1099 FAQs
1099s will be mailed to your address of record by January 31st of every year.
The minimum amounts for which 1099s are issued are:
Box 1 (Rents) – $600
Box 2 (Royalties) – $10
Box 7 (Non-Employee Compensation/Gross Working Interest) – $600
Call our owner relations line at 832-242-9575 or email us at ownerrelations@sabineoil.com. In addition to your owner number, you will be asked to verify your address and Social Security number. You can then have the form faxed, emailed or re-mailed.
All requests for a change of address must be submitted in writing. To request a change of address:
Send a written request to 1415 Louisiana, Suite 1600, Houston TX 77002
Fax a written request to 832-242-9578
Send an email with written PDF request to ownerrelations@sabineoil.com
Visit www.sabineoil.com and click the Owner Relations tab Once a change of address has been received, a 1099 can be requested at 832-242-9575 or email ownerrelations@sabineoil.com.
The numbers are as follows:
Box 1: Rents: Monies paid for Lease Bonus and Right of Way
Box 2: Royalties: Gross payments made on production or minimum royalties
Box 3: Other: Damages and water usage
Box 4: Federal Income Tax Withheld (No Tax ID or Social Security Number on file)
Box 7: You will see either:
GWI: Gross Working Interest: Your owner type shares in the operating revenues and costs associated with the well. This is most commonly seen along with monies in Box 2.
NEC: Non-Employee Compensation: Payments made to contractors
Sabine is required to report Gross Royalty Amounts to the IRS. Your periodic disbursements are net of production- related deductions and State Severance Taxes. Refer to the summary at the bottom of your 1099, the “Net=$”, or Net figure should equal your deposits.
Contact our Owner Relations line at 832-242-9575 or send a request via email at ownerrelations@sabineoil.com and we will provide you with detail. Your year-to-date totals can be found on your December check stub.
The IRS uses a “Constructive Receipt” doctrine. Because the payments are issued in December, the figures are appropriately included on the 1099.
We have made every attempt to exclude these amounts from your current year 1099. In the event that you think we have made an error, please contact the Owner Relations line at 832-242-9575 or send a request via email at ownerrelations@sabineoil.com and we will research the matter and correct if necessary.
Sabine does not withhold Federal Taxes unless required by statute.
Other Deductions include your share of expenses incurred to make the products salable and to transport to market as well as your share of the State Severance Taxes assessed on production. Sabine is not able to provide any tax advice and encourages all owners to seek proper tax assistance in preparing their tax returns.