Rule 42.17.601 - ADVANCE PAYMENTS AND FURTHER DISTRIBUTIONS(1) Advance mineral royalty payments that relate to, refer to, or concern production are subject to the mineral royalty tax withholding requirements.(2) Each remitter who disburses funds that are owed to any person owning a royalty interest, overriding royalty interest, production payment, or any other nonworking interest in minerals produced in this state, is subject to the withholding requirement of 15-30-2538, MCA. The exceptions under 15-30-2539(2), MCA, do not apply to remitters who are not producers.(3) If a mineral is taken in-kind by a royalty owner, the take-in-kind owner must forward six percent of the net value of the mineral that was taken in-kind to the department unless they are exempt from withholding under 15-30-2539 or 15-31-102, MCA.(4) Remitters providing accounting services that fulfill the requirements of 15-30-2541, MCA, for more than one producer must remit separate withholding payments and submit a separate Form RW-3, Montana Mineral Royalty Withholding Tax Reconciliation Return, for each producer.Mont. Admin. r. 42.17.601
NEW, 2007 MAR p. 2151, Eff. 12/21/07; AMD, 2010 MAR p. 177, Eff. 1/15/10; AMD, 2012 MAR p. 2640, Eff. 12/21/12; AMD, 2024 MAR p. 2324, Eff. 9/21/2024AUTH: 15-30-2547, MCA; IMP: 15-30-2538, 15-30-2539, 15-30-2541, 15-31-102, MCA