New Workspace

About Sign Up Login

Research Tools

Keyword Search

Bill Content

Videos & Transcripts

Capitol Directory

US
Oklahoma OK
Legislatures
2022 Regular Session
Senate
Bills
SB1473
Compare Versions

OK

Oklahoma Senate Bill SB1473

Overview
Authors & Sponsors
Activity Timeline
Action History
Meeting Schedule
Draft Versions & Texts
Latest Draft
Compare Versions
Committee Assignments

Oklahoma 2022 Regular Session

Oklahoma Senate Bill SB1473 Compare Versions

Only one version of the bill is available at this time.

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1	1
2	2
3	3
4	4		Req. No. 2412 Page 1 1
5	5		2
6	6		3
7	7		4
8	8		5
9	9		6
10	10		7
11	11		8
12	12		9
13	13		10
14	14		11
15	15		12
16	16		13
17	17		14
18	18		15
19	19		16
20	20		17
21	21		18
22	22		19
23	23		20
24	24		21
25	25		22
26	26		23
27	27		24
28	28		1
29	29		2
30	30		3
31	31		4
32	32		5
33	33		6
34	34		7
35	35		8
36	36		9
37	37		10
38	38		11
39	39		12
40	40		13
41	41		14
42	42		15
43	43		16
44	44		17
45	45		18
46	46		19
47	47		20
48	48		21
49	49		22
50	50		23
51	51		24
52	52
53	53		STATE OF OKLAHOMA
54	54
55	55		2nd Session of the 58th Legislature (2022)
56	56
57	57		SENATE BILL 1473 By: Bergstrom
58	58
59	59
60	60
61	61
62	62
63	63		AS INTRODUCED
64	64
65	65		An Act relating to sales tax; amending 68 O.S. 2021,
66	66		Section 1357, as amended by Section 1, Chapter 68,
67	67		O.S.L. 2021, which relates to exemptions; providing
68	68		exemption for groceries; providing certain
69	69		exceptions; defining terms; providing exception for
70	70		certain political subdivisions; amending 68 O.S.
71	71		2021, Section 1370, which relates to county sales
72	72		tax; providing exception to requirement that all
73	73		items exempt from the state sales tax be e xempt from
74	74		county sales tax; and providing an effective date.
75	75
76	76
77	77
78	78
79	79		BE IT ENACTED BY THE PEOPLE OF THE STATE O F OKLAHOMA:
80	80		SECTION 1. AMENDATORY 68 O.S. 2021, Section 1357, as
81	81		amended by Section 1, Chapter 68, O.S.L. 2021, is amended to read as
82	82		follows:
83	83		Section 1357. Exemptions – General. There are hereby
84	84		specifically exempted from the t ax levied by the Oklahoma Sales Tax
85	85		Code:
86	86		1. Transportation of school pupils to and f rom elementary
87	87		schools or high schools in motor or other veh icles;
88	88
89	89
90	90		Req. No. 2412 Page 2 1
91	91		2
92	92		3
93	93		4
94	94		5
95	95		6
96	96		7
97	97		8
98	98		9
99	99		10
100	100		11
101	101		12
102	102		13
103	103		14
104	104		15
105	105		16
106	106		17
107	107		18
108	108		19
109	109		20
110	110		21
111	111		22
112	112		23
113	113		24
114	114		1
115	115		2
116	116		3
117	117		4
118	118		5
119	119		6
120	120		7
121	121		8
122	122		9
123	123		10
124	124		11
125	125		12
126	126		13
127	127		14
128	128		15
129	129		16
130	130		17
131	131		18
132	132		19
133	133		20
134	134		21
135	135		22
136	136		23
137	137		24
138	138
139	139		2. Transportation of persons where the f are of each person does
140	140		not exceed One Dollar ($1.00), or loca l transportation of persons
141	141		within the corporate limits of a municipality except by ta xicabs;
142	142		3. Sales for resale to persons engaged in the business of
143	143		reselling the articles purchased, whethe r within or without the
144	144		state, provided that such sales to resi dents of this state are made
145	145		to persons to whom sales tax permits have been issued as provided in
146	146		the Oklahoma Sales Tax Code. This exemption shall not apply to the
147	147		sales of articles made to p ersons holding permits when such persons
148	148		purchase items for the ir use and which they are not regularl y
149	149		engaged in the business of reselling; neither shall this exemption
150	150		apply to sales of tangible personal property to peddlers,
151	151		solicitors, and other salespersons who do not have an established
