Oklahoma House Bill HB3649 Engrossed / Bill

                     
 
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ENGROSSED SENATE AMENDMENT 
TO 
ENGROSSED HOUSE 
BILL NO. 3649 	By: Dills, Phillips, and 
McDugle of the House 
 
  and 
 
  Pemberton of the Senate 
 
 
 
 
 
[ revenue and taxation - sales tax exemptions for 
certain veteran service organizations - effective 
date -  
 	emergency ] 
 
 
 
 
AUTHOR: Add the following House Coauthor:  Fugate 
 
AMENDMENT NO. 1. Page 1, strike the stricken title, enacting clause 
and entire bill and insert 
 
 
"An Act relating to sales tax; amending 68 O.S. 2021, 
Section 1356, which relates to sales t ax exemptions 
for nonprofit entities; exempting certain veteran 
service organizations; requiring certain 
documentation; providing an effective date; and 
declaring an emergency. 
 
 
 
 
BE IT ENACTED BY THE PE OPLE OF THE STATE OF OKLAHOMA:   
 
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SECTION 1.     AMENDATORY    68 O.S. 2021, Section 1356, as 
last amended by Section 1, Chapter 539, O.S.L. 2021, is amended to 
read as follows: 
Section 1356.  Exemptions - Governmental and nonp rofit entities. 
There are hereby specifi cally exempted from the tax levied by 
Section 1350 et seq. of this title: 
1.  Sale of tangible personal property or se rvices to the United 
States government or to the State of Oklahoma this state, any 
political subdivision of this state, or any agency of a political 
subdivision of this state; provided, al l sales to contractors in 
connection with the performance of any contract with t he United 
States government, State of Oklahoma this state, or any of its 
political subdivisions shall not be exempted from the tax levied by 
Section 1350 et seq. of this title, except as hereinafter provided; 
2.  Sales of property to agents appointed by or under contr act 
with agencies or instrumentalities of the Unit ed States government 
if ownership and possession of such propert y transfers immediately 
to the United States gover nment; 
3.  Sales of property to agents appointed by or under contract 
with a political subdi vision of this state if the sale of such 
property is associated with the development of a qualified federal 
facility, as provided in the Oklahoma Federal Facilities Development 
Act, and if ownership and possession of such property transfers 
immediately to the political subdivision or the state;   
 
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4.  Sales made directly by county , district, or state fair 
authorities of this state, upon the premises of the fair authorit y, 
for the sole benefit of the fair authority or sales of admission 
tickets to such fairs or fair events at any location in the state 
authorized by county, district , or state fair authorities; provided, 
the exemption provided by this paragraph for admissio n tickets to 
fair events shall apply only to any portion of the admission price 
that is retained by or distributed to the fair authority .  As used 
in this paragraph, “fair event” shall be limited to an even t held on 
the premises of the fair authority in co njunction with and during 
the time period of a county, district, or state fair; 
5.  Sale of food in cafeterias or lunchrooms of elementary 
schools, high schools, coll eges, or universities which are operated 
primarily for teachers and pupils and are not ope rated primarily for 
the public or for profit; 
6. Dues paid to fraternal, religious, civic, char itable, or 
educational societies or organizatio ns by regular members t hereof, 
provided, such societies or organ izations operate under what is 
commonly termed the lodge plan or system, and provided such 
societies or organizations do not operate for a profit which inures 
to the benefit of any individual member or members there of to the 
exclusion of other members and dues paid monthly or annually to 
privately owned scientific and educational libraries by members 
sharing the use of services rendered by such libr aries with students   
 
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interested in the study of geology, petroleum eng ineering, or 
related subjects; 
7.  Sale of tangible personal property or services to or by 
churches, except sales made in the course of business for profit or 
savings, competing with other persons engaged in the same , or a 
similar business or sale of tangi ble personal property or services 
by an organization exempt from federal income tax pursua nt to 
Section 501(c)(3) of the Internal Revenue Code of 1986, as amended, 
made on behalf of or at t he request of a church or churches if the 
sale of such property is conducted not more than once each calenda r 
year for a period not to exceed three (3) days by the organization 
and proceeds from the sale of such property are used by the church 
or churches or by the organization for charitable purpose s; 
8.  The amount of proceeds received from the sale of admissi on 
tickets which is separately stated on the tick et of admission for 
the repayment of money borrowed by any accredited state-supported 
college or university or any public trust of which a coun ty in this 
state is the beneficiary, for the purpose of construc ting or 
enlarging any facility to be used for the staging of an athletic 
event, a theatrical production, or any other form of entertainment, 
edification, or cultural cultivation to which entry is gained with a 
paid admission ticket.  Such facilities include , but are not limited 
to, athletic fields, athle tic stadiums, field houses, amphitheaters, 
and theaters.  To be eligible for this sales tax exemption , the   
 
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amount separately stated on the admiss ion ticket shall be a 
surcharge which is imposed, collected , and used for the sole purpose 
of servicing or aidi ng in the servicing of debt incurred by the 
college or university to effect the capital improvements 
hereinbefore described; 
9.  Sales of tangible personal property or services to the 
council organizations or similar state supervisory organizations of 
the Boy Scouts of Americ a, Girl Scouts of the U.S.A., and Camp Fire 
USA; 
10.  Sale of tangible personal propert y or services to any 
county, municipality, rural water district, public school district, 
city-county library system, the institutions of The Oklahoma State 
System of Higher Education, the Grand River Dam Authority, the 
Northeast Oklahoma Public Facilities Authority, the Oklahoma 
Municipal Power Authority, City of Tul sa-Rogers County Port 
Authority, Muskogee C ity-County Port Authority, the Oklahoma 
Department of Veterans Affai rs, the Broken Bow Economic Development 
Authority, Ardmore Development Authority, D urant Industrial 
Authority, Oklahoma Ordna nce Works Authority, Central Oklahoma 
Master Conservancy Distri ct, Arbuckle Master Conservancy District, 
Fort Cobb Master Conservan cy District, Foss Reservoir Master 
Conservancy District, Mountain Park Master Conse rvancy District, 
Waurika Lake Master Conse rvancy District, the Office of Management 
and Enterprise Servic es only when carrying out a public construct ion   
 
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contract on behalf o f the Oklahoma Department of Veterans Affairs, 
and effective July 1, 2022, the Uni versity Hospitals Trust, or to 
any person with whom any of the above-named subdivisions or agencies 
of this state has duly entered into a public contr act pursuant to 
law, necessary for carrying out such public contract or to any 
subcontractor to such a pub lic contract.  Any person making 
purchases on behalf of such su bdivision or agency of this state 
shall certify, in writing, on the copy of the invoice or sales 
ticket to be retained by the vendor that the purchases are made for 
and on behalf of such subdiv ision or agency of this state and set 
out the name of such publ ic subdivision or agency .  Any person who 
wrongfully or erroneously certifies that purc hases are for any of 
the above-named subdivisions or agencies of this state or who 
otherwise violates this section shall be guilty of a misdemeanor and 
upon conviction thereof shall be fined an amount equal to do uble the 
amount of sales tax involved or inc arcerated for not more t han sixty 
(60) days or both; 
11.  Sales of tangible personal property or services to private 
institutions of higher educati on and private element ary and 
secondary institutions of education accredited by the State 
Department of Education or registered by th e State Board of 
Education for purposes of participating in federal programs or 
accredited as defined by the Oklahoma State Regents for Higher 
Education which are exempt from taxation purs uant to the provisions   
 
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of the Internal Reven ue Code, 26 U.S.C., Sect ion 501(c)(3) including 
materials, supplies, and equipment used in the construction and 
improvement of buildings and other s tructures owned by th e 
institutions and operated for educational purposes. 
Any person, firm, agency, or entity making purchases on b ehalf 
of any institution, agency, or subdivision in this state, shall 
certify in writing, on the copy of the invoice or sales ticket the 
nature of the purchases, and violation of this parag raph shall be a 
misdemeanor as set forth in paragraph 10 of this sec tion; 
12.  Tuition and educational fees paid to private institutions 
of higher education and private elementary and seconda ry 
institutions of education accredited by the State Department o f 
Education or registered by the State Boar d of Education for purpos es 
of participating in federal programs or accredited as defined by the 
Oklahoma State Regents for Higher Education which a re exempt from 
taxation pursuant to the provisions of the Interna l Revenue Code, 26 
U.S.C., Section 501(c)(3 ); 
13. a. Sales of tangible personal property made by: 
(1) a public school, 
(2) a private school offering ins truction for grade 
levels kindergarten through twelfth grade , 
(3) a public school district, 
(4) a public or private school board,   
 
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(5) a public or private school student gro up or 
organization, 
(6) a parent-teacher association or organization 
other than as specified in subparagraph b of th is 
paragraph, or 
(7) public or private school personnel for purposes 
of raising funds for the benefit of a public o r 
private school, public school district, public or 
private school board, or public or private school 
student group or organization, or 
b. Sales of tangible personal pro perty made by or to 
nonprofit parent-teacher associations or organizations 
exempt from taxation pursuant to the provisions of the 
Internal Revenue Code, 26 U.S.C., Section 501(c)(3), 
nonprofit local public or private school fou ndations 
which solicit money or property in the name of any 
public or private school or public school district. 
The exemption provided by thi s paragraph for sales made by a 
public or private school shall be limited to those pu blic or private 
schools accredited by the State Department of Education or 
registered by the State Boar d of Education for purposes of 
participating in federal programs .  Sale of tangible personal 
property in this paragraph shall include sale of admission t ickets 
and concessions at ath letic events;   
 
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14.  Sales of tangible personal property by: 
a. local 4-H clubs, 
b. county, regional, or state 4-H councils, 
c. county, regional, or state 4-H committees, 
d. 4-H leader associations, 
e. county, regional, or state 4-H foundations, and 
f. authorized 4-H camps and training c enters. 
The exemption provided by this paragrap h shall be limited to 
sales for the purpose of raising funds for the benefit of such 
organizations.  Sale of tangible personal property exempted by this 
paragraph shall inclu de sale of admission tickets; 
15.  The first Seventy-five Thousand Dollars ($75,00 0.00) each 
year from sale of tickets and concessions at athletic eve nts by each 
organization exempt from taxation pursuant to the provisions of the 
Internal Revenue Code, 26 U.S.C., Section 501(c)(4); 
16.  Sales of tangible personal property or services to any 
person with whom the Oklahoma Touri sm and Recreation Department has 
entered into a public contract and which is necessary for carrying 
out such contract to assist the Department in the development and 
production of advertising, promotion, publicity , and public 
relations programs; 
17.  Sales of tangible personal proper ty or services to fire 
departments organized pursuant to Section 592 of Title 18 of th e 
Oklahoma Statutes which items are to be used for the purposes of the   
 
