Monthly Income:
Once the well starts producing, the monthly revenue from the sale of Oil & Natural Gas comes every month potentially for 40 years.
Example: If each well produces an average IP of 75 barrels of oil per day which is average IP for this area and you invested 100k, your monthly checks would be approx: 12,000.00.
Tax Benefits:
- Drilling is the very best tax advantaged investment (Newsweek).
- Congress gives tax breaks to individual investors that are not available to large companies.
- 100% tax deductible … 65 to 80% can be written off in first year.
- Up to 100% tax-free income.
how this can benefit your taxes.
Example: If you are in the 35% tax bracket and you invested 100k and you write off 80% the first year.
$100,000.00 X 80% X 35% = $28,000.00
You save $28,000.00 dollars, which allows you take those dead dollars and put them to work for you. Normally that $28k would go to Uncle Sam. The other 20% gets amortized over the next 3-5 years giving you 100% tax write off inevitably for a total savings of $35,000.00. The beauty and reality of this is you get the tax write off even if we drill the best well in the field!