152	152		place of business and a s ales tax permit. The exemption provid ed by
153	153		this paragraph shall apply to sales of mot or fuel or diesel fuel to
154	154		a Group Five vendor, but the use of such motor fuel or diesel fuel
155	155		by the Group Five vendor shall not be exempt from the tax levied by
156	156		the Oklahoma Sales Tax Code. The purchase of motor fuel or diesel
157	157		fuel is exempt from sales ta x when the motor fuel is for shipment
158	158		outside this state and consumed by a common carrier by rail in the
159	159		conduct of its business. The sales tax shall apply to the purcha se
160	160		of motor fuel or diesel fuel in Okl ahoma by a common carrier by rail
161	161		when such motor fuel is purchased for fueling, within this state, of
162	162		any locomotive or other motorized flanged wheel equip ment;
163	163
164	164
165	165		Req. No. 2412 Page 3 1
166	166		2
167	167		3
168	168		4
169	169		5
170	170		6
171	171		7
172	172		8
173	173		9
174	174		10
175	175		11
176	176		12
177	177		13
178	178		14
179	179		15
180	180		16
181	181		17
182	182		18
183	183		19
184	184		20
185	185		21
186	186		22
187	187		23
188	188		24
189	189		1
190	190		2
191	191		3
192	192		4
193	193		5
194	194		6
195	195		7
196	196		8
197	197		9
198	198		10
199	199		11
200	200		12
201	201		13
202	202		14
203	203		15
204	204		16
205	205		17
206	206		18
207	207		19
208	208		20
209	209		21
210	210		22
211	211		23
212	212		24
213	213
214	214		4. Sales of advertising space in newspapers and periodi cals;
215	215		5. Sales of programs relating t o sporting and entertainment
216	216		events, and sales of advertising on billboards (including signage,
217	217		posters, panels, marquees, or on other similar surfaces, w hether
218	218		indoors or outdoors) or in programs relating to sporting and
219	219		entertainment events, and sales of any advertising, to be displayed
220	220		at or in connection with a sporting event, via the Internet,
221	221		electronic display devices, or through public address or br oadcast
222	222		systems. The exemption authorized by this paragraph sha ll be
223	223		effective for all sales made on or after January 1, 2001;
224	224		6. Sales of any advertising, other than the advertising
225	225		described by paragraph 5 of this section, via the Internet,
226	226		electronic display devices, or through the electronic media ,
227	227		including radio, public address or broadcast systems , television
228	228		(whether through closed circuit bro adcasting systems or otherwise),
229	229		and cable and satellite television, and the servicing of any
230	230		advertising devices;
231	231		7. Eggs, feed, supplies, machinery , and equipment purchased by
232	232		persons regularly engaged in the business of raising worms, fish,
233	233		any insect, or any other form of terrestrial or aquatic animal life
234	234		and used for the purpose of raising same for mark eting. This
235	235		exemption shall only be granted and extended to the purchaser when
236	236		the items are to be us ed and in fact are used in the raising of
237	237		animal life as set out above. Each purchaser shall certify, in
238	238
239	239
240	240		Req. No. 2412 Page 4 1
241	241		2
242	242		3
243	243		4
244	244		5
245	245		6
246	246		7
247	247		8
248	248		9
249	249		10
250	250		11
251	251		12
252	252		13
253	253		14
254	254		15
255	255		16
256	256		17
257	257		18
258	258		19
259	259		20
260	260		21
261	261		22
262	262		23
263	263		24
264	264		1
265	265		2
266	266		3
267	267		4
268	268		5
269	269		6
270	270		7
271	271		8
272	272		9
273	273		10
274	274		11
275	275		12
276	276		13
277	277		14
278	278		15
279	279		16
280	280		17
281	281		18
282	282		19
283	283		20
284	284		21
285	285		22
286	286		23
287	287		24
288	288
289	289		writing, on the invoice or sales ticket retained by the vendor that
