Glenn Hegar
Texas Comptroller of Public Accounts
Glenn Hegar
Texas Comptroller of Public Accounts
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Glenn Hegar
Texas Comptroller of Public Accounts
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Crude Oil Form Instructions
PRODUCER SPECIAL

This page includes instructions for completing:

Who Must File

Crude oil producers, operators, or non-operating working interest owners who normally are not required to file and pay taxes for production after the oil is produced and measured must file this report when they determined that the production was not reported and taxes were not paid for specific production months and leases. Examples for filing this report for one month or a few months are:

  • when crude oil production must be reported and taxes paid for oil that was used, stolen, otherwise unaccounted; or
  • when a producer or non-operating working interest owner is in agreement with a purchaser by which the producer or non-operating working interest owner chooses to report and pay taxes for specific leases and production periods. Failure to file this report and pay taxes may result in collection actions.

All crude oil extracted from the earth is taxable. As shown below, report the different types of disposition volumes of crude oil in the field titled, “Gross Barrels” (Item 15 of the Producer Lease Detail Supplement Report) and pay the tax due based on the reported volume.

  • For crude oil sold, report the volume of the purchaser’s gross take, which includes temperature corrections less the volume of basic sediment and water.
  • For crude oil produced and not sold in the same month, report the volume of unsold crude oil based on the price of oil applicable for that month.
  • Report the volume of crude oil used, lost, stolen, or otherwise unaccounted for after the oil is produced and measured.

Producers previously granted permission by the Comptroller’s office to file this report but are no longer active, blacken the box labeled “FINAL REPORT” and enter the inactive date.

When To File

File this report on or before the 25th day of each month. This report must include volumes and values of crude oil sold, or crude oil that was used, stolen, or otherwise unaccounted from the previous production month. If the due date of a report period falls on a Saturday, Sunday or legal holiday, the next business day is the due date.

Example: Crude oil produced during the month of July must be reported by August 25th.

General Information
  • Do not report corrections to previous report periods on this report. You must use the “Amended Crude Oil Tax – Producer Special Report” (Form 10-174) to correct previously reported data or to report items omitted from your original producer special report.
  • Round all barrels in each reported item to the next whole number.
  • Two decimals are required on all dollar values. Enter dollars and cents.
  • Provide your 11-digit taxpayer number when corresponding with our office.

Texas Crude Oil Tax – Producer Special Report
Form 10-164

File this report with Form 10-165, Texas Crude Oil Tax – Producer Special Lease Detail Supplement

View Instructions
Crude Oil Tax – Producer Special Report (Form 10-164)
Form Field Instructions
Item 1
  • Enter the sum of all taxable barrels reported in Item 17 from all the Producer Special Lease Detail Supplement(s), Form 10-165.
  • Enter as whole barrels.
Item 2
  • Enter the sum of all net taxable values reported in Item 21 from the Producer Special Lease Detail Supplement(s), Form 10-165. Do not include values for Exempt Types “05” and “14.”
  • Enter dollars and cents.
Item 3 Enter the “Regulatory fee assessment.”
  • For report periods beginning with the September 2015 period and later, multiply the “Total taxable barrels” reported in Item 1 by the Regulatory Oil Field Clean-up Fee of $0.00625.
  • For report periods prior to the September 2015 period, multiply the “Total taxable barrels” reported in Item 1 by the Regulatory Oil Field Clean-up Fee of $0.008125. This fee is the combined total of the Oil Field Clean-up Fee of $0.00625 and the Regulatory Tax of $0.001875 per barrel. Enter dollars and cents.
Item 4
  • Enter the “Tax due” by multiplying the “Total net taxable value” reported in Item 2 by the tax rate of $0.046 (4.6%).
  • Enter dollars and cents.
Item 5
  • Enter the sum of all "Tax Due" amounts for Exempt Types “05” and “14” reported in Line 23 of the "Producer Lease Supplement(s)," Form10-165.
  • Enter dollars and cents.
Item 6
  • Enter the sum of the values reported as “Regulatory fee assessment” in Item 3, plus the “Tax due” reported in Item 4, plus the “Tax due on leases with exemptions” reported in Item 5.
  • Enter dollars and cents.
Item 7 File a "Credit Transfer Form for Crude Oil Tax" (Form 10-141) to transfer an outstanding credit amount from different period(s) to this report period for the purpose of offsetting the tax and fee due.
Item 8 Enter the sum of the “Total tax and fee due” reported in Item 6 and the “Overpayment” reported in Item 7.
Item 9 If the “Net amount due” in Item 8 is a tax due balance, enter the penalty and interest on the amount reported.
  • If payment is 1-30 days late after the due date, a 5% penalty is assessed on the tax due balance.
  • If a tax due balance remains after 31 days after the due date, an additional 5% penalty is assessed on the tax due balance.
  • Interest begins to accrue on the 61st day after the due date.
  • The interest rate varies annually.
  • For current rate information, call our office at 877-447-2834 or visit our Interest Owed and Earned web page.
Item 10 Enter the sum of the “Net amount due” reported in Item 8 and the “Penalty and Interest” reported in Item 9.

