article thumbnail

Investing in Oil and Gas Royalties Explained

Aresco

Royalty income is subject to federal and state (where applicable) income taxes, and investors should consult with tax professionals to optimize their tax strategies and comply with relevant tax laws and regulations. Legal and Tax Considerations : Understand the legal and tax implications of investing in oil and gas royalties.

Royalty 52
article thumbnail

Louisiana Second Circuit Provides Guidance as to Good Faith Required When Conducting Operations Necessary to Interrupt Prescription of Mineral Servitude

The Energy Law

The well was a dry hole, however, and was therefore plugged and abandoned on April 21, 2006. Moreover, prior to drilling the March 2006 well, the mineral servitude owner consulted with multiple professionals. A well was spud on March 28, 2006. Furthermore, looking to the factors considered in Indigo Minerals, LLC v.