Deductions from oil royalty payments


#1

I’m going over payment stubs and noticed deductions for these 3 things:

  1. Oklahoma Excise Tax, 2) Oklahoma Energy Resources Revolving Fund, and 3) Oklahoma Production Tax. My lease says no deductions with some examples but I’m assuming these 3 are not covered by our “no deductions clause” and are appropriate. Am I correct?

#2

Correct. Those are state taxes, not Post Production Costs.