| Filing frequency: | Quarterly |
|---|---|
| Filing due: | The last day of the month following reporting period |
| Payment frequency: | Quarterly |
| Payment due: | The last day of the month following reporting period |
| Forms: | TC-687, not available online, must be filed electronically using Taxpayer Access Point |
| Statutes: | Utah Code Ann. §59-32 |
| Rules: | |
| Revenue: | Goes to the counties and is used for transportation projects that mitigate the direct impacts of oil or gas production on qualifying roads located within the recipient county. |
| Information: |
A local impact mitigation tax is imposed at the rate of 5 cents per barrel of oil and 1/4 cent per mcf of gas produced within the state on or after January 1, 2026 and before January 1, 2029.
|
FAQ’s
What system will be used?
The producer will be able to file the return and make payment through the Taxpayer Access Point (TAP).
When will the operator be able to log into the system?
The system is currently being developed. The producer should be able to register for the new accounts starting on or around January 1, 2026.
When will the producer be able to provide information and/or make payment?
Once your account application is submitted and processed, you can file and pay your first quarterly return starting on April 1, 2026. This first payment, covering production from January 1, 2026, through March 31, 2026, will be due on or before April 30, 2026.
What information will the producer need to provide?
The following information will need to be provided for each well:
- API number
- Production type (oil/gas)
- Production volumes
- County where well is located
- Volumes for the following exemptions:
- Stripper wells
- First six months for development wells
- First 12 months for wildcat wells
- Used during processing oil or gas to marketable condition
The rate will be applied to the taxable volumes calculated from the information that is provided by the producer.
What is the filing frequency and how will the return be filed?
This is a quarterly return and will be filed electronically through TAP.
What is the due date for the payment and return?
The return and payment are due on or before the last day of the month following each calendar quarter.
What is the Utah State Tax Code Reference?
The code for further clarification can be found in Title 59 Chapter 32
If there are questions/concerns who should be contacted?
Contact the Minerals Department at 801-297-3620
Taxpayer Access Point (TAP) will be upgraded Friday, December 11 at 5:00pm through Monday, December 14 at 7:00am. TAP will be unavailable during this time.