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fire department.  Any person making purchases on behalf of any such 
fire department shall certify, in writing, on the copy of the 
invoice or sales ticket to be retained by the vendor th at the 
purchases are made for and on behalf of such fir e department and set 
out the name of such fire department.  Any person who wrongfully o r 
erroneously certifies that the purchases are for any such fire 
department or who otherwise violates the provisio ns of this section 
shall be deemed guilty of a misdemea nor and upon conviction thereof, 
shall be fined an amount equal to double the amount of sales tax 
involved or incarcerated for not more than sixty (60) days, or both; 
18.  Complimentary or free tickets for admission to places of 
amusement, sports, entertai nment, exhibition, display, or other 
recreational events or activities which are issued through a box 
office or other entity which is operated by a state institution of 
higher education with institution al employees or by a municipality 
with municipal emplo yees; 
19.  The first Fifteen Thousand Dollars ( $15,000.00) each year 
from sales of tangible personal property by fi re departments 
organized pursuant to Titles 11, 18, or 19 of the Oklahoma Statutes 
for the purposes of raising funds for the benefit of the f ire 
department.  Fire departments selling tangi ble personal property for 
the purposes of raising funds shall be lim ited to no more than six 
(6) days each year to raise such funds in order to receive the 
exemption granted by this paragraph;   
 
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20.  Sales of tangible personal property or services to any Boy s 
& Girls Clubs of America affiliate in this state which is not 
affiliated with the Salvation Army and which is exempt from taxation 
pursuant to the provis ions of the Internal Revenue Code, 26 U.S.C., 
Section 501(c)(3); 
21.  Sales of tangible personal prop erty or services to any 
organization, which takes court-adjudicated juveniles for purposes 
of rehabilitation, and which is exempt from taxation pursuant to the 
provisions of the Internal Revenue Code, 26 U.S.C ., Section 
501(c)(3), provided that at least fi fty percent (50%) of the 
juveniles served by such organization are c ourt adjudicated and the 
organization receives state funds in an amount less than ten p ercent 
(10%) of the annual budget of the organization; 
22.  Sales of tangible personal property or se rvices to: 
a. any health center as defin ed in Section 254b of Title 
42 of the United States Code, 
b. any clinic receiving disbursements of state monies 
from the Indigent Health Care Revolving Fund pursuant 
to the provisions of Section 66 of Title 56 of the 
Oklahoma Statutes, 
c. any community-based health center which meets all of 
the following criteria: 
(1) provides primary care services at no cost to the 
recipient, and   
 
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(2) is exempt from taxation pursuant to t he 
provisions of Section 501(c)(3) of the Inter nal 
Revenue Code, 26 U.S.C., Section 501(c)(3), and 
d. any community mental health center as defined in 
Section 3-302 of Title 43A of the Oklahoma Statutes ; 
23.  Dues or fees including free or complimentary du es or fees 
which have a value equivalent to the charge that could have 
otherwise been made, to YMCAs, YWCAs , or municipally-owned 
recreation centers for the use of facilities and programs; 
24.  The first Fifteen Thousand Dollars ($15,000.00) each year 
from sales of tangible personal property or service s to or by a 
cultural organization estab lished to sponsor and promot e 
educational, charitable, and cultural events for disadvantaged 
children, and which orga nization is exempt from taxation pursuant to 
the provisions of the Internal Revenue Code, 26 U.S.C. , Section 
501(c)(3); 
25.  Sales of tangible personal property or ser vices to museums 
or other entities which have been accredited by the American 
Association Alliance of Museums.  Any person making purchases o n 
behalf of any such museum or other entity shall certify, in writing, 
on the copy of the invoice or sales ticket to be reta ined by the 
vendor that the purchases are made for and on behalf of such museum 
or other entity and set out the name of such museum or other entity.  
Any person who wrongfully or err oneously certifies that the   
 
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purchases are for any such museum or other ent ity or who otherwise 
violates the provisions of this paragraph shall be deemed guilty of 
a misdemeanor and, upon conviction thereof, shall be fined an amount 
equal to double the amou nt of sales tax involved or incarcerated for 
not more than sixty (60) days , or by both such fine and 
incarceration; 
26.  Sales of tickets for admission by any muse um accredited by 
the American Association Alliance of Museums.  In order to be 
eligible for the exemption provided by this parag raph, an amount 
equivalent to the amount of th e tax which would otherwise be 
required to be collected pursuant to the provisions of Secti on 1350 
et seq. of this title shal l be separately stated o n the admission 
ticket and shall be collected and used for th e sole purpose of 
servicing or aiding in the s ervicing of debt incurred by the museum 
to effect the construction, enlarging , or renovation of any facility 
to be used for entertainment, edification , or cultural cultivation 
to which entry is gained with a pai d admission ticket; 
27.  Sales of tangible pe rsonal property or services occurring 
on or after June 1, 1995, to children ’s homes which are supported or 
sponsored by one or more churches, members of which serve as 
trustees of the home; 
28.  Sales of tangible personal property or services to the 
organization known as the Disabled American Veterans, Department of 
Oklahoma, Inc., and subordinate chapters thereof;   
 
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29.  Sales of tangible personal proper ty or services to youth 
camps which are supported or sponsore d by one or more churches, 
members of which serve as trustees of the organization; 
30. a. Until July 1, 2022, transfer of tangible personal 
property made pursuant to Sect ion 3226 of Title 63 of 
the Oklahoma Statutes by t he University Hospitals 
Trust, and 
b. Effective July 1, 2022, transfer of tangibl e personal 
property or services to or by: 
 (1) the University Hospitals Trust created pur suant 
to Section 3224 of Title 63 of the Oklahoma 
Statutes, or 
 (2) nonprofit entities which are exempt from taxation 
pursuant to the provisions of the Internal 
Revenue Code of the United States, 26 U.S.C., 
Section 501(c)(3), which have entered into a 
joint operating agreement with the Unive rsity 
Hospitals Trust; 
31.  Sales of tangible pers onal property or services to a 
municipality, county, or school district pursuant to a lease or 
lease-purchase agreement executed between the vendor and a 
municipality, county, or school district.  A copy of the lease or 
lease-purchase agreement shall be re tained by the vendor;   
 
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32.  Sales of tangible personal property or services to any 
spaceport user, as defined in the Oklahoma Space Industry 
Development Act; 
33.  The sale, use, storage, consumption , or distribution in 
this state, whether by the importer, e xporter, or another person, of 
any satellite or any associated launch vehicle inc luding components 
of, and parts and motors for, any such satellite or launch vehicle, 
imported or caused to be imported into this state for the purpos e of 
export by means of l aunching into space.  This exemption provided by 
this paragraph shall not be affe cted by: 
a. the destruction in whole or in part of the satellite 
or launch vehicle, 
b. the failure of a launch to occur or be successful, or 
c. the absence of any transfer or title to, or possession 
of, the satellite or launch vehicle after launch; 
34.  The sale, lease, use, storage, consumption, or distribution 
in this state of any space f acility, space propulsion system or 
space vehicle, satellite , or station of any kind poss essing space 
flight capacity includi ng components thereof; 
35.  The sale, lease, use, storage, consumption, or distribution 
in this state of tangible personal property, placed on or used 
aboard any space facility, space propulsion system or space vehicle, 
satellite, or station possessing spa ce flight capacity, which is 
launched into space, irrespective of whether such tangible property   
 
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is returned to this state for subse quent use, storage, or 
consumption in any manner; 
36.  The sale, lease, use, storage, co nsumption, or distribution 
in this state of tangible personal property meeting th e definition 
of “section 38 property” as defined in Sections 48(a)(1)(A) and 
(B)(i) of the Internal Revenue Code of 1986, tha t is an integral 
part of and used primarily in sup port of space flight; however, 
section 38 property used in support of space fligh t shall not 
include general office equipment, any boat, mobile home, motor 
vehicle, or other vehicle of a class or type requi red to be 
registered, licensed, titled, or documented in this state or by the 
United States government, or any other property not s pecifically 
suited to supporting space activity.  The term “in support of space 
flight”, for purposes of this paragraph, mean s the altering, 
monitoring, controlling, regulatin g, adjusting, servicing, or 
repairing of any space facility, space propulsion sys tems or space 
vehicle, satellite, or station possessing space flight capacity 
including the components thereof; 
37.  The purchase or lease of machinery and equipment for use a t 
a fixed location in this state, whi ch is used exclusively in the 
manufacturing, processing, compounding, or producing of any space 
facility, space propulsion system or sp ace vehicle, satellite, or 
station of any kind possessing sp ace flight capacity.  Provided, the 
exemption provided for in this paragraph shall not be allowed unless   
 
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the purchaser or lessee signs an affidavit stating that the item or 
items to be exempted are for the exclusive use designated herein.  
Any person furnishing a false affidavit to the vendor for the 
purpose of evading payment of any tax imposed by Section 13 54 of 
this title shall be subject to the penalties provided by law .  As 
used in this paragra ph, “machinery and equipment” means “section 38 
property” as defined in Sections 48 (a)(1)(A) and (B)(i) of the 
Internal Revenue Code of 1986, which is used as an in tegral part of 
the manufacturing, processing, compounding, or producing of items of 
tangible personal property.  Such term includes parts and 
accessories only to the extent th at the exemption thereof is 
consistent with the provisions of this paragraph; 
38. The amount of a surcharge or any other amount which is 
separately stated on an admission t icket which is imposed, 
collected, and used for the sole pur pose of constructing, 
remodeling, or enlarging facilities of a public trust having a 
municipality or county as its sole beneficiary; 
39.  Sales of tangible personal property or services which are 
directly used in or for the benefit of a state park in this state, 
which are made to an organization which is exempt from taxation 
pursuant to the provisions of the Internal Revenue Code, 26 U.S.C., 
Section 501(c)(3) and which is organized primarily for the purpose 
of supporting one or more state parks located in t his state;   
 
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40.  The sale, lease, or use of parking privileges by an 
institution of The Oklahoma State Sy stem of Higher Education; 
41.  Sales of tangible personal property or services for use on 
campus or school construction projects for the benefit of 
institutions of The Oklahom a State System of Higher Education, 
private institutions of higher education accr edited by the Oklahoma 
State Regents for Higher Education, or any public school or school 
district when such projects are financed by or through the use of 
nonprofit entities which are exempt from taxation pursuant to the 
provisions of the Internal Revenue Code, 26 U.S.C., Section 
501(c)(3); 
42.  Sales of tangible personal property or services by an 
organization which is exempt from taxation pursuant to t he 
provisions of the In ternal Revenue Code, 26 U.S.C., Section 
501(c)(3), in the course of conducting a national championship 
sports event, but only if all or a portion of the payment in 
exchange therefor would qualify as the receipt of a qualified 
sponsorship payment described in Internal Revenue Code, 26 U.S.C., 
Section 513(i).  Sales exempted pursuant to this paragraph shall be 
exempt from all Oklahoma sales, use, excise , and gross receipts 
taxes; 
43.  Sales of tangible personal property or services to o r by an 
organization which:   
 
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a. is exempt from taxation pursuant to the provisions of 
the Internal Revenue Code, 26 U.S.C., Section 
501(c)(3), 
b. is affiliated with a comprehensive university wit hin 
The Oklahoma State System of Higher Education, and 
c. has been organized primaril y for the purpose of 
providing education and teacher training and 
conducting events relating to robotics; 
44.  The first Fifteen Thousand Dollars ($15,000.00) each year 
from sales of tangible p ersonal property to or by youth athletic 
teams which are part o f an athletic organization exempt from 
taxation pursuant to the provisions of the Internal Revenue Code, 26 
U.S.C., Section 501(c)(4), for the purposes of raising funds for the 
benefit of the team; 
45.  Sales of tickets for admission to a collegiate athlet ic 
event that is held in a facility owned or operated by a municipality 
or a public trust of which the municipality is the sole beneficiary 
and that actually determines or is part of a tourname nt or 
tournament process for determining a conference tournamen t 
championship, a conference championship, or a national championship; 
46.  Sales of tangible personal property or services to or by an 
organization which is exempt fr om taxation pursuant to th e 
provisions of the Internal Revenue Cod e, 26 U.S.C., Section   
 