Texas Crude Oil Tax – Producer Special Lease Detail Supplement
Form 10-165

View Instructions
Texas Crude Oil Tax – Producer Special Lease Detail Supplement (Form 10-165)
Form Field Instructions
Item 1 Enter the lease name reported to the Texas Railroad Commission (RRC).
Item 2 Enter the name of the county of production for the lease reported in Items 1 and 5.
Item 3 Enter the name of the purchaser to whom you sold crude oil for the lease reported in Items 1 and 5.
Item 4
  • Enter the 3-digit county code assigned by the Comptroller’s office for the county of production for the lease reported in Items 1 and 5.
  • A list of the county codes is available on our website.
Item 5
  • Enter the 5-digit lease number assigned by RRC and add a leading zero.
  • Enter the check digit. The lease number check digit calculator is available online.
  • If RRC has not assigned a lease number, report the drilling permit number.
Item 6
  • Select “Yes” if the number reported in Item 5 is a drilling permit number.
  • Select “No” if the number reported in Item 5 is an RRC lease number.
Item 7 Separately enter the applicable “Exempt Type” code (shown below) for each lease number to report an approved legislative tax incentive.
Item 7a, 7b, 7c
  • Enter the “Exempt Type” code in Item 7a to report one “Exempt Type.”
  • Enter each “Exempt Type” code separately in Items 7a, 7b, and 7c and report more than one “Exempt Type.”
Exempt Type Code
  • 03 = Two-Year Inactive Well, effective Sept. 1, 1997
  • 05 = Enhanced Oil Recovery Projects, approved after Aug. 31, 1997
  • 11 = Qualifying Low-Producing Lease, effective Sept. 1, 2005
  • 14 = Enhanced Recovery Project Using Anthropogenic Carbon Dioxide, effective Sept. 1, 2007
  • 15 = Geothermal Energy, effective Sept. 1, 2009
  • 16 = Two-Year Inactive Well, effective Sept. 1, 2019
Item 8 Enter the last 8 digits of the American Petroleum Institute (API) number assigned to a well previously approved as a two-year inactive well (Exempt Type 03 and Type 16). This must be entered or the exemption will be disallowed.
Item 9
  • Enter the project number assigned by RRC for an approved enhanced oil recovery project (Exempt Type 05) and enhanced oil recovery projects using anthropogenic carbon dioxide (Exempt Type 14).
  • Enter the project number beginning with an alphabetic character followed by 5 (and up to 8) numbers.
  • Omission of the project number causes the disallowance of the tax exemption for “Exempt Types” 05 and 14.
Item 10
  • For expanded enhanced oil recovery projects, if applicable, report the portion applicable to “Incremental” and “Baseline” in two separate transactions.
  • Mark the “Incremental” block to report the incremental portion in one transaction and enter the applicable volumes and values in Item 11 through Item 22.
  • Mark the “Baseline” block to report the baseline portion in another transaction and enter the applicable volumes and values in Items 11 through Item 22.

*NOTE: The net taxable value (Item 21) for the baseline portion is not exempt.
Item 11 Enter the purchaser’s 11-digit taxpayer number assigned by the Comptroller’s office for the lease reported in Items 1 and 5. If there is no purchaser, then enter your producer number.
Item 12 For the lease reported in Items 1 and 5:
  • Select “Yes” if you are the physical operator; or
  • Select “No” if you are a working interest owner.
Item 13
  • Select “YES” or “NO” for all reported leases even if you do not owe any tax.
  • If “YES” is selected (responsible for tax remittance), complete all remaining items.
  • If “NO” is selected (not responsible for tax remittance), complete only Items 14, 15, and 18.
Item 14
  • Enter the API gravity for the reported lease in Items 1 and 5.
  • Enter the numeric figure to the tenth degree (xx.x).
Item 15
  • Report the volume of crude oil used, lost, stolen, or otherwise unaccounted for after the oil has been produced and measured.
  • Round all reported barrels to the next whole number.
Item 16
Item 17 Enter the total of Item 15 (Gross Barrels) minus Item 16 (Governmental Royalty Barrels.)
Item 18 Enter the total value of the Gross Barrels reported in Item 15. Enter dollar and cents.
Item 19
Item 20 Enter any physical trucking charges incurred by the producer reported in Items 3 and 11. Enter dollar and cents.
Item 21 Enter the total of Item 18 minus Item 19 minus Item 20 in Item 21.
Item 22 Enter the reduced tax rate only for:
  • enhanced oil recovery projects (Exempt Types 05) or
  • enhanced oil recovery projects using anthropogenic carbon dioxide (Exempt Type 14)
Item 23 Multiply the Net Taxable Value in Item 21 by the following:
  • the reduced tax rate for the enhanced oil recovery project (Exempt Type 05) as shown in Item 22 and enter the calculated tax due amount in Line 23; or
  • the enhanced oil recovery rate using anthropogenic carbon dioxide rate (Exempt Type 14) as shown in Item 22 and enter the calculated tax due amount in Line 23, if applicable.

Need Assistance?

Call 800-531-5441, ext. 3-4455, or email us at [email protected].

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