which such claim of exemption is based and such

other information pertaining to the claim as the Tax Commission may

require.

Each report required by the provisions of this section shall be

filed on separate forms as to product and county.

C. No person shall engage in the mining or production within

this state of asphalt, ores bearing lead, zinc, jack or copper, oil

or gas, prior to obtaining from the Tax Commission a Tax Commission

assigned producer reporting number and a Tax Commission assigned

production unit number, subnumber and merge number for each

producing lease. No person shall engage in the purchase of asphalt,

ores bearing lead, zinc, jack or copper, oil or gas from a producing

lease prior to obtaining from the Tax Commission a Tax Commission

assigned purchaser reporting number and the Tax Commission assigned

Oklahoma Statutes - Title 68. Revenue and Taxation

production unit number, subnumber and merge number, of the lease

from which the production is to be purchased.

1. Every producer and purchaser shall make application, upon

forms prescribed by the Tax Commission, for a Tax Commission

assigned producer or purchaser reporting number prior to producing

or purchasing production. Every producer shall obtain, by making

application upon forms prescribed by the Tax Commission, a Tax

Commission assigned production unit number, subnumber and merge

number for each lease from which lease production will be sold or

disposed before disposing of production from any lease in the state.

Provided, however, the Tax Commission shall not approve any

application for a Tax Commission assigned producer or purchaser

reporting number without proper confirmation that the applicant has

posted the requisite surety documents with the Corporation

Commission pursuant to Section 318.1 of Title 52 of the Oklahoma

Statutes.

2. Every producer or purchaser shall notify the Tax Commission

within thirty (30) days of any changes of any producing lease in the

state as may be required by the Tax Commission. Provided, the Tax

Commission may relieve producers and purchasers of their duty to

file the notification required by this paragraph if the Tax

Commission determines that the notification is not necessary.

3. Gross production tax reports from either the purchaser or

producer shall become due on the first day of each calendar month on

all products subject to the tax levied by Section 1001 et seq. of

this title produced in and saved during the preceding monthly

period. If such reports are not received by the Tax Commission on

or before the twenty-fifth day of the second calendar month

following the month of production, the reports shall become

delinquent. Any requested or required amended report or any

requested information submitted in response to written demand for

information which is not received by the Tax Commission on or before

thirty (30) days after the mailing of the request or demand by the

Tax Commission or any of its employees shall be delinquent.

D. Every person required to file such forms or reports or who

has been requested to file an amended report to provide information

by written demand, or who has purchased oil or gas from a lease

prior to being authorized by the Tax Commission to purchase

production from such lease, will be subject to and may be assessed

the following penalties for each delinquency:

1. Five Dollars ($5.00) per day for each Tax Commission

assigned production unit number or subnumber or merge number or

product code, upon which a form, report, amended report, or for

which requested information in response to written demand is

delinquent and for each day from the date a purchaser buys

production from a lease from which it is not authorized to purchase

to the date the Tax Commission approves the purchaser to buy from

Oklahoma Statutes - Title 68. Revenue and Taxation

such lease; provided, such penalty shall not be assessed for an

amount in excess of One Thousand Five Hundred Dollars ($1,500.00).

The penalties may be waived by the Tax Commission or its designee

for good cause shown; and

2. If within twelve (12) months after a previous assessment of

penalties as provided for by this section a subsequent delinquency

occurs, penalties may be assessed at the rate of Ten Dollars

($10.00) per day for each Tax Commission assigned production unit

number or subnumber or merge number, or product code; provided such

penalty shall not be assessed for an amount in excess of One

Thousand Five Hundred Dollars ($1,500.00). The penalty thereon may

be waived, in whole or in part, by the Tax Commission, for good

cause shown.

The penalties prescribed herein shall be in addition to other

penalties assessable by the Tax Commission pursuant to the laws of

this state. The penalties prescribed by this section may be

collected and shall be apportioned to the General Revenue Fund.

