What is a 'Tax Rate'. A tax rate is the percentage at which an individual or corporation is taxed. The tax rate is the tax imposed by the federal government and some states based on an individual's taxable income or a corporation's earnings. The United States uses a progressive tax rate system, where the percentage of tax increases as taxable income. Next Up.
Escheat is the reversion of property to a state when that property is lacking claimants or heirs. In the oil & gas industry, the property is usually an unclaimed oil and gas royalty or override payment.
The assets subject to the laws of escheat include both securities and cash balances in accounts. Escheat is a situation in which the money in a bank account reverts to the government because the account has been inactive for a long time and the account holder cannot be located. 1  If there is no activity in an account for five years or more, the account may be subject to escheat procedures in which the account's assets revert to the state.