Tax Enforcement for Oil and Gas Properties

Res #: 21-17A
Number: 21
Year: 2017
Midterm: No
Expired: Yes
Responses Received: No
Departments: Saskatchewan Ministry of Government Relations

WHEREAS there are oil and gas companies with arrears of taxes in municipalities; and

WHEREAS recently, with respect to the sale of assets of certain oil and gas companies, the Sale Approval and Vesting Orders issued by the Courts have ordered that the well shall be transferred to the purchaser “…free and clear of all security interests, claim, estate, security, right, title, interest and liens, including but not limited to, claims, hypothecs, mortgages, charges, liens (whether contractual, statutory or otherwise), security interests, assignments, actions, levies, taxes…;”

WHEREAS this causes undo hardship to the other tax payers in the municipality;

BE IT RESOLVED that SARM lobby the Provincial Government to amend section 27 of The Tax Enforcement Act to specifically give municipalities a legislative right to a preferential lien on oil and gas properties.

View response from the Ministry of Government Relations