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501(c)(3) and is operating the Oklahoma City National Memorial and 
Museum, an affiliate of the National Park System; 
47.  Sales of tangible personal property or servic es to 
organizations which a re exempt from federal taxation pursuant to the 
provisions of Section 501(c)(3) of the Internal Revenue Code, 26 
U.S.C., Section 501(c)(3), the memberships of which are limited to 
honorably discharged veterans, and which furnish financial support 
to area veterans’ organizations to be used for th e purpose of 
constructing a memorial or museum; 
48.  Sales of tangible personal property or services on or after 
January 1, 2003, to an organization which is exempt from taxation 
pursuant to the provisions of the Int ernal Revenue Code, 26 U.S.C., 
Section 501(c)(3) that is expend ing monies received from a private 
foundation grant in conjunction with expenditu res of local sales tax 
revenue to construct a local public library; 
49.  Sales of tangible personal property or services to a state 
that borders this st ate or any political su bdivision of that state, 
but only to the extent that the other state or political subdivision 
exempts or does not impose a tax on similar sales of items to this 
state or a political subdivision of this state; 
50.  Effective July 1, 2005, sales of tangible personal property 
or services to the Career Technology Student Organizations unde r the 
direction and supervision of the Oklahoma Department of Career and 
Technology Education;   
 
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51.  Sales of tangible personal property to a public trus t 
having either a singl e city, town or county or multiple cities, 
towns or counties, or combination thereof as beneficiary or 
beneficiaries or a nonprofit organization which is exempt fr om 
taxation pursuant to the pro visions of the Internal Revenue Code, 2 6 
U.S.C., Section 501(c )(3) for the purpose of constructing 
improvements to or expanding a hospital or n ursing home owned and 
operated by any such public trust or nonprofit entity prior to July 
1, 2008, in counties wi th a population of less than one hundre d 
thousand (100,000) pe rsons, according to the most recent Federal 
Decennial Census.  As used in this paragraph, “constructing 
improvements to or expanding” shall not mean any expense fo r routine 
maintenance or genera l repairs and shall require a project c ost of 
at least One Hundred Thousand Dollars ($100,000.00).  For purposes 
of this paragraph, sales made to a contractor or subcontractor that 
enters into a contractual relationship with a public trust or 
nonprofit entity as described by this paragraph shal l be considered 
sales made to the public trust or nonprofit entity.  The exemption 
authorized by this pa ragraph shall be administered in the form of a 
refund from the sales tax revenues apportioned pursuant to Section 
1353 of this title and the vendor shal l be required to collec t the 
sales tax otherwise applicable to the transaction.  The purchaser 
may apply for a refund of the sales tax paid in the manner 
prescribed by this paragraph .  Within thirty (30) days after th e end   
 
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of each fiscal year, any purchase r that is entitled to m ake 
application for a refund based upon the exempt treatment authorized 
by this paragraph may file an application for refund of the sales 
taxes paid during such pr eceding fiscal year.  The Tax Commission 
shall prescribe a form for pu rposes of making the ap plication for 
refund.  The Tax Commission shall determine whether or not the tota l 
amount of sales tax exemptions claimed by all purchasers is equal to 
or less than Six Hundred Fifty Thousand Do llars ($650,000.00).  If 
such claims are less than or equal to that amount, the Tax 
Commission shall make refunds to the purchasers in the full amount 
of the documented and verified sales tax amounts.  If such claims by 
all purchasers are in excess of Six Hundred Fifty Thousand Dollars 
($650,000.00), the Tax Commissi on shall determine the amount of each 
purchaser’s claim, the total amount of all claims by all purchasers, 
and the percentage each purchaser’s claim amount bears t o the total.  
The resulting percentage determined for each purchaser s hall be 
multiplied by Six Hundred Fifty Thousand Dollars ($650,000.00) to 
determine the amount of refund able sales tax to be paid to each 
purchaser.  The pro rata refund amount shall be the only method to 
recover sales taxes paid during the preceding fisca l year and no 
balance of any sales taxes paid on a pro rata basis shall be the 
subject of any subsequent refund claim pursuant to this paragraph; 
52.  Effective July 1, 2006, sales of t angible personal property 
or services to any organization which assists , trains, educates, and   
 
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provides housing for physically and mentally handicapped persons and 
which is exempt from taxation pursuant to the provisions of the 
Internal Revenue Code, 26 U. S.C., Section 501(c)(3) and that 
receives at least eighty-five percent (85%) of its annual bud get 
from state or federal funds.  In order to receive the benefit of the 
exemption authorized by this paragraph, the taxpayer shall be 
required to make payment of the applicable sales tax at the time of 
sale to the vendor in the mann er otherwise required b y law.  
Notwithstanding any other provision of the Oklahoma Uniform Tax 
Procedure Code to the contrary, the taxpayer shall be authorized to 
file a claim for refun d of sales taxes paid that quali fy for the 
exemption authorized by this paragraph for a period of one (1) year 
after the date of the sale transaction.  The taxpayer shall be 
required to provide documentation as may be prescribed by the 
Oklahoma Tax Commiss ion in support of the refund cla im.  The total 
amount of sales tax qual ifying for exempt treat ment pursuant to this 
paragraph shall not exceed One Hundred Seventy -five Thousand Dollars 
($175,000.00) each fiscal year.  Claims for refund shall be 
processed in the order in which such claims are received by the 
Oklahoma Tax Commission.  If a claim otherwise timely filed exceeds 
the total amount of refunds payable for a fiscal year, such claim 
shall be barred; 
53.  The first Two Thousand Dollars ($2,000.00) eac h year of 
sales of tangible perso nal property or services to, by, or for the   
 
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benefit of a qualified neighborhood watch organization that is 
endorsed or supported by or working directly with a law enforcement 
agency with jurisdiction in the area in which th e neighborhood watch 
organization is located. As used in this paragraph , “qualified 
neighborhood watch organization” means an organization that is a 
not-for-profit corporation under the laws of the State of Oklahoma 
this state that was created to help prevent crimin al activity in an 
area through community involvement and inte raction with local law 
enforcement and which is one of the first two thousand organizations 
which makes application to the Oklahoma Tax Commission for the 
exemption after March 29, 2006; 
54.  Sales of tangible personal property to a nonprofit 
organization, exempt from taxation p ursuant to the provisions of the 
Internal Revenue Code, 26 U.S.C., Section 501(c) (3), organized 
primarily for the purpose of providing services to homeless persons 
during the day and located in a metropoli tan area with a population 
in excess of five hundre d thousand (500,000) persons according to 
the latest Federal Decennial Census .  The exemption authorized by 
this paragraph shall be applicable to sales of tangible persona l 
property to a qualified entity o ccurring on or after January 1, 
2005; 
55.  Sales of tangible personal property or services to or by an 
organization which is exempt from taxation pursuant to the 
provisions of the Internal Revenue Code, 26 U.S.C., Section   
 
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501(c)(3) for events the principal purpose of which is to prov ide 
funding for the preservation of wetlands and habitat for wild ducks; 
56.  Sales of tangible personal property or services to or by an 
organization which is exempt from taxation pursuant to the 
provisions of the Internal Reve nue Code, 26 U.S.C., Section 
501(c)(3) for events t he principal purpose of which is to provide 
funding for the preservation and cons ervation of wild turkeys; 
57.  Sales of tangible personal property or services to an 
organization which: 
a. is exempt from taxation pursuant to the prov isions of 
the Internal Revenue Code, 26 U.S.C., Section 
501(c)(3), and 
b. is part of a network of commun ity-based, autonomous 
member organizations that meets the following 
criteria: 
(1) serves people with workplace disadvantages and 
disabilities by providi ng job training and 
employment services, as well as job placement 
opportunities and post -employment support, 
(2) has locations in the United States and at least 
twenty other countries, 
(3) collects donated clothing and household goods to 
sell in retail stores and provides contra ct labor 
services to business and government, and   
 
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(4) provides documentation to t he Oklahoma Tax 
Commission that over seventy-five percent (75%) 
of its revenues are channeled into employment, 
job training and placement programs , and other 
critical community services; 
58.  Sales of tickets made on or after September 21, 2005, and 
complimentary or free tickets for admission issued on or after 
September 21, 2005, whic h have a value equivalent to the charge that 
would have otherwise been made, for admission to a professional 
athletic event in which a team in the National Basketball 
Association is a participant, which is held in a facility owned or 
operated by a municipa lity, a county, or a public trust of which a 
municipality or a county i s the sole beneficiary, and sales of 
tickets made on or after July 1, 2007, and complimentary or free 
tickets for admission issued on or after July 1, 2007, which have a 
value equivalent to the charge that would have otherwise be en made, 
for admission to a professional athletic event in which a team in 
the National Hockey League is a participant, which is he ld in a 
facility owned or operated by a municipality, a county, or a public 
trust of which a municipality or a county is the sole beneficiary; 
59.  Sales of tickets for admiss ion and complimentary or free 
tickets for admission which have a value equivalent to the charge 
that would have otherwise been made to a professional sporting even t 
involving ice hockey, baseball, basketbal l, football or arena   
 
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football, or soccer.  As used in this paragraph, “professional 
sporting event” means an organized athletic com petition between 
teams that are members of an organized league or association with 
centralized management, other than a natio nal league or national 
association, that imposes r equirements for participation in the 
league upon the teams, the individual athlet es, or both, and which 
uses a salary structure to compensate the athletes; 
60.  Sales of tickets for admission to an annual e vent sponsored 
by an educational and charitable or ganization of women which is 
exempt from taxation pursuant to the provisions of t he Internal 
Revenue Code, 26 U.S.C., Section 501(c)(3) and has as its mission 
promoting volunteerism, developing the potentia l of women, and 
improving the community through th e effective action and leadership 
of trained volunteers; 
61.  Sales of tangible personal property or services to an 
organization, which is exempt from taxation pur suant to the 
provisions of the Internal Rev enue Code, 26 U.S.C., Sectio n 
501(c)(3), and which is itself a member of an organization which is 
exempt from taxation pursuant to the provisions of the Internal 
Revenue Code, 26 U.S.C., Section 501(c)(3), if the membership 
organization is primarily engage d in advancing the purposes of its 
member organizations through fundraising, public awareness, or other 
efforts for the benefit of its member organizations, and if the 
member organization is primarily engaged eithe r in providing   
 
