Oil & Gas Severance Tax | Electronic Funds Transfer (EFT)

EFT Requirements

  • Monthly Payments: When submitting the EFT payment, use the last day of the month as the EFT "Filing Period" in year, month, date format (e.g. 080430 for April 2008). The "Tax Type" code will be 01180.
  • Annual Payment: When submitting the EFT payment, use the last day of the tax year as the EFT "Filing Period" in year, month, date format (e.g. 081231 for all monthly payments for 2008). The "Tax Type" code will be 08402.
If you experience a delay in receiving your authorization to submit EFT payments, you may file on paper using the Monthly Return of Oil and Oil Shale Tax Withheld (DR 0461) for the 1% withholding and the Corporate Estimated Colorado Severance Tax (DR 0021P) for estimated tax payments until authorization is received.
 
Paper returns must still be filed on a monthly basis. Continuing to file paper returns after EFT authorization is received or not applying for EFT authorization may result in penalty and/or interest charges on your payments. If the due date falls on a weekend or state holiday payment is due the next business day. EFT payments must be received by the Department on or before the due date to be considered timely.

Account Requirements

To open a severance withholding tax account complete a Sales Tax / Wage Withholding Account Application (CR 0100). Be sure to indicate on your CR 0100 that you are applying for an oil and gas withholding tax account. You can also indicate any other types of tax accounts you would like to open on the form. Oil and gas withholding payments must be submitted by Electronic Funds Transfer (EFT). If you have an existing account please provide your current DOR account number on the CR 0100.