Oil and gas tax reporting.

2017
STATE OF WYOMING
17LSO-0201
Introduced
1.2

HOUSE BILL

NO.

HB0010

Oil and gas tax reporting.

Sponsored by:
Joint Revenue Interim Committee

A BILL

for

AN ACT relating to oil and gas taxation; requiring reporting by the operator of a well or property; providing for reporting by an owner of production to the operator; and providing for an effective date.

Be It Enacted by the Legislature of the State of Wyoming:

Section 1
.

W.S. 39
‑
14
‑
207
(
a)(i) through (vi) and
by creating new
paragraphs (vii
)
and (viii)
is amended to read:

39
‑
14
‑
207
.

Compliance; collection procedures.

(a)

Returns and reports. The following shall apply:

(i)

Annually, on or before February 25 of the year following the year of production
any person

the operator of a well or property
whose crude oil, lease condensate or natural gas production is subject to W.S. 39
‑
14
‑
202(
a) shall sign under oath and submit a statement listing the information relative to the production and affairs of the company as the department may require to assess
the

all
production

from the well or property
;

(ii)

All information and reports shall be notarized and signed by a person who has legal authority to bind the
taxpayer

operator
;

(iii)

For crude oil, lease condensate or natural gas, the
taxpayer

operator
shall report the location of the production to the county and tax district in which the well or property is located, based upon the actual taxable production produced by the well or property in each county or tax district. Other reasonable methods of reporting the location of production may be approved by the department
upon written request of the
taxpayer

operator
or taxing jurisdiction;

(iv)

For
crude oil, lease condensate or natural gas, the department may presume that the production is located in the county in which production is reported by the
taxpayer

operator
pursuant to paragraph (iii) of this subsection. The department shall not direct any county to provide relief for taxes paid on taxable valuation which was erroneously reported and certified to the wrong county unless the
taxpayer

operator
files or is directed to file amended returns within two (2) years of the date of the original certification of the production. Unless there is evidence of bad faith or willful disregard of production circumstances, no
taxpayer

operator
shall be required to pay taxes on production which was erroneously reported and certified to the wrong county if relief for taxes paid is not allowed under this provision;

(v)

Except as provided in paragraph (vi) of this subsection, each
taxpayer

operator
liable for severance taxes under W.S. 39
‑
14
‑
203(
a) shall report monthly to the
department. The monthly tax reports are due on or before the twenty
‑
fifth day of the second month following the month of production. Reports shall be filed on forms prescribed by the department. The department may allow extensions for filing returns by regulation;

(vi)

If

a taxpayer's

the
liability for severance taxes
for all production from the well or property

is less than thirty thousand dollars ($30,000.00) for the preceding calendar year, monthly reporting requirements are waived and the
taxpayer

operator
shall report annually. The annual report is due on February 25 of the year following the year in which production occurred. If
a taxpayer

an operator
who reports annually accumulates an annual liability exceeding thirty thousand dollars ($30,000.00),
that taxpayer

the operator
shall commence reporting monthly as provided in paragraph (v) of this subsection during the production year following the year in which the accumulated tax liability exceeded thirty thousand dollars ($30,000.00). It is the
taxpayer's

operator's
responsibility to notify the department concerning the
change from annual to monthly reporting requirements or from monthly to annual reporting
;
.

(vii
)

The owner of any portion of the production from a well or property shall report to the operator
of the well or property
all information necessary for the operator to make the returns and reports required
under
this section. If
a
n
owner of production does not provide
the information necessary for the operator to make the returns and reports required under this section, the tax due for the portion of the production allocated to that owner shall be calculated based on the information provided in the returns and reports provided by the operator of the well or property
;

(viii)

As used in this section, "operator" means
any person responsible for the day
‑
to
‑
day operation of a mine or oil and gas property by reason of contract, lease operating agreement or ownership of an unleased producing mine or well operated by the owner thereof
.

Section
2
.

This
act is effective July 1,
201
7
.

(END)

1
HB0010