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educational services and pr ograms concerning health-related diseases 
and conditions to individuals suffering from such health-related 
diseases and conditions or their caregivers and family members or 
support to such individuals, or in health -related research as to 
such diseases and conditions, or both.  In order to qualify for the 
exemption authorized by this paragraph, the member nonprofit 
organization shall b e required to provide proof to the Oklahoma Tax 
Commission of its membership status in the membership organization; 
62.  Sales of tangible personal prope rty or services to or by an 
organization which is part of a national volunteer women ’s service 
organization dedicated to promoting patriotism, preserving American 
history, and securing better education for children and which has at 
least 168,000 members in 3,000 chapters across the United States; 
63.  Sales of tangible personal property or services to or by a 
YWCA or YMCA organization which is part of a national nonprofit 
community service organization working to meet the health and social 
service needs of its members across the United States; 
64. Sales of tangible personal property or services to or by a 
veteran’s organization which is exempt from taxation pursuant to the 
provisions of the Internal Revenue Code, 26 U.S.C., Secti on 
501(c)(19) and which is k nown as the Veterans o f Foreign Wars of the 
United States, Oklahoma Chapters; 
65.  Sales of boxes of fo od by a church or by an organization, 
which is exempt from taxation pursuant to the provisions of the   
 
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Internal Revenue Code, 26 U.S.C., Section 501(c)(3) .  To qualify 
under the provisions of this paragraph, the organization must be 
organized for the primar y purpose of feeding needy individuals or to 
encourage volunteer service by requ iring such service in order to 
purchase food. These boxes shall only con tain edible staple foo d 
items; 
66. Sales of tangible personal property or services to any 
person with whom a church has duly entered into a construction 
contract, necessary for carr ying out such contract or to any 
subcontractor to such a construction contract; 
67.  Sales of tangible personal property or services used 
exclusively for charitable or education al purposes, to or by an 
organization which: 
a. is exempt from taxation pursu ant to the provisions of 
the Internal Revenue Co de, 26 U.S.C., Section 
501(c)(3), 
b. has filed a Not-for-Profit Certificate of 
Incorporation in this state, and 
c. is organized for the purpose of: 
(1) providing training and education to 
developmentally disabled individuals, 
(2) educating the community ab out the rights, 
abilities, and strengths of develo pmentally 
disabled individuals, and   
 
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(3) promoting unity among developmentally dis abled 
individuals in their community and geographic 
area; 
68.  Sales of tangible personal property or services to any 
organization which is a shelter for abused, neglected, or abandoned 
children and which is exempt from taxation pursuant to the 
provisions of the Internal Revenue Code, 26 U.S.C., Section 
501(c)(3); provided, until July 1, 2008, such exemption shall apply 
only to eligible shelters for children from birth to age t welve (12) 
and after July 1, 2008, such exemption shall apply to eligible 
shelters for children from birth to age eighteen (18); 
69.  Sales of tangible personal property or services to a child 
care center which is licensed pursuant to the Oklahoma Child Ca re 
Facilities Licensing Act and which: 
a. possesses a 3-star rating from the Depa rtment of Human 
Services Reaching for the Stars Program or a national 
accreditation, and 
b. allows on-site universal prekinde rgarten education to 
be provided to four-year-old children through a 
contractual agreement with any public school or school 
district. 
For the purposes of this paragraph, sales made to any person, 
firm, agency, or entity that has entered previously into a 
contractual relationship with a child care center f or construction   
 
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and improvement of buildings and other structures owned by the ch ild 
care center and operated for educational purposes shall be 
considered sales made to a child care center .  Any such person, 
firm, agency, or entity making purchases on beha lf of a child care 
center shall certify, in writing, on the copy of the invoice o r 
sales ticket the nature of the purchase.  Any such person, or person 
acting on behalf of a firm, agency , or entity making purchases on 
behalf of a child care center in viola tion of this paragraph shall 
be guilty of a misdemeanor and upon conviction there of shall be 
fined an amount equal to double the amount of sales tax involved or 
incarcerated for not more than sixty (60) day s or both; 
70. a. Sales of tangible personal prope rty to a service 
organization of mothers who have children who are 
serving or who have served in the military, which 
service organization is exempt from taxation pursuant 
to the provisions of the Internal R evenue Code, 26 
U.S.C., Section 501(c)(19) and whi ch is known as the 
Blue Star Mothers of America, Inc.  The exemption 
provided by this paragraph shall only apply to the 
purchase of tangible personal property actually sent 
to United States military personn el overseas who are 
serving in a combat zone and n ot to any other tangible 
personal property purchased by the organization .  
Provided, this exemption shall not app ly to any sales   
 
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tax levied by a city, town, county, or any other 
jurisdiction in this state. 
b. The exemption authorized by this paragraph shal l be 
administered in the form of a refund from the sales 
tax revenues apportioned pursuant to Section 1353 of 
this title, and the vendor shall be requ ired to 
collect the sales tax otherwise applicable to th e 
transaction.  The purchaser may apply for a refu nd of 
the state sales tax paid in the manner prescribed by 
this paragraph.  Within sixty (60) days after the end 
of each calendar quarter, any purchas er that is 
entitled to make application for a refund bas ed upon 
the exempt treatment authorized by this pa ragraph may 
file an application for refund of the state sales 
taxes paid during such preceding calendar quarter .  
The Tax Commission shall prescribe a form for purposes 
of making the application for refund. 
c. A purchaser who applies for a refund pursuant to this 
paragraph shall certify that the items were actually 
sent to military per sonnel overseas in a combat zone .  
Any purchaser that applies for a refund for the 
purchase of items that are not authorized for 
exemption under this paragraph shall be subjec t to a   
 
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penalty in the amount of Five Hundred Dollars 
($500.00); 
71.  Sales of food and snack items to or by an or ganization 
which is exempt from tax ation pursuant to the provisions of the 
Internal Revenue Code, 26 U.S.C., Section 501(c)(3), whose primary 
and principal purpose is providing funding for scholarships in the 
medical field; 
72.  Sales of tangible personal property or services for use 
solely on construction projects for organizations which are exem pt 
from taxation pursuant to the provisions of the Internal Revenue 
Code, 26 U.S.C., Section 501(c)(3) and whose purpose is providi ng 
end-of-life care and access t o hospice services to low-income 
individuals who live in a facility owned by the organization .  The 
exemption provided by this paragraph applie s to sales to the 
organization as well as to sales to any person with whom the 
organization has duly entered into a construction contract, 
necessary for carrying out such contract or to any subcontractor to 
such a construction contract.  Any person making purchases on behalf 
of such organization shall certify, in writing, on the copy o f the 
invoice or sales ticket to be retained by the vendor that th e 
purchases are made for and on behalf of such organization and set 
out the name of such organization.  Any person who wrongfully or 
erroneously certifies that purchases are for any of the a bove-named 
organizations or who otherwise violates this section sh all be guilty   
 
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of a misdemeanor and upon conviction thereof shall be fined an 
amount equal to double the amoun t of sales tax involved or 
incarcerated for not more than sixty (60) days or both ; 
73.  Sales of tickets for admi ssion to events held by 
organizations exempt from taxation pursuant to the provisions of the 
Internal Revenue Code, 26 U.S.C., Section 501(c)(3 ) that are 
organized for the purpose of supporting general hospitals licensed 
by the State Department of Health; 
74. Sales of tangible personal property or services: 
a. to a foundation which is exempt from taxation pursuant 
to the provisions of the Intern al Revenue Code, 26 
U.S.C., Section 501(c)(3) and which raises tax -
deductible contributions in support of a wide range of 
firearms-related public interest activities of the 
National Rifle Association of Ame rica and other 
organizations that defend and foste r Second Amendment 
rights, and 
b. to or by a grassroots fundraising program for s ales 
related to events to raise funds for a foundation 
meeting the qualifications of subparagraph a of this 
paragraph; 
75.  Sales by an organization or entity which is exempt from 
taxation pursuant to the provisions of the Internal Revenue Code, 26 
U.S.C., Section 501(c)(3) which are rel ated to a fundraising event   
 
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sponsored by the organization or entity when the event does not 
exceed any five (5) consecutive days and when the s ales are not in 
the organization’s or the entity’s regular course of business .  
Provided, the exemption provided in this paragraph shall be li mited 
to tickets sold for admittance to the fundraising event an d items 
which were donated to the organization or entity for sale at the 
event; 
76.  Effective November 1, 2017, sales of tangible personal 
property or services to an organization which is ex empt from 
taxation pursuant to the provisions of the Internal Rev enue Code, 26 
U.S.C., Section 501(c)(3) and operat es as a collaborative model 
which connects community agencies in one location to serve 
individuals and families a ffected by violence and wher e victims have 
access to services and advocacy at no cost to the victim; 
77.  Effective July 1, 2018, sales of tang ible personal property 
or services to or by an association which is exempt from t axation 
pursuant to the provisio ns of the Internal Revenue Code, 26 U.S.C., 
Section 501(c)(19) and which is known as the Nati onal Guard 
Association of Oklahoma; 
78.  Effective July 1, 2018, sales of tangible personal property 
or services to or by an associ ation which is exempt from taxat ion 
pursuant to the provisions of the Internal Revenue Code, 26 U.S.C., 
Section 501(c)(4) and which is known as the Marine Corps League of 
Oklahoma;   
 
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79.  Sales of tangible personal property or services to the 
American Legion, whether the purchase is made b y the entity 
chartered by the United States Congress or is an entity organized 
under the laws of this or another state pursuant to the authorit y of 
the national American Legion organization; 
80.  Sales of tangible personal p roperty or services to or by an 
organization which is: 
a. exempt from taxation pursuant to the provisions of the 
Internal Revenue Code, 26 U.S.C., Section 501(c)(3), 
b. verified with a letter from the MIT Fab Foundation as 
an official member of the Fab Lab Network in 
compliance with the Fab Charter, and 
c. able to provide documentation that its primary and 
principal purpose is t o provide community access to 
advanced 21st centur y manufacturing and digital 
fabrication tools for science, technology, 
engineering, art, and math (STEAM) learning skills, 
developing inventions, creating and sustaining 
businesses, and producing personaliz ed products; 
81.  Effective November 1, 2021, sale s of tangible personal 
property or services used solely for construction and remo deling 
projects to an organizatio n which is exempt from taxation pursuant 
to the provisions of the Internal Revenue Code, 26 U.S.C., Section 
501(c)(3), and which meets the fol lowing requirements:   
 
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a. its primary purpose is to construct or remodel and 
sell affordable housing and provide hom eownership 
education to residents of Oklahoma that have an income 
that is below one hundred percent (100%) of the Family 
Median Income guideli nes as defined by the U.S. 
Department of Housing and Urban Development, 
b. it conducts its activities in a manner that serves 
public or charitable purposes, rather than commercial 
purposes, 
c. it receives funding and revenue and charges fees in a 
manner that does not incentivize it or its employees 
to act other than in the best interes ts of its 
clients, and 
d. it compensates its employees in a manner that does not 
incentivize employees to act other than in t he best 
interests of its clients; 
82.  Effective November 1, 2021, sales of tangible personal 
property or services to a nonprofit e ntity, organized pursuant to 
Oklahoma law before January 1, 2022, exempt from federal income 
taxation pursuant to Section 501 (c) of the Internal Revenue Code of 
1986, as amended, the principal functions of which are to provide 
assistance to natural persons following a disaster, with progr am 
emphasis on repair or restoration to single -family residential 
dwellings or the construct ion of a replacement single-family   
 
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residential dwelling.  As used in this paragraph, “disaster” means 
damage to property with or wi thout accompanying injury to pers ons 
from heavy rain, high winds, tornadic winds, drought, wildfire, 
snow, ice, geologic dist urbances, explosions, chemical accidents or 
spills, and other events causing damage to property on a large 
scale.  For purposes of this paragraph, an entity that ex pended at 
least seventy-five percent (75%) of its funds on the restoration to 
single-family housing following a disaster, including related 
general and administrative expenses, shall be eligible for the 
exemption authorized by this paragraph; and 
83.  Until July 1, 2022, sales of tangible personal property or 
services for use in a clinical practi ce or medical facility operated 
by an organization which is exempt from taxation pursuant to the 
provisions of the Internal Revenue Code of the United States, 26 
U.S.C., Section 501(c)(3), and which has entered into a joint 
operating agreement with the Uni versity Hospitals Trust created 
pursuant to Section 3224 of Title 63 of the Oklahoma Statutes.  The 
exemption provided by this para graph shall be limited to the 
purchase of tangible personal property and services for use in 
clinical practices or medical fa cilities acquired or leased by the 
organization from the University Hospitals Authority, University 
Hospitals Trust, or the Univers ity of Oklahoma on or after June 1, 
2021; and   
 
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84.  Effective July 1, 2022, sales of tangible personal property 
or services to an organization which is exem pt from taxation 
pursuant to the provisions of the Inter nal Revenue Code, 26 U.S.C., 
Section 501(c)(3) and which provides support t o veterans, active 
duty members of the Armed Forces, reservists , and members of the 
National Guard to assist with the transiti on to civilian life and 
which provides documentation to the Oklahoma Tax Commission that 
over seventy percent (70%) of its revenue is expended on support for 
transition to civilian life . 
SECTION 2.  This act shall become effective July 1, 2022. 
SECTION 3. It being immediately necessary for the preservation 
of the public peace, health or safety, an emergency is hereby 
declared to exist, by reason whereof this act shall tak e effect and 
be in full force from and after its passage and approval." 
 
