Unclaimed Mineral Tax Question

General Mineral Rights Discussion
1

Is there a point in searching for mineral interest that your grandparents or great-grandparents may have owned?

From what I understand, unclaimed royalties sit in suspense for 3-10 years before being turned over to the state as unclaimed property. These are searchable via the national and state unclaimed property websites.

But, wouldn’t the county sell the mineral interest itself if no one paid property taxes on them?

Along these same lines, what if the descendants of someone who owns producing mineral interest don’t file the affidavit of heirship and other documents to have the mineral interest transferred to their names? Does this eventually get sold in a tax sale because no one paid the property taxes?

2

Your question would depend upon which state as the rules differ on the timing. I found quite a bit of revenue hunting the various states for lost royalties and getting the properties back in the proper name. Each family’s situation might differ. In some states, the minerals revert back to the original owners family or heirs if not claimed.

3

Thanks. I’m primarily thinking of Texas and maybe Kansas.