290	290		the purchaser is regularly engaged in the bu siness of raising such
291	291		animal life and that the items purchased will be used only in s uch
292	292		business. The vendor shall certify to the Oklahoma Tax Commission
293	293		that the price of the items has bee n reduced to grant the full
294	294		benefit of the exemption . Violation hereof by the purchaser or
295	295		vendor shall be a misdemeanor;
296	296		8. Sale of natural or arti ficial gas and electricity, and
297	297		associated delivery or transmission services, when sold exclusively
298	298		for residential use. Provided, this exemption shall not apply to
299	299		any sales tax levied by a city or town, or a county, or any other
300	300		jurisdiction in this sta te;
301	301		9. In addition to the exemptions authorized by Section 1357.6
302	302		of this title, sales of drugs sold pu rsuant to a prescription
303	303		written for the treatment of human beings by a person licensed to
304	304		prescribe the drugs, and sales of insulin and medical oxygen .
305	305		Provided, this exemption shall not apply to over-the-counter drugs;
306	306		10. Transfers of title or posses sion of empty, partially
307	307		filled, or filled returnable oil and chemi cal drums to any person
308	308		who is not regularly engaged in the business of selling, resel ling,
309	309		or otherwise transferring empty, partially filled, or filled
310	310		returnable oil drums;
311	311
312	312
313	313		Req. No. 2412 Page 5 1
314	314		2
315	315		3
316	316		4
317	317		5
318	318		6
319	319		7
320	320		8
321	321		9
322	322		10
323	323		11
324	324		12
325	325		13
326	326		14
327	327		15
328	328		16
329	329		17
330	330		18
331	331		19
332	332		20
333	333		21
334	334		22
335	335		23
336	336		24
337	337		1
338	338		2
339	339		3
340	340		4
341	341		5
342	342		6
343	343		7
344	344		8
345	345		9
346	346		10
347	347		11
348	348		12
349	349		13
350	350		14
351	351		15
352	352		16
353	353		17
354	354		18
355	355		19
356	356		20
357	357		21
358	358		22
359	359		23
360	360		24
361	361
362	362		11. Sales of one-way utensils, paper napkins, paper cups,
363	363		disposable hot contain ers, and other one-way carry out materials to
364	364		a vendor of meals or beverages;
365	365		12. Sales of food or food products for home consumption which
366	366		are purchased in whole or in part with coupons i ssued pursuant to
367	367		the federal food stamp program as authorized by S ections 2011
368	368		through 2029 of Title 7 o f the United States Code, as to that
369	369		portion purchased with such coupons. The exemption provided for
370	370		such sales shall be inapplicable to such sales up on the effective
371	371		date of any federal law that removes the requireme nt of the
372	372		exemption as a condition for participation by the state in the
373	373		federal food stamp program;
374	374		13. Sales of food or food products, or any equipment or
375	375		supplies used in the preparati on of the food or food products to or
376	376		by an organization which:
377	377		a. is exempt from taxation pursuant to the provisions of
378	378		Section 501(c)(3) of the Internal Revenue Code, 26
379	379		U.S.C., Section 501(c)(3), and which provides and
380	380		delivers prepared meals for home consumption to
381	381		elderly or homebound persons as part of a program
382	382		commonly known as "Meals on Wheels" or "Mobile Meals",
383	383		or
384	384		b. is exempt from taxation pursu ant to the provisions of
385	385		Section 501(c)(3) of the Internal Revenue Code, 26
386	386
387	387
388	388		Req. No. 2412 Page 6 1
389	389		2
390	390		3
391	391		4
392	392		5
393	393		6
394	394		7
395	395		8
396	396		9
397	397		10
398	398		11
399	399		12
400	400		13
401	401		14
402	402		15
403	403		16
404	404		17
405	405		18
406	406		19
407	407		20
408	408		21
409	409		22
410	410		23
411	411		24
412	412		1
413	413		2
414	414		3
415	415		4