 
Passed the Senate the 25th day of April, 2022. 
 
 
  
 	Presiding Officer of the Senate 
 
 
Passed the House of Representatives the ____ day of __________, 
2022. 
 
 
  
 	Presiding Officer of the House 
 	of Representatives   
 
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ENGROSSED HOUSE 
BILL NO. 3649 	By: Dills, Phillips, and 
McDugle of the House 
 
   and 
 
  Pemberton of the Senate 
 
 
 
 
 
 
 
[ revenue and taxation - sales tax exemptions for 
certain veteran service organizations - effective 
date -  
 	emergency ] 
 
 
 
 
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: 
SECTION 4.     AMENDATORY     68 O.S. 2021, Section 1356 , is 
amended to read as follows: 
Section 1356.  Exemptions - Governmental and nonprofit entities. 
There are hereby specifically exempted fro m the tax levied by 
Section 1350 et seq. of this title : 
1.  Sale of tangible personal property or services to the United 
States government or to the State of Okl ahoma, any political 
subdivision of this state or any agency of a political subdivision 
of this state; provided, all sales to contractors in connecti on with 
the performance of any contract with the United States governme nt,   
 
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State of Oklahoma or any of its political subdivisions shall not be 
exempted from the tax levied by Section 1350 et seq. of thi s title, 
except as hereinafter provided; 
2.  Sales of property to agents appointed by or under contract 
with agencies or inst rumentalities of the United States g overnment 
if ownership and possession of such property transfers immediately 
to the United States government; 
3.  Sales of property to agents appoint ed by or under contract 
with a political subdivision of this state if t he sale of such 
property is associat ed with the development of a qualified federal 
facility, as provided in the Oklahoma Federal Fa cilities Development 
Act, and if ownership and possess ion of such property transfers 
immediately to the political subdivision or the state; 
4.  Sales made direct ly by county, district or state fair 
authorities of this state, upon the premises of the fair a uthority, 
for the sole benefit of the fair authority o r sales of admission 
tickets to such fairs or fair events at any locati on in the state 
authorized by county , district or state fair authorities; provided, 
the exemption provided by this paragraph for ad mission tickets to 
fair events shall apply only to any portion of the admission price 
that is retained by or distributed to t he fair authority.  As used 
in this paragraph, "fair event" shall be limited to an event held on 
the premises of the fair authority in conjunction with and during 
the time period of a c ounty, district or state fair;   
 
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5.  Sale of food in cafeterias or lunchr ooms of elementary 
schools, high schools, colleges or universities which are operated 
primarily for teachers and pupils and are not operated primarily for 
the public or for profit; 
6.  Dues paid to fraternal, religious, civic, charitable or 
educational societies or organizations by regular m embers thereof, 
provided, such societies or organizations operate under what is 
commonly termed the lodge plan or system, and provided such 
societies or organizations do not operate for a profit which inures 
to the benefit of any individual member or membe rs thereof to the 
exclusion of other members and dues paid monthly or annually to 
privately owned scientific and educational libraries by members 
sharing the use of services rendered by such libraries with students 
interested in the study of geology, petro leum engineering or related 
subjects; 
7.  Sale of tangible personal property or services to or by 
churches, except sales made in the course of busine ss for profit or 
savings, competing with other persons engaged in the s ame or a 
similar business or sale of tangible personal property or services 
by an organization exempt from federal income tax pursu ant to 
Section 501(c)(3) of the Internal Revenue Code of 1986, as amended, 
made on behalf of or at the request of a church or churches if the 
sale of such property is conducted not more than once each calendar 
year for a period not to exceed three (3) days by the organization   
 
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and proceeds from the sale of suc h property are used by the church 
or churches or by the organization fo r charitable purposes; 
8.  The amount of proceeds received from the sale of admission 
tickets which is separately stated on the tic ket of admission for 
the repayment of money borrowed b y any accredited state -supported 
college or university or any public tr ust of which a county in this 
state is the beneficiary, for the purpose of constructing or 
enlarging any facility to be used for th e staging of an athletic 
event, a theatrical productio n, or any other form of entertainment, 
edification or cultural cultivat ion to which entry is gained with a 
paid admission ticket.  Such facilities include, but are not limited 
to, athletic fields, athle tic stadiums, field houses, amphitheaters 
and theaters.  To be eligible for this sales tax exemption, the 
amount separately stated on the admission ticket shall be a 
surcharge which is imposed, collected and used for the sole purpose 
of servicing or aiding in the servicing of debt incurred by the 
college or university to effect the capital improvements 
hereinbefore described; 
9. Sales of tangible personal propert y or services to the 
council organizations or similar state supervisory organizations of 
the Boy Scouts of America, Girl Scouts of U.S.A. and Camp Fi re USA; 
10.  Sale of tangible personal property or services to any 
county, municipality, rural water distri ct, public school district, 
the institutions of The Oklahoma State System of Higher Education,   
 
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the Grand River Dam Authority, the Northeast Oklahoma Public 
Facilities Authority, the Oklahoma Municipal Power Authority, Ci ty 
of Tulsa-Rogers County Port Autho rity, Muskogee City-County Port 
Authority, the Oklahoma Department of Veterans Affairs, the Bro ken 
Bow Economic Development Authority, Ardmore Develo pment Authority, 
Durant Industrial Authority, Oklahoma Ordnance Works A uthority, 
Central Oklahoma Master Co nservancy District, Arbuckle Master 
Conservancy District, Fort Cobb Master Conservancy District , Foss 
Reservoir Master Conservancy District, Mountain Park Master 
Conservancy District, Waurika Lake Master Conservancy Dist rict and 
the Office of Management an d Enterprise Services only when carrying 
out a public construction contract on behalf of the Ok lahoma 
Department of Veterans Affairs or to any person with whom any of the 
above-named subdivisions or agencies of this stat e has duly entered 
into a public contract pursuant to law, necessary for carrying out 
such public contract or to any subcontractor to such a public 
contract.  Any person making purchase s on behalf of such subdivision 
or agency of this state shall certify, in writing, on the copy of 
the invoice or sales ticket to be retained by the vendor that the 
purchases are made for and on behalf o f such subdivision or agency 
of this state and set out the name of such public subdivision or 
agency.  Any person who wrongfu lly or erroneously certifies that 
purchases are for any of the above-named subdivisions or agencies of 
this state or who otherwise violates this section shall be guilty of   
 
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a misdemeanor and upon conviction thereof shall be fined an amount 
equal to double the amount of sales tax involved or i ncarcerated for 
not more than sixty (60) days or both; 
11.  Sales of tangible personal property or services to private 
institutions of higher educati on and private elementary and 
secondary institutions of education accre dited by the State 
Department of Education or registered by the State Board of 
Education for purposes of participating in federal p rograms or 
accredited as defined by the Oklahoma State Regents for Higher 
Education which are exempt from taxation pursuant t o the provisions 
of the Internal Revenue Code, 26 U.S.C., Section 501(c)(3) including 
materials, supplies and equipment used in the construction and 
improvement of buildings and other s tructures owned by the 
institutions and operated for educational purpos es. 
Any person, firm, agency or enti ty making purchases on behalf of 
any institution, agency or subdivision in this state, shall ce rtify 
in writing, on the copy of the invoice or sales ticket the nature of 
the purchases, and violation of this paragraph sha ll be a 
misdemeanor as set forth in paragraph 10 of this section; 
12.  Tuition and educational fees paid to private institutions 
of higher education and private elementary and secondary 
institutions of education accredited by the State Department of 
Education or registered by the State Board of Education for purposes 
of participating in federal programs or accredited as defined by the   
 
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Oklahoma State Regents for Higher Education which are exempt from 
taxation pursuant to the provisions of the Internal Revenu e Code, 26 
U.S.C., Section 501(c)(3) ; 
13. a. Sales of tangible personal property made by: 
(1) a public school, 
(2) a private school offering instruction for grade 
levels kindergarten th rough twelfth grade, 
(3) a public school district, 
(4) a public or private school board, 
(5) a public or private school student group or 
organization, 
(6) a parent-teacher association or organization 
other than as specified in subparagraph b of this 
paragraph, or 
(7) public or private school personnel for purposes 
of raising funds for the benefit of a public or 
private school, public school district, public or 
private school board or public or private sc hool 
student group or organization, or 
b. Sales of tangible personal property made by or to 
nonprofit parent-teacher associations or organizations 
exempt from taxation pursuant to the provisions of the 
Internal Revenue Code, 26 U.S.C., Section 501(c)(3), 
nonprofit local public or private school foundations   
 
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which solicit money or property in the name of any 
public or private scho ol or public school district. 
The exemption provided by this paragraph for sales made by a 
public or private school shall be limite d to those public or private 
schools accredited by the State Department of Education or 
registered by the State Board of Educ ation for purposes of 
participating in federal programs. Sale of tangible personal 
property in this paragraph shall include sale o f admission tickets 
and concessions at athletic events ; 
14.  Sales of tangible personal property by: 
a. local 4-H clubs, 
b. county, regional or state 4 -H councils, 
c. county, regional or state 4-H committees, 
d. 4-H leader associations, 
e. county, regional or state 4-H foundations, and 
f. authorized 4-H camps and training centers. 
The exemption provided by this paragraph shall b e limited to 
sales for the purpose o f raising funds for the benefit of such 
organizations.  Sale of tangible personal property exem pted by this 
paragraph shall include sale of admission tickets; 
15.  The first Seventy -five Thousand Dollars ($75,000.00) eac h 
year from sale of tickets and conc essions at athletic events by each 
organization exempt from taxation pursuant to the provisions of the 
Internal Revenue Code, 26 U.S.C., Section 501( c)(4);   
 
