W.S. § 39-13-113 — 39-13-113

Monthly payment of ad valorem tax on gross
product of mineral production.
(a) Commencing with mineral and mine production on January
1, 2020, this section shall govern the payment of all ad valorem
taxes on the value of the gross product of minerals and mine
products, hereafter referred to as the "ad valorem tax on
mineral production". Any provisions of this title related to the
ad valorem tax on mineral production that do not conform to the
processes and procedures set forth in this section are
superseded by this section to the extent the procedures conflict
with this section.
(b) Except as provided in this section, all mineral and
mine producers in the state shall report ad valorem mineral
production to the department on or before the twenty-fifth day
of the second month following the month of production and shall
pay the ad valorem tax on mineral production for each county on
a monthly basis as indicated on an invoice sent by the
department. The department shall invoice each producer on or
before the tenth day of the month following the report. Payments
shall be due and payable to the department on or before the
twenty-fifth day of the third month following the month of
production. Payments under this subsection shall not be less
than the amount calculated by the department by applying the
mill levy rate established by the county in the immediately
preceding year to the value of the gross product of minerals and
mine products produced each month. Annually, on or before
September 20, the county treasurer shall send a written
statement to each taxpayer by mail at his last known address or,
if offered by the county and upon request of the taxpayer, by
electronic transmission, of any tax due or overpayment received
after applying the amount the county has received from that
taxpayer through monthly payments under this section by
reconciling those payments with the applicable mill levy rate
for that production year, itemized as to property description,
assessed value and applicable mill levies. Failure to send
notice, or to demand payment of taxes, does not invalidate any
taxes due. The taxpayer shall reconcile the amount indicated on
the notice as follows:
(i) If the statement provided by the county indicates
additional taxes are due, the taxpayer shall pay the additional
amount due not later than December 20 of that year;
(ii) If the statement by the county indicates that
the monthly payments resulted in an overpayment of the taxes,
the county treasurer shall refund taxes that were overpaid under
this section by December 20 of that year. The taxpayer may elect
to have the county treasurer retain any overpayment amount and
apply that amount towards other ad valorem taxes due.
(c) Collection and distribution. Monthly and annual
payments of the ad valorem tax on mineral production shall be
collected by the department on behalf of each county. The
department shall properly account for the payments received and
distribute the payments monthly to the county treasurer. Upon
distribution of funds to counties under this subsection the
amount shall be proportionally distributed by the county
treasurer to each taxing entity within the county as provided in
W.S. 39-13-111.
(d) If a taxpayer's liability for severance tax as imposed
under chapter 14 of this title is less than thirty thousand
dollars ($30,000.00) for the preceding calendar year, the
monthly payment requirements for the ad valorem tax on mineral
production under this chapter are waived and the taxpayer shall
report to the department on or before the twenty-fifth day of
February of the year following the production year and shall pay
the ad valorem tax on mineral production annually as indicated
on an invoice sent by the department. The department shall
invoice each producer on or before the tenth day of the month
following the report. The payment shall be due and payable on
March 25 of the year following the year of production. Annual
payments shall be calculated by the department by applying the
mill levy rate established by the county commissioners in the
production year to the value of the gross product of minerals
and mine products produced in the applicable year. Annual
payments made under this subsection shall be paid to the
department and deposited with the applicable county treasurer as
provided in subsection (c) of this section and reconciled as
provided in subsection (b) of this section.
(e) Failure to make payments at the time they are due and
payable under this section shall subject the taxpayer to the
enforcement provisions of W.S. 30-5-104(d)(x) and 39-13-108 and
shall also be subject to enforcement as follows:
(i) If the report and payment of tax required under
this section is not provided, the department shall value the
property from the best information available to determine the
fair market value of the property;
(ii) If a taxpayer producing valuable deposits fails
to pay the taxes when due, the department shall file a notice of
lien on behalf of the applicable county pursuant to W.S. 39-13-
108(d)(vi);
(iii) Taxes due together with interest, penalties and
costs shall be collectible by the department or county by
appropriate judicial proceedings.
(f) Notwithstanding subsection (a) of this section or any
other provision of law, upon receiving an application from a
taxpayer a county may enter into an agreement with the taxpayer
to accept payments for the ad valorem tax on mineral production
under the processes and procedures in place prior to the
effective date of this section, subject to the following:
(i) Prior to entering into any agreement under this
subsection, the county shall:
(A) Establish uniform eligibility criteria and
an application process;
(B) Conduct at least one (1) public meeting
related to the proposed agreement. The county shall notify all
taxing authorities that receive any taxes that may be impacted
by the agreement of the meeting at least fourteen (14) days
prior to the meeting.
(ii) Upon entering into any agreement under this
subsection, the county shall notify the department;
(iii) Upon receipt of notice from a county under this
subsection, the department shall exempt the taxpayer from the
provisions of this section and the taxpayer shall be subject to
all processes, procedures and requirements in place prior to the
effective date of this section;
(iv) No taxpayer shall be eligible for an agreement
under this subsection for mineral production from any property
acquired on or after the effective date of this section.
(g) Notwithstanding subsection (a) of this section and
except as otherwise provided in subsections (d) and (f) of this
section, estimated monthly ad valorem tax payments shall first
be due under this section beginning with production on January
1, 2022. The ad valorem tax on mineral production from calendar
years 2020 and 2021 shall be paid as provided in this
subsection. Fifty percent (50%) of taxes due for production from
calendar year 2020 shall be due on and after September 1, 2021
and payable to the counties on and after November 10, 2021. The
remaining fifty percent (50%) of the taxes due for production
from calendar year 2020, unless the entire tax due for
production from calendar year 2020 is paid by December 31, 2021,
and all taxes due from production in calendar year 2021 shall be
paid through deferred payments as provided in this subsection.
The total amount of deferred taxes due under this subsection
shall be calculated by the department and the applicable
counties. The taxpayer shall make an additional payment for
deferred taxes under this subsection on December 1 of each year
beginning in 2023 equal to eight percent (8%) of the total
amount calculated under this subsection until the total amount
has been paid. Each county shall track payments due under this
subsection and shall send an invoice to each taxpayer not later
than October 1 of each year beginning in 2023 of the deferred
payment due under this subsection for that year. Timely deferred
payments made in accordance with this subsection shall not be
subject to penalties or interest. The following shall apply to
deferred payments under this subsection:
(i) If a taxpayer fails to make one (1) deferred
payment by December 1 of the year the payment is due under this
subsection, all applicable penalties and interest shall be
calculated from the date of the missed payment;
(ii) If a taxpayer fails to make a second deferred
payment under this subsection, the total remaining amount of
deferred taxes due under this subsection shall be immediately
due and payable with penalties and interest calculated from the
date of the second missed payment;
(iii) If a taxpayer subject to deferred payments
under this subsection sells, divests or liquidates its producing
mineral assets in a county or counties such that the taxpayer is
no longer required to file a monthly severance tax report with
the department pursuant to chapter 14 of this title, the total
remaining amount of deferred taxes due under this subsection for
that county or counties shall be due and payable to the
applicable county treasurer on or before the twenty-fifth day of
the third month following the month the taxpayer sold, divested,
or liquidated its producing mineral assets. If a taxpayer fails
to make a deferred payment under this paragraph, all applicable
penalties and interest shall be calculated from the date of the
missed payment;
(iv) Nothing in this subsection shall prohibit a
taxpayer from voluntarily remitting to the counties any
remaining portion of nondelinquent deferred taxes without
penalty.