Tax Warrants
Tax Warrants For Unpaid County Taxes For Oil And Gas Companies
To schedule a free consultation, please call (303) 463-8799 or fill out our contact form.
As part of our back office admin and accounting services for oil and gas operators, we identify and clear tax warrants as part of our division order services.
What Is A Tax Warrant For Unpaid Ad Valorem Taxes
A tax warrant is a legal claim that is issued by a county taxing authority against a mineral owner or operator for unpaid county taxes that are assessed on oil and gas interests.
Tax warrants are based on the appraised value of producing oil and gas properties, including the wells, leasehold interests, and related equipment.
What Does A Tax Warrant Do
When the taxes are not paid by the due date, the taxing authority can file a tax warrant in the county records. The warrant functions as a lien against the owner’s interest, and the warrant typically accrues penalties and interest until it is paid in full.
What Are Consequences Of Tax Warrants
If a tax warrant is not paid, it can impair the title to the property, delay transactions, and restrict the distribution of revenue. In extreme cases, a tax warrant can even lead to the foreclosure or seizure of the property.
How Do Tax Warrants Impact Division Orders
Outstanding tax liabilities can adversely impact the property and affect current and subsequent owners, which is why Identifying and clearing tax warrants is a critical part of our title services and division order services.
Processing And Paying Tax Warrants
When we receive a tax warrant, we locate the owner and property and book the warrant and any penalties and interest that are assessed against the property. As funds are collected (or when all of the funds have been collected in full), we pay the tax warrant.
If they are not resolved, tax warrants can cloud the title on the oil and gas property, delay revenue distribution, potentially block the sale or transfer of the property, and create regulatory and contractual exposure.
ExTex: Expertise And Experience
At ExTex, we routinely process and pay off tax warrants on oil and gas properties, as part of our tax accounting and division order services.
Our dedicated team of professionals have the experience and expertise to track deadlines, penalties and interest for tax warrants, as well as place revenue in suspension until the warrant is cleared.
We are SOC compliant, we have a deep understanding of the oil and gas industry, and we provide seamless outsourced back office support for oil and gas purchasers and operators of all sizes.
For more information about tax warrants on unpaid ad valorem taxes, or to schedule a free consultation, call (303) 463-8799 or fill out our contact form.
Please note: In addition to tax warrants, we also handle tax levies for unpaid taxes.
ExTex Division Order Services, LLC is located in the Denver metro area (in Golden, Colorado), and we provide back office outsourcing services for oil and gas companies across the U.S. and Canada.
_______________________________________________________________________
“The outcome of switching to ExTex was better customer service and lower costs for the company.”
Bill C, VP of Marketing, Oklahoma
_______________________________________________________________________