Escheatment (unclaimed property) compliance can seem like a daunting challenge for operators, family offices and others in the Oil & Gas industry. There are no shortcuts, and understanding how the requirements apply to you is the most important step to ensure you are operating within reporting guidelines. PetroLedger Financial Services has decades of experience with regulatory filing and escheatment law. Let us guide you on the track to full compliance.
Mineral interests, royalty payments and land leases can be complicated by a simple change of address and by the more complex issues of bankruptcy, title issues, and improperly documented property conveyance notices. Whatever the reasons, if you are holding unpaid revenue must be handed over to the proper state’s Unclaimed Property Division.
Unclaimed property compliance for oil and gas companies can be an especially complex process due to various industry-specific nuances. Exclusive property types, such as mineral interest proceeds and royalty payments, title disputes, and resource-intensive state requirements, all contribute to the uniqueness of the industry and its unclaimed property challenges. To complicate it further, every state has different regulations regarding the allowable dormancy period, triggering balance, and “current balance” application.
All states share a very serious attitude to unclaimed property, and these audits are quite common in the Oil & Gas industry. Penalties for noncompliance rarely equal the actual unclaimed value. States will extrapolate for themselves what amount they feel is due them.
Our Unclaimed Property professionals have decades of experience handling Oil & Gas escheatment needs. We can analyze your books for unpaid revenue that meets the relevant state’s escheatment laws, ensuring your finances stand up to audit. Additionally, we can discover which state(s) have a valid claim to these funds. We'll walk you through the current (and ever-changing) guidelines for submitting this revenue to the state. We will work with you to ensure you are filing the proper escheatment documentation to mitigate inadvertent noncompliance.
Whether you are needing consulting, regulatory filing, or full-service bookkeeping, PetroLedger can seamlessly integrate with your current back office. This allows you to play to your strengths while making sure the paperwork is getting done.
The maxim, “You don’t know what you don’t know” is very applicable to escheatment law. Ask our team how to be sure you are safeguarding your operation from the fallout of noncompliance.
The journey from old to new oil and gas software can be an arduous one. On top of the complications that can arise during the data conversion process, many companies come to realize post-conversion that their new software may not be as good of a fit as they believed. But data conversions are costly, time-consuming projects; you really want to get these right the first time. With over 25 years of experience migrating client data, we’ll be there to help you make the decision that’s best for your business, whether your data comes from industry-standard applications, QuickBooks, legacy software, or any other unsupported systems. Our scoping process is thorough, and we’ll recommend the application we think is the best for you after some conversation about your needs. But before you decide to pull the trigger on a data conversion, here are three important questions your company should consider.
Nothing is scarier during Halloween season than knowing your 1099 filing deadlines are creeping closer. We know how much of an enormous headache the 1099 filing process is— that’s why it’s one of our most-requested services we offer to our clients. But there’s no need to stress this year: here is how outsourcing your 1099 processing can help you relax this season.
An inaccurate division order can spell a lot of trouble for all parties involved. Mispayments are not always detected expeditiously, and they can often create practical and legal challenges if they are not resolved quickly. However, the unfortunate reality for operators is that, without thorough oversight, inaccuracies are inevitable, especially when you factor in varying division order laws from state to state. These mispayments are usually caused by simple human error: miscalculations, typos, system errors, ownership analysis errors, and so on.
Our vision at PetroLedger is to be the partner of choice within the oil and gas industry for outsourced accounting and transaction services by employing the best-in-class people and processes across multiple technology platforms. Our most experienced and versatile staff resides in our Professional Services department. If you ask any of our staff, they will say it’s very rewarding to see the before and after version of their books. The PetroLedger team is a set of superheroes that transform and correct your data to better serve your organization.