Rhode Island Cost Overruns for Non-Operator's Non-Consent Option

State:
Multi-State
Control #:
US-OG-700
Format:
Word; 
Rich Text
Instant download

Description

This form provides that when Operator, in good faith, believes or determines that the actual costs for any Drilling, Reworking, Sidetracking, Deepening, or Plugging Back operation conducted under this Agreement will exceed a designated of the costs estimated for the operation on the approved AFE, the Operator will give prompt notice by telephone to the other Parties participating in the operation, as well as delivering a supplemental AFE estimating the costs necessary to complete the operation. Each Party receiving the supplemental AFE shall have forty-eight from receipt of the notice to elect to approve Operators recommendation or propose an alternative operation.

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FAQ

A charge for a service, maintenance or extended warranty contract is taxable whether or not separately stated if it is paid to a licensor or lessor of property. In the instance of a license or lease for taxable property, the charges for any services rendered are deemed not to be optional.

Generally, construction materials and supplies are taxable, but construction related services are exempt unless specifically designated as taxable.

A claim may be filed within two (2) years from the time the tax was paid. If a claim is made within the two (2) year period, the amount of refund may not exceed the portion of tax paid during the two (2) years preceding the filing of the claim. Pursuant to R.I. Gen.

In general, construction materials and supplies are taxable, but construction related services are not.

The sales tax is a levy imposed on the retail sale, rental or lease of many goods and services. Any sale is a retail sale if the property or service sold will be used and not resold in the regular course of business. The sales tax is imposed upon the retailer at the rate of 7% of the gross receipts from taxable sales.

Common exempt goods include clothing and footwear, food, and medical items. Goods for resale are also exempt from sales tax.

Services in Rhode Island are generally not taxable, though some are. Also, the furnishing of telecommunications service and cable television services is taxable in Rhode Island. And be mindful if the service you provide includes creating or manufacturing a product.

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Rhode Island Cost Overruns for Non-Operator's Non-Consent Option