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16.  Sales of tangible personal property or services to any 
person with whom the Oklahoma Tourism an d Recreation Department has 
entered into a public contract and which is necessary for carrying 
out such contract to assist the Department in the deve lopment and 
production of advertising, promotion, publicity and public relations 
programs; 
17.  Sales of tangible personal property or services to fire 
departments organized pursuant to Section 592 of T itle 18 of the 
Oklahoma Statutes which items are to be used for the purposes of the 
fire department.  Any person making purch ases on behalf of any such 
fire department shall certify, in writing, on the copy of the 
invoice or sales ticket to be retained by the vendor that the 
purchases are made for and on beha lf of such fire department and set 
out the name of such fire department .  Any person who wrongfully or 
erroneously certifies that the purchases are for any such fire 
department or who otherwise violates the provisions of this section 
shall be deemed guilty of a misdemeanor and upon conviction thereof, 
shall be fined an amount equal to double the amount of sales tax 
involved or incarcerated for not more than sixty (60) days, or both; 
18.  Complimentary or free tickets for admission to places of 
amusement, sports, entertainment, exhibition, display or other 
recreational events o r activities which are issued throug h a box 
office or other entity which is operated by a state institution of   
 
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higher education wit h institutional employees or by a municipality 
with municipal employees; 
19.  The first Fifteen Thousand Dollars ($15,000.00) each year 
from sales of tangible pe rsonal property by fire departments 
organized pursuant to Titles 11, 18 or 19 of the Oklahoma S tatutes 
for the purposes of raising funds for the bene fit of the fire 
department.  Fire departments selling tangible personal property for 
the purposes of raisin g funds shall be limited to no more than six 
(6) days each year to raise such funds in order to receive the 
exemption granted by this paragraph; 
20.  Sales of tangible personal property or services to any Boys 
& Girls Clubs of America affiliate in this sta te which is not 
affiliated with the Salvation Army and which is exempt from taxation 
pursuant to the provisions of the Internal Revenue Code, 26 U.S. C., 
Section 501(c)(3); 
21.  Sales of tangible personal property or serv ices to any 
organization, which take s court-adjudicated juveniles for purposes 
of rehabilitation, and which is exempt from taxation pursuant to the 
provisions of the Internal Revenue Co de, 26 U.S.C., Section 
501(c)(3), provided that at least fifty percent (50%) of the 
juveniles served by suc h organization are court adjudicated and the 
organization receives state funds in an amount les s than ten percent 
(10%) of the annual budget of the o rganization; 
22.  Sales of tangible personal property or services to:   
 
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a. any health center as defined in Se ction 254b of Title 
42 of the United States Code, 
b. any clinic receiving disbursements of stat e monies 
from the Indigent Health Care Revolving Fund pursuant 
to the provisions of Section 66 of Title 56 of the 
Oklahoma Statutes, 
c. any community-based health center which meets all of 
the following criteria: 
(1) provides primary care services at no co st to the 
recipient, and 
(2) is exempt from taxation p ursuant to the 
provisions of Section 501(c)(3) of the Internal 
Revenue Code, 26 U.S.C., Section 501(c)(3), and 
d. any community mental health center as defined in 
Section 3-302 of Title 43A of the Oklah oma Statutes; 
23.  Dues or fees including free or comp limentary dues or fees 
which have a value equivalent to the charge that could have 
otherwise been made, to YMCAs, YWCAs or municipally-owned 
municipally owned recreation centers for the use of facilitie s and 
programs; 
24.  The first Fifteen Thousand Dollar s ($15,000.00) each year 
from sales of tangible personal property or se rvices to or by a 
cultural organization established to s ponsor and promote 
educational, charitable and cultural events for disadvan taged   
 
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children, and which organization is exempt from taxation pursuant to 
the provisions of the Internal Revenue Code, 26 U. S.C., Section 
501(c)(3); 
25.  Sales of tangible personal property or services to museums 
or other entities which have been accredit ed by the American 
Association of Museums.  Any person making purchases on behalf of 
any such museum or other entity shall ce rtify, in writing, on the 
copy of the invoice or sales t icket to be retained by the vendor 
that the purchases are made for and on b ehalf of such museum or 
other entity and set out the n ame of such museum or other entity.  
Any person who wrongfully or erron eously certifies that the 
purchases are for any such mus eum or other entity or who otherwise 
violates the provisions of this paragr aph shall be deemed guilty of 
a misdemeanor and, upon conviction thereof, shall be fined an amount 
equal to double the amount of sales tax involved or incarcerat ed for 
not more than sixty (60) days, or by both such fine and 
incarceration; 
26.  Sales of tickets for admission by any museum accredited by 
the American Association of Museums.  In order to be eligible for 
the exemption provided by this paragraph, an amo unt equivalent to 
the amount of the tax which would otherwise be required to be 
collected pursuant to the provisions of Section 1350 et seq. of this 
title shall be separately stated on the admission ticket and shall 
be collected and used for the sole purpo se of servicing or a iding in   
 
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the servicing of debt incurred by the museum to effect the 
construction, enlarging or renovation of any facility to be u sed for 
entertainment, edification or cultural cultivation to which ent ry is 
gained with a paid admission t icket; 
27.  Sales of tangible personal property or services occurring 
on or after June 1, 1995, to children's homes which are supported or 
sponsored by one or more churches, members of which serve as 
trustees of the home ; 
28.  Sales of tangible personal pr operty or services t o the 
organization known as the Disabled American Veterans, Department of 
Oklahoma, Inc., and subordinate chapters thereof; 
29.  Sales of tangible personal property or services to youth 
camps which are supported or sponsored by one or m ore churches, 
members of which serve as trustees of the organization; 
30.  Transfer of tangible personal property made pursuant to 
Section 3226 of Title 63 of the Oklahoma Statutes by the University 
Hospitals Trust; 
31.  Sales of tangible personal property or services to a 
municipality, county or school district pursuant to a lease or 
lease-purchase agreement executed between the vendor and a 
municipality, county or school district.  A copy of the lease or 
lease-purchase agreement shall be retained by the v endor;   
 
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32.  Sales of tangible personal property or services to any 
spaceport user, as defined i n the Oklahoma Space Industry 
Development Act; 
33.  The sale, use, storage, consumption or distribution in this 
state, whether by the importer, exporter or anoth er person, of any 
satellite or any associated launch vehicle including components of, 
and parts and motors for, any such satellite or launch vehicle, 
imported or caused to be imported into this state for the purpose of 
export by means of launching into spa ce.  This exemption provided by 
this paragraph shall not be affected by: 
a. the destruction in whole or in part of the satellite 
or launch vehicle, 
b. the failure of a launch to occur or be successful, or 
c. the absence of any transfer or title to, or poss ession 
of, the satellite or launch vehicle after launch; 
34.  The sale, lease, use, storage, co nsumption or distribution 
in this state of any space f acility, space propulsion system or 
space vehicle, satellite or station of any kind possessing space 
flight capacity including components thereof; 
35.  The sale, lease, use, storage, consumption, or dis tribution 
in this state of tangible personal property, placed on or used 
aboard any space facility, space propulsion system o r space vehicle, 
satellite, or station possessing space flight capacity, which is 
launched into space, irrespective of whether such tangible property   
 
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is returned to this state for subse quent use, storage, or 
consumption in any manner; 
36.  The sale, lease, use, storage, consumption or distri bution 
in this state of tangible personal property meeting the definition 
of "section 38 property" as defined in Sections 48(a)(1)(A) and 
(B)(i) of the Internal Revenue Code of 1986, that is an integral 
part of and used primarily in support of space flight ; however, 
section 38 property used in support of space flight shall not 
include general office equipment, any boat, mobile home, motor 
vehicle or other vehicle of a class or type required to be 
registered, licensed, tit led or documented in this state or b y the 
United States government, or any other property not specifically 
suited to supporting spa ce activity.  The term "in support of space 
flight", for purposes of this paragraph, means the altering, 
monitoring, controll ing, regulating, adjusting, servicin g or 
repairing of any space facility, space propulsion systems or space 
vehicle, satellite or s tation possessing space flight capacity 
including the components thereof; 
37.  The purchase or lease of machinery and equipme nt for use at 
a fixed location in th is state, which is u sed exclusively in the 
manufacturing, processing, compounding or producing of any space 
facility, space propulsion system or spac e vehicle, satellite or 
station of any kind possessing space flight cap acity.  Provided, the 
exemption provided for in this par agraph shall not be allowed unless   
 
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the purchaser or lessee signs an affidav it stating that the item or 
items to be exempted are f or the exclusive use designated herein.  
Any person furnishing a false affidavit to the vendor for the 
purpose of evading payme nt of any tax imposed by Section 1354 of 
this title shall be subject to the penalties provided by law.  As 
used in this paragraph , "machinery and equipment " means "section 38 
property" as defined in Sections 48(a)(1)(A) and (B)(i) of th e 
Internal Revenue Code of 1986, which is used as an integral part of 
the manufacturing, proces sing, compounding or producing of items of 
tangible personal property.  Such term includes parts and 
accessories only to the extent that the exemption thereof is 
consistent with the provisions of this paragraph; 
38.  The amount of a surcharge or any other amount which is 
separately stated on an admission tick et which is imposed, collected 
and used for the sole purpose of constru cting, remodeling or 
enlarging facilities of a public tr ust having a municipality or 
county as its sole beneficiary; 
39.  Sales of tangible personal property or services which are 
directly used in or for the benefit of a state park in this state, 
which are made to an organization which is ex empt from taxation 
pursuant to the provisions of the Internal Revenue Code, 26 U.S.C., 
Section 501(c)(3) and which is organized primarily for the pur pose 
of supporting one or more state parks located in this state;   
 
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40.  The sale, lease or use of parking pr ivileges by an 
institution of The Oklahoma State System of Higher Education; 
41.  Sales of tangible personal property or services for use on 
campus or school construction projects for the benefit of 
institutions of The O klahoma State System of Higher Educa tion, 
private institutions of higher education accredited by the Oklahoma 
State Regents for Hig her Education or any public school or school 
district when such projects are financed by or through the use of 
nonprofit entities which are exempt from taxation pursuant to the 
provisions of the Internal Revenue Code, 26 U.S.C., Section 
501(c)(3); 
42.  Sales of tangible personal property or services by an 
organization which is exempt from taxation pursuant to the 
provisions of the Internal Revenue Code, 26 U.S.C., Section 
501(c)(3), in the course of conducting a national championship 
sports event, but only if all or a portion of the payment in 
exchange therefor would qualify as the receipt of a qualified 
sponsorship payment descr ibed in Internal Revenue Code, 26 U. S.C., 
Section 513(i).  Sales exempted pursuant to this paragraph shall be 
exempt from all Oklah oma sales, use, excise and gross receipts 
taxes; 
43.  Sales of tangible personal property or services to or by an 
organization which:   
 
