Oklahoma gross production tax law allows for a reduction from gross value the costs incurred to get natural gas to market. An operator must calculate the gas marketing expenses incurred on a well by well basis and submit a refund request to the Oklahoma Tax Commission. Since it is comon practice in Oklahoma for the purchaser to withhold the gross production tax from the seller and file the monthly report with the Oklahoma Tax Commission the operator must obtain permission from the purchaser to amend the report they originally filed. To further complicate matters the Oklahoma Tax Commission required operators to provide them with copies of the gas purchase statements they received from the purchaser.
The before mentioned hurdles the Oklahoma Tax Commission required operators to clear for a gas marketing refund and the time it takes to come up with the deductible costs is why most operators outsource this type of task.