What are the concerns?
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 complicated 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 and intricacies. 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, and states will extrapolate for themselves what amount they feel is due them.
How can PetroLedger help you?
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. We can discover which state(s) have a valid claim to these funds and 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 Financial Services can seamlessly integrate with your current back office, letting you 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.