Replies to This Discussion

Permalink Reply by MonBel O & G Landowner Watchman on July 24, 2011 at 12:24am

Leasing, surface and royalty activities are all taxed differently and an experienced professional in "recent O & G experience in nearby WV is recommended. I have already provided experienced tax and investing professional programs  to our landowners here in advance of the contract/ leasing process. You can call me if you like and I will  provide the name/number of the tax consultant I recommend who has recently handled many millions of dollars for leasing recipients in WV. She is educated, with nearly forty years in business and taxation, as well as soon to be a fifty year member of the 4H program, farming community and many other interests. Her consultations are free and her company backs their work 100%. Regardless of all the different ways you can save in leasing, one thing for certain is the distribution in at least two checks with the second dated for Jan 1 of the year following your payment. If you plan to provide some of the funds to your children or grandchildren, it is suggested to have those checks made directly to them and likewise, that dispersement may be spread into two or more years, depending on what you arrange with the buyer or lessee. Feel free to give me a call and I will provide the name and number or you can send an email to my business address you now have. Some place on the Marcellus site you may also find some information about placing funds in trusts or estates, but I do not remember exactly where or when that information was a topic of interest during the past year. If you email or call me, remember to ask me about something I saw a major oil company do in 2008 which may be relative and  very important to your specific situation. That incident just came to mind and ironically, it is a piece of information I found in the Monroe County Court House. It could eliminate all of your tax issues.

Permalink Reply by Thomas Hall on August 1, 2011 at 7:10pm

Excellent question! I've been wondering about this myself.

 

Permalink Reply by louis fazekas on August 12, 2011 at 7:29pm

The lease I received says the oil company will pay the taxes.  That is my preference.