416	416		5
417	417		6
418	418		7
419	419		8
420	420		9
421	421		10
422	422		11
423	423		12
424	424		13
425	425		14
426	426		15
427	427		16
428	428		17
429	429		18
430	430		19
431	431		20
432	432		21
433	433		22
434	434		23
435	435		24
436	436
437	437		U.S.C., Section 501(c)(3 ), and which receives federal
438	438		funding pursuant to the Older Americans Act of 1965,
439	439		as amended, for the purpo se of providing nutrition
440	440		programs for the care and benefit of elderly persons;
441	441		14. a. Sales of tangible personal property or services to or
442	442		by organizations which are exempt from taxation
443	443		pursuant to the provisions of Section 501(c)(3) of the
444	444		Internal Revenue Code, 26 U.S.C., Section 501(c)(3),
445	445		and:
446	446		(1) are primarily involved in the collection and
447	447		distribution of food and other household products
448	448		to other organizations that facilitate the
449	449		distribution of such products to the needy and
450	450		such distributee orga nizations are exempt from
451	451		taxation pursuant to the provisions of Section
452	452		501(c)(3) of the Internal Revenue Code, 26
453	453		U.S.C., Section 501(c)(3), or
454	454		(2) facilitate the distribution of such products to
455	455		the needy.
456	456		b. Sales made in the course of business for pro fit or
457	457		savings, competing with other persons e ngaged in the
458	458		same or similar business shall not be exempt under
459	459		this paragraph;
460	460
461	461
462	462		Req. No. 2412 Page 7 1
463	463		2
464	464		3
465	465		4
466	466		5
467	467		6
468	468		7
469	469		8
470	470		9
471	471		10
472	472		11
473	473		12
474	474		13
475	475		14
476	476		15
477	477		16
478	478		17
479	479		18
480	480		19
481	481		20
482	482		21
483	483		22
484	484		23
485	485		24
486	486		1
487	487		2
488	488		3
489	489		4
490	490		5
491	491		6
492	492		7
493	493		8
494	494		9
495	495		10
496	496		11
497	497		12
498	498		13
499	499		14
500	500		15
501	501		16
502	502		17
503	503		18
504	504		19
505	505		20
506	506		21
507	507		22
508	508		23
509	509		24
510	510
511	511		15. Sales of tangible personal property or services to
512	512		children's homes which are located on church-owned property and are
513	513		operated by organizations exempt from taxation purs uant to the
514	514		provisions of the Internal Revenue Code, 26 U.S.C., Section
515	515		501(c)(3);
516	516		16. Sales of computers, data processing equipment, related
517	517		peripherals, and telephone, telegraph or telecommunications service
518	518		and equipment for use in a qualified aircraft maintenance or
519	519		manufacturing facility. For purposes of this paragraph, "qualified
520	520		aircraft maintenance or manufacturing facility" means a new or
521	521		expanding facility primar ily engaged in aircraft repair, buildi ng,
522	522		or rebuilding whether or not on a factory ba sis, whose total cost of
523	523		construction exceeds the sum of Five Million Dollars ($5,000,000.00)
524	524		and which employs at least two hundred fifty (250) new full -time-
525	525		equivalent employees, as certified by the Oklahom a Employment
526	526		Security Commission, upon completio n of the facility. In order to
527	527		qualify for the exemption provided for by this paragraph, the co st
528	528		of the items purchased by the qualified aircraft maintenance or
529	529		manufacturing facility shall equal or exceed the sum of Two Million
530	530		Dollars ($2,000,000.00);
531	531		17. Sales of tangible personal property consumed or
532	532		incorporated in the construction or expans ion of a qualified
533	533		aircraft maintenance or manufacturing facility as define d in
534	534		paragraph 16 of this section . For purposes of this paragraph, sales
535	535
536	536
537	537		Req. No. 2412 Page 8 1
538	538		2
539	539		3
540	540		4
541	541		5
542	542		6
543	543		7
