Since 2001 Petroleum Accounting Consultants has worked with over 100 oil and gas operators and has recovered over $42 million in severance tax and sales tax refunds. We perform our tax review engagements on a contingency fee basis so we don’t get paid until our clients receive their refunds.
The vast majority of oil and gas companies don’t have the expertise on staff to keep up with the every changing severance tax laws. Oil and gas companies typically staff their tax departments based on compliance needs which keeps headcount low this does not leave manpower to explore tax savings opportunities.
States purposefully make severance tax incentives very complicated in order to encourage companies to not want to take the time to learn the rules and complete the necessary forms. To complicate matters further many of the severance tax refunds require an understanding of oil and gas engineering and as well as tax law knowledge. Our tax consultants have a detailed understanding of the severance tax and sales tax laws and can maximize your company’s refund.
A common concern we hear from our clients is how much of their staff’s time will be required; with over 12 years of experience Petroleum Accounting Consultants can get your refunds filed with less than an hour of your company’s time required. During a typical severance tax engagement our consultants do filed work at the oil and gas operator’s office. During the field work process our consultants would just need access to the daily reports or morning reports. Our consultants will review the reports and scan the applicable documents. On average for every 100 wells a company would operate our consultants would spend a day in your office doing field work. Once the field work is completed our consultants will use the scanned documents and other publically available information to prepare the various tax refund forms. Once the tax refund applications have been completed our consultants will submit the forms to the various state regulatory agencies. Petroleum Accounting Consultants will then respond to any questions the regulatory agencies have while reviewing the forms and we will track the filings through each of the agencies. Typically it can take the better part of year for the tax agencies to pay the refund claim. Since Petroleum Accounting Consultants works on a contingency fee basis we will continually work with the state agencies to make sure the refunds are processed as timely as possible.
Contact us today to find out how Petroleum Accounting Consultants can help bring revenue straight to your company’s bottom line by performing a severance tax or sales tax audit.