E. Gross production tax forms reports, amended reports, or

requested information in response to written demands which are

received by the Tax Commission on or after the time fixed for

delinquency, but which were mailed prior to the time fixed for

delinquency, shall be deemed to have been received by the Tax

Commission before becoming delinquent. Postmark or registry or

certified receipt showing deposit in the U.S. mails shall be

conclusive evidence of the date of mailing. Provided all

remittances due under such reports or amended reports must be

received by the Tax Commission on or before the date specified by

law regardless of when mailed.

F. In the event a person required to remit the tax levied by

the provisions of Section 1001 et seq. of this title becomes

delinquent in reporting or remitting the tax, or upon a

determination by the Tax Commission that the state may lose tax

revenues due to the difficulty of collecting same, the Tax

Commission may require any person required to remit the tax to

furnish a sufficient cash deposit, bond, or other security in an

amount as will protect the tax revenues of this state.

G. In lieu of monthly reporting, a royalty owner taking gas in

kind for the royalty owner's own consumption who is responsible for

remitting the tax levied by Section 1001 et seq. of this title may

file semiannual reports and remit taxes due thereunder to the Tax

Commission on or before the first day of January and July of each

year for the preceding six-month period. If not received on or

before the last day of such month, the report and tax shall be

delinquent.

Added by Laws 1963, c. 365, § 2, emerg. eff. June 22, 1963.

Renumbered from § 10-1010 of this title by Laws 1965, c. 215, § 2.

Amended by Laws 1965, c. 346, § 2; Laws 1968, c. 341, § 3, emerg.

Oklahoma Statutes - Title 68. Revenue and Taxation

eff. May 9, 1968; Laws 1979, c. 88, § 3, emerg. eff. April 24, 1979;

Laws 1980, c. 129, § 2, emerg. eff. April 14, 1980; Laws 1983, c.

13, § 4, emerg. eff. March 23, 1983; Laws 1983, c. 275, § 7, emerg.

eff. June 24, 1983; Laws 1989, c. 28, § 1, eff. July 1, 1989; Laws

1989, c. 249, § 20, eff. July 1, 1989; Laws 1990, c. 339, § 4,

emerg. eff. May 31, 1990; Laws 1992, c. 30, § 8, emerg. eff. March

31, 1992; Laws 1994, c. 278, § 12, eff. Sept. 1, 1994; Laws 2001, c.

358, § 13, eff. July 1, 2001; Laws 2004, c. 444, § 3, eff. Nov. 1,

2004; Laws 2013, c. 277, § 1, eff. Nov. 1, 2013.

§68-1010a. One-time payment of gross production tax - Reduction of

bond - Delinquency - Reduction of amount of tax due on final return.

A. On or before November 25, 2004, all persons who have

received a gross production tax purchaser reporting number or have

otherwise been approved to remit gross production taxes, shall remit

a one-time payment of gross production tax in an amount equal to the

lesser of the average monthly remittance due from the tax remitter

for the period from September 1, 2003, through August 31, 2004, or

the average monthly remittance for the period from March 1, 2004,

through August 31, 2004. Provided, a tax remitter may apply to the

Oklahoma Tax Commission to reduce its remittance because the average

monthly remittance computed under this paragraph is not reflective

of the current volumes of production reported by the tax remitter.

The application to remit a lesser amount must be filed with the Tax

Commission on or before October 1, 2004. The decision of the Tax

Commission on the application shall be final and no right of appeal

to any court may be taken from such decision.

B. The Tax Commission shall reduce the amount of the bond

required by the Tax Commission by the amount of the one-time

payment. If the bond posted is equal to or less than the amount of

the payment, the tax remitter shall be relieved from the bond

requirement, upon request. The tax remitter shall neither deduct

nor otherwise collect all or any portion of the one-time payment

from any person or entity entitled to the proceeds of production

from an oil or gas lease in the State of Oklahoma.

C. If the tax is not paid on or before November 25, 2004, the

tax shall become delinquent and shall be collected in the manner

provided by law for the collection of delinquent gross production

taxes.

D. The amount of tax due on the final return of a tax remitter

shall be reduced by the amount of the payment made pursuant to this

section. If the amount due is less than the amount of the payment

required by this section, the Tax Commission shall refund the

balance of the payment to the tax remitter.

Added by Laws 2004, c. 444, § 4, eff. Sept. 1, 2004.