30 C.F.R. § 206.116 What interest and assessments apply if I improperly report a transportation allowance?
Title 30 - Mineral Resources
(a) If you or your affiliate net a transportation allowance rather than report it as a separate entry against the royalty value on Form MMS–2014, you will be assessed an amount up to 10 percent of the netted allowance, not to exceed $250 per lease selling arrangement per sales period. (b) If you or your affiliate deduct a transportation allowance on Form MMS–2014 that exceeds 50 percent of the value of the oil transported without obtaining MMS's prior approval under §206.109, you must pay interest on the excess allowance amount taken from the date that amount is taken to the date you or your affiliate file an exception request that MMS approves. If you do not file an exception request, or if MMS does not approve your request, you must pay interest on the excess allowance amount taken from the date that amount is taken until the date you pay the additional royalties owed.
Title 30: Mineral Resources
PART 206—PRODUCT VALUATION
Subpart C—Federal Oil
§ 206.116 What interest and assessments apply if I improperly report a transportation allowance?
