(1)Every operator of, or if there
is no operator, every person owning any oil or gas leasehold or lands within this
state, either as a single lease or as a unit, that are producing or are capable of
producing oil or gas on the assessment date of any year, shall, no later than the
fifteenth day of April of each year, prepare, sign under the penalty of perjury in the
second degree, and file in person or by mail with the assessor of the county in which
the wellhead producing the oil and gas leaseholds or lands is located a statement
for the lease or unit. For purposes of this article, irrespective of the physical
location of the producing leaseholds or lands, the point of taxation is the same as
the point of valuation, which is the wellhead. The statement must be made on a
form pre
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(1) Every operator of, or if there
is no operator, every person owning any oil or gas leasehold or lands within this
state, either as a single lease or as a unit, that are producing or are capable of
producing oil or gas on the assessment date of any year, shall, no later than the
fifteenth day of April of each year, prepare, sign under the penalty of perjury in the
second degree, and file in person or by mail with the assessor of the county in which
the wellhead producing the oil and gas leaseholds or lands is located a statement
for the lease or unit. For purposes of this article, irrespective of the physical
location of the producing leaseholds or lands, the point of taxation is the same as
the point of valuation, which is the wellhead. The statement must be made on a
form prescribed by the administrator, showing:
(a) The wellhead location thereof and the name thereof, if there is a name;
(b) The name, address, and fractional interest of the operator thereof;
(c) The number of barrels of oil, or the quantity of gas measured in
thousands of cubic feet, sold or transported from the wellhead during the calendar
year immediately preceding, after separately reporting the number of barrels of oil,
or the quantity of gas measured in thousands of cubic feet, delivered to the United
States government or any agency thereof, the state of Colorado or any agency or
political subdivision thereof, or any Indian tribe as royalty during the calendar year
immediately preceding;
(d) The selling price at the wellhead. As used in this article, selling price at
the wellhead means the net taxable revenues realized by the taxpayer for sale of
the oil or gas, whether such sale occurs at the wellhead or after gathering,
transportation, manufacturing, and processing of the product. The net taxable
revenues shall be equal to the gross lease revenues, minus deductions for
gathering, transportation, manufacturing, and processing costs borne by the
taxpayer pursuant to guidelines established by the administrator.
(e) The name, address, and fractional interest of each interest owner taking
production in kind and the proportionate share of total unit revenue attributable to
each interest owner who is taking production in kind;
(f) A declaration made under the penalty of perjury in the second degree that
includes the following:
(I) A statement that the owner or operator has personally examined the
statement described in this section and that such statement sets forth, to the best
of the owner's or operator's knowledge and belief, the information required by this
section; and
(II) A statement by the owner or operator as follows:
No representations are made as to the accuracy of the value of any portion of the
production from subject property that is taken in kind by any owner other than the
undersigned.
(1.5) Any nonoperating interest owner in an oil or gas well may, on or before
the fifteenth day of March each year, submit to the operator by certified mail a
report of the actual net taxable revenues received at the wellhead and the actual
exempt revenues received at the wellhead by such owner for production taken in
kind from the property during the calendar year immediately preceding. Operators
shall use the information reported pursuant to this subsection (1.5) to determine the
selling price at the wellhead. If any nonoperating interest owner fails to provide to
the unit operator the information required under this subsection (1.5) by March 15 of
each year, such operator shall use the selling price at the wellhead received by
such operator for such operator's share of production from such unit in place of
such nonreported information, and the amount of tax for which such nonreporting,
nonoperating interest owner is liable shall be calculated based on the selling price
at the wellhead reported by the operator.
(2) (a) If a statement of an owner or operator is not received or postmarked
on or before the fifteenth day of April of each year, the assessor may impose on
such owner or operator a late filing penalty in the amount of one hundred dollars
for each calendar day the statement is delinquent; except that such late filing
penalty shall not exceed three thousand dollars in any calendar year. The assessor
may grant an extension of time for filing a statement to any operator or owner. Any
extension, and its length, shall be granted solely at the discretion of the assessor.
(b) This subsection (2) is effective January 1, 1997.
(3) (a) The assessor may require the owner or operator to submit written
documentation supporting the information provided in the statement. Such
documentation shall be supplied within thirty days after either the date of the
postmark on the assessor's written request for such documentation or the date that
an owner or operator is required to file a statement pursuant to subsection (1) of
this section, whichever is later. Any owner or operator who willfully fails or refuses
to comply with the assessor's request for written documentation may be assessed a
fine of one hundred dollars for each day of such willful failure or refusal. The total
amount of all fines that may be assessed by an assessor against an owner or
operator in any calendar year shall not exceed three thousand dollars, regardless of
the number of leases or units owned or operated by such owner or operator or the
number and length of such willful failures or refusals by such owner or operator.
(b) This subsection (3) is effective January 1, 1997.
(4) All statements and documentation filed with the assessor shall be
considered private documents and shall be available on a confidential basis only to
the assessor, the administrator, the annual study contractor hired pursuant to
section 39-1-104, the executive director of the department of revenue, the county
treasurer, and their employees. Such statements and documentation shall be
available on a confidential basis to the board of assessment appeals and the county
board of equalization when information in such statements and documentation is
pertinent to an appeal or protest.
(5) (a) Fines imposed pursuant to this section shall be fees of the office of
the county assessor. Any unpaid fines imposed pursuant to this section shall be
certified to the county treasurer by January 1 of each year and shall be included in
the delinquent owner's or operator's property tax statement issued pursuant to
section 39-10-103.
(b) This subsection (5) is effective January 1, 1997.