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a. is exempt from taxation pursuant to the prov isions of 
the Internal Revenue Code, 26 U.S.C., Section 
501(c)(3), 
b. is affiliated with a comprehensive university within 
The Oklahoma State System of Higher Education, and 
c. has been organized prim arily for the purpose of 
providing education and teacher training and 
conducting events relating to robotics; 
44.  The first Fiftee n Thousand Dollars ($15,000.00) each year 
from sales of tangible personal property to or by youth athletic 
teams which are part of an athletic organization exemp t from 
taxation pursuant to the provisions of the Internal Revenue Code, 26 
U.S.C., Section 501(c)(4), for the purposes of raising funds for the 
benefit of the team; 
45.  Sales of tickets for admission to a collegiate at hletic 
event that is held in a facil ity owned or operate d by a municipality 
or a public trust of which the municipality is the sole beneficiary 
and that actually determines or is part o f a tournament or 
tournament process for determining a conference tourn ament 
championship, a conference cha mpionship, or a nati onal championship; 
46.  Sales of tangible personal property or services to or by an 
organization which is exempt from taxation pu rsuant to the 
provisions of the Internal Revenue Code, 26 U.S.C., Secti on   
 
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501(c)(3) and is operating the Ok lahoma City National Memorial and 
Museum, an affiliate of the National Park System; 
47.  Sales of tangible personal property or services to 
organizations which are exempt from federal taxation pursuant to the 
provisions of Section 501(c)(3) of the Internal Revenue Code, 26 
U.S.C., Section 501(c)(3), the memberships of which are limited to 
honorably discharged veterans, and which furnish financial suppo rt 
to area veterans' organizations to be used for the purpose of 
constructing a memorial or museum; 
48.  Sales of tangible pers onal property or services on or after 
January 1, 2003, to an organization w hich is exempt from taxation 
pursuant to the provision s of the Internal Revenue Code, 26 U.S.C., 
Section 501(c)(3) that is ex pending monies received from a priva te 
foundation grant in conjunction with expenditures of local sales tax 
revenue to construct a local public library; 
49.  Sales of tangible personal property or services to a state 
that borders this state or any politica l subdivision of that state, 
but only to the extent that the other state or political subdivision 
exempts or does not impose a tax on similar sales of items to this 
state or a political subdivision of this state; 
50.  Effective July 1, 2005, sales of tangi ble personal property 
or services to the Career Technology Student Organizations under the 
direction and supervision of the Oklahom a Department of Career and 
Technology Education;   
 
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51.  Sales of tangible personal property to a public trust 
having either a single city, town or county or multip le cities, 
towns or counties or combination thereof as beneficiary or 
beneficiaries or a nonpro fit organization which is exempt from 
taxation pursuant to the provisions of the Internal Revenue Code, 26 
U.S.C., Section 501(c)(3) for the purpose of construct ing 
improvements to or expanding a hospital or nursing home owned and 
operated by any such publ ic trust or nonprofit entity prior to July 
1, 2008, in counties with a population of less than one hundred 
thousand (100,000) persons, according to the most rece nt Federal 
Decennial Census.  As used in this paragraph, "constructing 
improvements to or expan ding" shall not mean any expense for routine 
maintenance or general repairs and shall require a project cost of 
at least One Hundred Thousand Dollars ($100,000.0 0).  For purposes 
of this paragraph, sales made to a contractor or subcontractor that 
enters into a contractual relationship with a public trust or 
nonprofit entity as described by this paragraph shall be considered 
sales made to the public trust or nonpro fit entity.  The exe mption 
authorized by this paragraph shall be administered in the form of a 
refund from the sales tax revenues apportioned pursuan t to Section 
1353 of this title and the vendor shall be required to col lect the 
sales tax otherwise applica ble to the transacti on.  The purchaser 
may apply for a refund of the sales tax paid in the mann er 
prescribed by this paragraph.  Within thirty (30) d ays after the end   
 
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of each fiscal year, any purchaser that is entitled t o make 
application for a refund base d upon the exempt tr eatment authorized 
by this paragraph may file an application for refund of the sales 
taxes paid during such preceding fiscal year .  The Tax Commission 
shall prescribe a form for purposes of making the application for 
refund.  The Tax Commission shall deter mine whether or not the total 
amount of sales tax exemptions claimed by all purchasers is equal to 
or less than Six Hundred Fifty Thousand Dollars ($650,000.00).  If 
such claims are less than or equal to that amount, the Tax 
Commission shall make refunds t o the purchasers in the full amount 
of the documented and verified sales ta x amounts.  If such claims by 
all purchasers are in ex cess of Six Hundred Fifty Thousand Dollars 
($650,000.00), the Tax Commi ssion shall determine the amount of each 
purchaser's claim, the total amount of all claims by all purchasers, 
and the percentage ea ch purchaser's claim amount bears to the total.  
The resulting percentage determined for each purchaser shall be 
multiplied by Six Hundred Fifty Thousand Dollars ($650,000.00) to 
determine the amount of refundable sales tax to be paid to each 
purchaser.  The pro rata refund amount shall be the only method to 
recover sales taxes paid during the preceding fiscal year and no 
balance of any sales taxes paid on a pro r ata basis shall be t he 
subject of any subsequent refund claim pursuant to this paragraph; 
52.  Effective July 1, 2006, sales of tangible personal pro perty 
or services to any organization which assists, trains, educates, and   
 
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provides housing for physically and mentally handica pped persons and 
which is exempt from taxation pursuant to the provisions o f the 
Internal Revenue Code, 26 U.S.C., Section 501(c) (3) and that 
receives at least eighty -five percent (85%) of its annual budget 
from state or federal funds. In order to receive the benefit of the 
exemption authorized by this paragraph, the taxpayer sh all be 
required to make payment of the applicable sale s tax at the time of 
sale to the vendor in the manner otherwise require d by law.  
Notwithstanding any other provision of the Oklahoma Uniform Tax 
Procedure Code to the contrary, the taxpayer shall be au thorized to 
file a claim for refund of sales taxes pai d that qualify for the 
exemption authorized by this paragraph for a per iod of one (1) year 
after the date of the sale transacti on.  The taxpayer shall be 
required to provide documentation as may be pres cribed by the 
Oklahoma Tax Commission in support of th e refund claim.  The total 
amount of sales tax qualifying for exempt tr eatment pursuant to this 
paragraph shall not exceed One Hundred Seventy-five Thousand Dollars 
($175,000.00) each fiscal year.  Clai ms for refund shall be 
processed in the order in which such claims are received by the 
Oklahoma Tax Commission.  If a claim o therwise timely filed exceeds 
the total amount of refund s payable for a fiscal year, such claim 
shall be barred; 
53.  The first Two Thousand Dollars ($2,000.00) each year of 
sales of tangible personal property or services to, by, or for the   
 
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benefit of a qualified neighborhood watch organizat ion that is 
endorsed or supported by or working directly with a law enforcement 
agency with jurisdiction in the area in which the neighborhood watch 
organization is located.  As used in this paragraph, "qualified 
neighborhood watch organization " means an organization that is a 
not-for-profit corporation under the laws of the State of Oklahoma 
that was created to help prevent criminal activity in an are a 
through community involvement and interaction with local law 
enforcement and which is one of the first tw o thousand organizat ions 
which makes application to the Oklahoma Tax Commission for the 
exemption after March 29, 2006; 
54.  Sales of tangible person al property to a nonprofit 
organization, exempt from taxation pursuant to the provisions of the 
Internal Revenue Code, 26 U.S.C ., Section 501(c)(3), organized 
primarily for the purpose of providing serv ices to homeless persons 
during the day and located in a metropolitan area with a population 
in excess of five hundred thousa nd (500,000) persons according to 
the latest Federal Dec ennial Census.  The exemption authorized by 
this paragraph shall be applica ble to sales of tangible personal 
property to a qualif ied entity occurring on or after January 1, 
2005; 
55.  Sales of tangibl e personal property or services to o r by an 
organization which is exempt from taxation pursuant to the 
provisions of the Internal R evenue Code, 26 U.S.C., Section   
 
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501(c)(3) for events t he principal purpose of which is to provide 
funding for the preservatio n of wetlands and habitat for wild d ucks; 
56.  Sales of tangible personal property or services to or by an 
organization which is ex empt from taxation pursuant to the 
provisions of the Internal Revenue Code, 26 U.S.C., Section 
501(c)(3) for events the princ ipal purpose of which is to provide 
funding for the pres ervation and conservation of wild turkeys; 
57.  Sales of tangible personal property or services to an 
organization which: 
a. is exempt from taxation pursuant to the provisions of 
the Internal Revenue Code, 26 U.S.C., Section 
501(c)(3), and 
b. is part of a network of community-based, autonomous 
member organizations that meets the following 
criteria: 
(1) serves people with workplace d isadvantages and 
disabilities by providing job training and 
employment services, as well as job placement 
opportunities and pos t-employment support, 
(2) has locations in the United States and at least 
twenty other countries, 
(3) collects donated clothing a nd household goods to 
sell in retail stores and provides contract labor 
services to business and government , and   
 
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(4) provides documentation to the Oklahoma Tax 
Commission that over seventy -five percent (75%) 
of its revenues are channeled into employment, 
job training and placement programs and other 
critical community service s; 
58.  Sales of tickets made on or after September 21, 2005, and 
complimentary or free tickets for admission issued on or after 
September 21, 2005, which have a value equivalent to the charge that 
would have otherwise been made, for admission to a profess ional 
athletic event in which a team in the National Basketball 
Association is a participant, which is held in a facility owned or 
operated by a municipality, a county or a public trust of which a 
municipality or a county is the sole beneficiary, and sales of 
tickets made on or after July 1, 2007, and complimentary or free 
tickets for admission issued on or after July 1, 2007, which h ave a 
value equivalent to the charge that would have o therwise been made, 
for admission to a professional athletic event in w hich a team in 
the National Hockey L eague is a participa nt, which is held in a 
facility owned or operated by a municipality, a coun ty or a public 
trust of which a municipality or a coun ty is the sole beneficiary; 
59.  Sales of tickets for admission and com plimentary or free 
tickets for admission which have a va lue equivalent to the charge 
that would have otherwise been made to a profe ssional sporting event 
involving ice hockey, baseball, basketball, football or arena   
 
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football, or soccer.  As used in this pa ragraph, "professional 
sporting event" means an organized athletic competition between 
teams that are members of an organized leagu e or association with 
centralized management, other th an a national league or national 
association, that imposes requirements for participation in the 
league upon the teams, the ind ividual athletes or both, and which 
uses a salary structure to compensate t he athletes; 
60.  Sales of tickets for admission to an annual event sponsored 
by an educational and charitable organization o f women which is 
exempt from taxation pursuant to the pr ovisions of the Internal 
Revenue Code, 26 U.S.C., Section 501(c)(3) and has as its mission 
promoting volunteerism, developing the potential of women and 
improving the community through the effective a ction and leadership 
of trained volunteers; 
61.  Sales of tangible personal property or services to an 
organization, which is exemp t from taxation pursuant to the 
provisions of the Inte rnal Revenue Code, 26 U.S.C., Section 
501(c)(3), and which is itself a member of an organization which is 
exempt from taxation pursuant to the provisions of the Internal 
Revenue Code, 26 U.S.C., Section 501(c)(3), if the membership 
organization is primaril y engaged in advancing the purposes of its 
member organizations through fundraising, public awareness or ot her 
efforts for the benefit of its member organizations, and if the 
member organization is prim arily engaged either in providing   
 