544	544		8
545	545		9
546	546		10
547	547		11
548	548		12
549	549		13
550	550		14
551	551		15
552	552		16
553	553		17
554	554		18
555	555		19
556	556		20
557	557		21
558	558		22
559	559		23
560	560		24
561	561		1
562	562		2
563	563		3
564	564		4
565	565		5
566	566		6
567	567		7
568	568		8
569	569		9
570	570		10
571	571		11
572	572		12
573	573		13
574	574		14
575	575		15
576	576		16
577	577		17
578	578		18
579	579		19
580	580		20
581	581		21
582	582		22
583	583		23
584	584		24
585	585
586	586		made to a contractor or subcontrac tor that has previously entered
587	587		into a contractual relationship with a qu alified aircraft
588	588		maintenance or manufacturing facility for construction or expansion
589	589		of such a facility shall be considered sales made to a qualified
590	590		aircraft maintenance or manufactu ring facility;
591	591		18. Sales of the following telecommunications services:
592	592		a. Interstate and International "800 service". "800
593	593		service" means a "telecommunications service " that
594	594		allows a caller to dial a toll-free number without
595	595		incurring a charge for the call. The service is
596	596		typically marketed under the name "800", "855", "866",
597	597		"877", and "888" toll-free calling, and any subsequent
598	598		numbers designated by the Federal Communications
599	599		Commission, or
600	600		b. Interstate and International "900 service". "900
601	601		service" means an inbound toll "telecommunications
602	602		service" purchased by a subscriber that allows the
603	603		subscriber's customers to call in to the subscriber 's
604	604		prerecorded announcement or live servic e. "900
605	605		service" does not include the charge fo r: collection
606	606		services provided by the seller of the
607	607		"telecommunications services " to the subscriber, or
608	608		service or product sold by the subscriber to the
609	609		subscriber's customer. The service is typically
610	610
611	611
612	612		Req. No. 2412 Page 9 1
613	613		2
614	614		3
615	615		4
616	616		5
617	617		6
618	618		7
619	619		8
620	620		9
621	621		10
622	622		11
623	623		12
624	624		13
625	625		14
626	626		15
627	627		16
628	628		17
629	629		18
630	630		19
631	631		20
632	632		21
633	633		22
634	634		23
635	635		24
636	636		1
637	637		2
638	638		3
639	639		4
640	640		5
641	641		6
642	642		7
643	643		8
644	644		9
645	645		10
646	646		11
647	647		12
648	648		13
649	649		14
650	650		15
651	651		16
652	652		17
653	653		18
654	654		19
655	655		20
656	656		21
657	657		22
658	658		23
659	659		24
660	660
661	661		marketed under the name "900" service, and any
662	662		subsequent numbers designate d by the Federal
663	663		Communications Commission,
664	664		c. Interstate and Interna tional "private communications
665	665		service". "Private communications service " means a
666	666		"telecommunications service " that entitles the
667	667		customer to exclusive or priority u se of a
668	668		communications channel or group of channels between or
669	669		among termination points, re gardless of the manner in
670	670		which such channel or channels are connected, and
671	671		includes switching capacity, extension li nes,
672	672		stations, and any other associated services that are
673	673		provided in connection with the use of such channel or
674	674		channels,
675	675		d. "Value-added nonvoice data service". "Value-added
676	676		nonvoice data service" means a service that otherwise
677	677		meets the definition of "telecommunications services"
678	678		in which computer processing applications are used to
679	679		act on the form, content, code, or protocol of the
680	680		information or data primarily for a purpose other than
681	681		transmission, conveyance , or routing,
682	682		e. Interstate and Internation al telecommunications
683	683		service which is:
684	684
685	685
