Common use of Production Taxes Clause in Contracts

Production Taxes. (a) Except as disclosed in Schedule 4.14, during the period of Seller’s ownership of the Assets, all ad valorem, property, production, severance, and similar taxes and assessments (including penalties and interest) based on or measured by the ownership of the Assets, the production of Hydrocarbons, or the receipt of proceeds therefrom that have become due and payable before the Effective Time have been properly paid, other than taxes which have been contested in good faith. (b) Except for the audits and investigations listed on Schedule 4.14, there are no audits or investigations pending, or, to the Seller’s Knowledge, threatened in writing, against Seller or any of the Assets before any Governmental Authority relating to the payment of any Taxes imposed or based on Seller’s interest in the Assets or Hydrocarbons produced from such interest in the Assets.

Production Taxes. (a) Except as disclosed in Schedule 4.14, to Seller’s Knowledge, during the period of Seller’s ownership of the Assets, all ad valorem, property, production, severance, and similar taxes and assessments (including penalties and interest) based on or measured by the ownership of the Assets, the production of Hydrocarbons, or the receipt of proceeds therefrom that have become due and payable before the Effective Time have been properly paid, other than taxes which have been contested in good faith. (b) Except for the audits and investigations listed on Schedule 4.14, there are no audits or investigations pending, or, to the Seller’s Knowledge, threatened in writing, against Seller or any of the Assets before any Governmental Authority relating to the payment of any Taxes imposed or based on Seller’s interest in the Assets or Hydrocarbons produced from such interest in the Assets.