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educational services and programs concerning health -related diseases 
and conditions to indi viduals suffering from such health -related 
diseases and conditions or their caregivers and family members or 
support to such indivi duals, or in health-related research as to 
such diseases and conditions, or both.  In order to qualify for the 
exemption authorized by this paragraph, the member nonprofit 
organization shall be required to provide proof to the Oklahoma Tax 
Commission of its membership status in the membership organization; 
62.  Sales of tangible personal property or services to or by an 
organization which is part of a national vol unteer women's service 
organization dedicated to promoting patriotism, preserving American 
history and securing better education for children and whi ch has at 
least 168,000 members in 3,000 chapters across the United Sta tes; 
63.  Sales of tangible personal property or services to or by a 
YWCA or YMCA organization which is part of a national nonprofi t 
community service organization working to meet the h ealth and social 
service needs of its members across the United States; 
64.  Sales of tangible personal pro perty or services to or by a 
veteran's organization which is exempt from taxation pursuant to t he 
provisions of the Internal Revenue Code, 26 U.S.C., Section 
501(c)(19) and which is known as the Veterans of Foreign Wars of the 
United States, Oklahoma Chapt ers; 
65.  Sales of boxes of food by a church or by an organization, 
which is exempt from taxati on pursuant to the provisions of the   
 
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Internal Revenue Code, 26 U.S.C., Section 501(c)(3).  To qualify 
under the provisions of this paragraph, the organization mu st be 
organized for the primary purpose of feeding needy individuals or to 
encourage volunteer service by requiring such service in order to 
purchase food.  These boxes shall only contain edible staple food 
items; 
66.  Sales of tangible personal property o r services to any 
person with whom a church has duly entered into a construction 
contract, necessary for carrying out such contract or to any 
subcontractor to such a construction contract; 
67.  Sales of tangible personal property or services used 
exclusively for charitable or educational purposes, to or by an 
organization which: 
a. is exempt from taxation pursuant to the provisions of 
the Internal Revenue Code, 26 U.S.C., Section 
501(c)(3), 
b. has filed a Not-for-Profit Certificate of 
Incorporation in this state, and 
c. is organized for the purpose of: 
(1) providing training and education to 
developmentally disabled individuals, 
(2) educating the commun ity about the rights, 
abilities and strengths of developmentally 
disabled individuals, and   
 
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(3) promoting unity among developmen tally disabled 
individuals in their community and geographic 
area; 
68.  Sales of tangible personal property or services to any 
organization which is a shelter for abused, neglected, or abandoned 
children and which is exempt from taxatio n pursuant to the 
provisions of the Internal Revenue Code, 26 U.S.C., Section 
501(c)(3); provided, until July 1, 2008, such exemption shall apply 
only to eligible shelters for children from birth to age twelve (12) 
and after July 1, 2008, such exemption sh all apply to eligibl e 
shelters for children from birth to age eighteen (18); 
69.  Sales of tangible personal property or services to a child 
care center which is licensed pursuant to the Oklahoma Child Care 
Facilities Licensing Act and which: 
a. possesses a 3-star rating from the Department of Human 
Services Reaching for the Stars Program or a natio nal 
accreditation, and 
b. allows on site on-site universal pre-kindergarten 
prekindergarten education to be provided to four -year-
old children through a contract ual agreement with a ny 
public school or school district. 
For the purposes of this paragraph, sa les made to any person, 
firm, agency or entity that ha s entered previously into a 
contractual relationship with a child care center for construction   
 
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and improvement of buildings and other structures owned by the child 
care center and operated for education al purposes shall be 
considered sales made to a child care center.  Any such person, 
firm, agency or entity making purchases on behalf of a child care 
center shall certify, in writi ng, on the copy of the invoice or 
sales ticket the nature of the purchase. Any such person, or person 
acting on behalf of a firm , agency or entity making purchases on 
behalf of a child care center in violation of this paragraph shall 
be guilty of a misdem eanor and upon conviction thereof shall b e 
fined an amount equal to double the amount of sales tax involved or 
incarcerated for not more than sixty (60) days or both; 
70. a. Sales of tangible personal property to a service 
organization of mothers who have children who are 
serving or who have serv ed in the military, which 
service organization is exempt from taxation pursuant 
to the provisions of the Internal Revenue Code, 26 
U.S.C., Section 501(c)(19) a nd which is known as the 
Blue Star Mothers of America, I nc.  The exemption 
provided by this parag raph shall only apply to the 
purchase of tangible personal property actually sent 
to United States military personnel overseas who are 
serving in a combat zone and not to any other tangible 
personal property purchas ed by the organization.  
Provided, this exemption shall not apply to any sa les   
 
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tax levied by a city, town, county, or any other 
jurisdiction in this state. 
b. The exemption authorized by this paragrap h shall be 
administered in the form of a refund from the sales 
tax revenues apportioned pursuant to Section 1353 of 
this title, and the vendor shall be required to 
collect the sales tax otherwise applicable to the 
transaction.  The purchaser may apply for a refund of 
the state sales tax paid in the manner prescribed by 
this paragraph.  Within sixty (6 0) days after the end 
of each calendar quarter, any purchaser that is 
entitled to make application for a refund based upon 
the exempt treatment authorized by t his paragraph may 
file an application for refund of the state sales 
taxes paid during such preced ing calendar quarter.  
The Tax Commission shall prescribe a form for purposes 
of making the application for refund. 
c. A purchaser who applies for a refund pur suant to this 
paragraph shall certif y that the items wer e actually 
sent to military personnel ove rseas in a combat zone.  
Any purchaser that applies for a refund for the 
purchase of items that are not authorized for 
exemption under this paragraph shall be subject to a   
 
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penalty in the amount o f Five Hundred Dolla rs 
($500.00); 
71.  Sales of food and snac k items to or by an organization 
which is exempt from taxation pursuant to the provision s of the 
Internal Revenue Code, 26 U.S.C., Section 501(c)(3), whose pri mary 
and principal purpose is provid ing funding for scho larships in the 
medical field; 
72.  Sales of tangible personal property or services for use 
solely on construction projects for o rganizations which are exempt 
from taxation pursuant to the provisions of the Internal Revenue 
Code, 26 U.S.C., Section 501(c)( 3) and whose purpose is providing 
end-of-life care and access to hospice se rvices to low-income 
individuals who live in a facilit y owned by the organization.  The 
exemption provided by this paragraph applies to sales to the 
organization as well as to sales to any person with whom the 
organization has duly entered into a construct ion contract, 
necessary for carrying out such contract or to any subcontractor to 
such a construction contract.  Any person m aking purchases on behalf 
of such organization shall cer tify, in writing, on the copy of the 
invoice or sales ticket to be retained by the vendor that the 
purchases are made for and on behalf of such organization and set 
out the name of such organization. Any person who wrongfully or 
erroneously certifies that purchases are for any of the above -named 
organizations or who otherwise vi olates this section shall be guilty   
 
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of a misdemeanor and upon conviction thereof shall be fined an 
amount equal to double the amount of sales tax involved or 
incarcerated for not mo re than sixty (60) days or both; 
73.  Sales of tickets for admission to eve nts held by 
organizations exempt from taxation pursuan t to the provisions of the 
Internal Revenue Code, 26 U.S.C., Section 50 1(c)(3) that are 
organized for the purpose of supporting general hospitals licensed 
by the State Department of Health; 
74.  Sales of tangible personal property or services: 
a. to a foundation which is exempt from taxation pursuant 
to the provisions of the Internal Revenue Code, 26 
U.S.C., Section 501(c)(3) and which raises tax-
deductible contributions in support of a wide range of 
firearms-related public interest activities of the 
National Rifle Association of America and other 
organizations that defend and foster Second Amendment 
rights, and 
b. to or by a grassroots fundraising program for sales 
related to events to raise funds for a foundation 
meeting the qualifications of subparagraph a of this 
paragraph; 
75.  Sales by an organization or entity which is e xempt from 
taxation pursuant to the provisions of the In ternal Revenue Code, 26 
U.S.C., Section 501(c)(3) which are related to a fu ndraising event   
 
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sponsored by the organization or entit y when the event does not 
exceed any five (5) consecutive days and when the sales are not in 
the organization's or the entity's regular course of business.  
Provided, the exemption provided in this para graph shall be limited 
to tickets sold for admittance to the fundraising event and items 
which were donated to the organizati on or entity for sale at the 
event; 
76.  Effective Novem ber 1, 2017, sales of tangible personal 
property or services to an organiza tion which is exempt from 
taxation pursuant to the pro visions of the Internal Revenue Code, 26 
U.S.C., Section 501(c)(3) and operates as a collaborative model 
which connects communi ty agencies in one location to serve 
individuals and families affected by v iolence and where victims have 
access to services and advocacy at no cost to the victim; 
77.  Effective July 1, 2018, sales o f tangible personal property 
or services to or by an ass ociation which is exempt from taxation 
pursuant to the provisions of the In ternal Revenue Code, 26 U.S.C., 
Section 501(c)(19) and which is known as the National Guard 
Association of Oklahoma; 
78.  Effective July 1, 2018, sales of tangib le personal property 
or services to or by an association whic h is exempt from taxation 
pursuant to the provisions of the Internal Revenue Code, 26 U. S.C., 
Section 501(c)(4) and which is known as the Marine Corps League o f 
Oklahoma;   
 
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79.  Sales of tangible p ersonal property or services to the 
American Legion, whether the purchase is made by the entity 
chartered by the United States Congress or is an enti ty organized 
under the laws of this or another state pursuant to the au thority of 
the national American Leg ion organization; 
80.  Sales of tangible personal property or services to or by an 
organization which is: 
a. exempt from taxation pursuant to the pro visions of the 
Internal Revenue Code, 26 U.S.C., Section 501(c)(3), 
b. verified with a letter from the MIT Fab Foundation as 
an official member of the Fab Lab Network i n 
compliance with the Fab Charter, and 
c. able to provide documentation that its primary and 
principal purpose is to provide community access to 
advanced 21st century manufacturing and digital 
fabrication tools for science, technology, 
engineering, art and math (STEAM) learning skills, 
developing inventions, creating and sustaining 
businesses and producing personalized products; and 
81.  Effective November 1, 20 21, through December 31, 2024, 
sales of tangible personal property or services to a museum that: 
a. operates as a part of an organi zation which is exempt 
from taxation pursuant to the p rovisions of the 
Internal Revenue Code, 26 U.S.C., Section 501(c)(3),   
 
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b. is not accredited by the American Alliance of Museums, 
and 
c. operates on an annual budget of l ess than One Million 
Dollars ($1,000,000.00); and 
82.  Effective July 1, 2022, sales of tangible personal property 
or services to an organization which is exem pt from taxation 
pursuant to the provisions of the Inter nal Revenue Code, 26 U.S.C., 
Section 501(c)(3) and which provides support t o veterans, active 
duty members of the Armed Forces, r eservists and members of the 
National Guard to assist with the transiti on to civilian life. 
SECTION 5.  This act shall become effective July 1, 2022. 
SECTION 6.  It being immediately necessary for the preservation 
of the public peace, health or safety, an emergency is hereby 
declared to exist, by reason whereof this act shall tak e effect and 
be in full force from and after its passage and approval. 
Passed the House of Rep resentatives the 8th day of March, 2022. 
 
 
 
  
 	Presiding Officer of the House 
 	of Representatives 
 
 
Passed the Senate the ___ day of __________, 2022. 
 
 
 
  
 	Presiding Officer of the Senate