686	686		Req. No. 2412 Page 10 1
687	687		2
688	688		3
689	689		4
690	690		5
691	691		6
692	692		7
693	693		8
694	694		9
695	695		10
696	696		11
697	697		12
698	698		13
699	699		14
700	700		15
701	701		16
702	702		17
703	703		18
704	704		19
705	705		20
706	706		21
707	707		22
708	708		23
709	709		24
710	710		1
711	711		2
712	712		3
713	713		4
714	714		5
715	715		6
716	716		7
717	717		8
718	718		9
719	719		10
720	720		11
721	721		12
722	722		13
723	723		14
724	724		15
725	725		16
726	726		17
727	727		18
728	728		19
729	729		20
730	730		21
731	731		22
732	732		23
733	733		24
734	734
735	735		(1) rendered by a company for private use within its
736	736		organization, or
737	737		(2) used, allocated, or di stributed by a compa ny to
738	738		its affiliated group,
739	739		f. Regulatory assessments and char ges, including charges
740	740		to fund the Oklahoma Universal Service Fund, the
741	741		Oklahoma Lifeline Fund and the Oklah oma High Cost
742	742		Fund, and
743	743		g. Telecommunications nonrecurring charg es, including but
744	744		not limited to the installation, connection, change ,
745	745		or initiation of telecommunications services which are
746	746		not associated with a retail consumer sale;
747	747		19. Sales of railroad track spikes manufactured and sold for
748	748		use in this state in the construction or repai r of railroad tracks,
749	749		switches, sidings, and turnouts;
750	750		20. Sales of aircraft and aircraft parts pro vided such sales
751	751		occur at a qualified aircraft m aintenance facility. As used in this
752	752		paragraph, "qualified aircraft maintenance facil ity" means a
753	753		facility operated by an air common carrier, including one or more
754	754		component overhaul support buildings or str uctures in an area owned,
755	755		leased, or controlled by the air common carrier, at which there were
756	756		employed at least two thousand (2,000) f ull-time-equivalent
757	757		employees in the preceding year as certified by the Oklahoma
758	758		Employment Security Commission and which is primarily related to the
759	759
760	760
761	761		Req. No. 2412 Page 11 1
762	762		2
763	763		3
764	764		4
765	765		5
766	766		6
767	767		7
768	768		8
769	769		9
770	770		10
771	771		11
772	772		12
773	773		13
774	774		14
775	775		15
776	776		16
777	777		17
778	778		18
779	779		19
780	780		20
781	781		21
782	782		22
783	783		23
784	784		24
785	785		1
786	786		2
787	787		3
788	788		4
789	789		5
790	790		6
791	791		7
792	792		8
793	793		9
794	794		10
795	795		11
796	796		12
797	797		13
798	798		14
799	799		15
800	800		16
801	801		17
802	802		18
803	803		19
804	804		20
805	805		21
806	806		22
807	807		23
808	808		24
809	809
810	810		fabrication, repair, alteration, modifica tion, refurbishing,
811	811		maintenance, building, or rebuilding of commer cial aircraft or
812	812		aircraft parts used in air common carriage. For purposes of this
813	813		paragraph, "air common carrier" shall also include members of an
814	814		affiliated group as defined by Section 150 4 of the Internal Revenue
815	815		Code, 26 U.S.C., Section 1504 . Beginning July 1, 2012, sale s of
816	816		machinery, tools, supplies, equipment, and related tangible personal
817	817		property and services used or consumed in the repair, remodeling , or
818	818		maintenance of aircraft, ai rcraft engines, or aircraft component
819	819		parts which occur at a qualifi ed aircraft maintenance facility;
820	820		21. Sales of machinery and equipment purchase d and used by
821	821		persons and establishmen ts primarily engaged in computer services
822	822		and data processing:
823	823		a. as defined under Industrial Group Numbers 7372 and
824	824		7373 of the Standard Industrial Classif ication (SIC)
825	825		Manual, latest version, which derive at least fi fty
826	826		percent (50%) of their annual gros s revenues from the
827	827		sale of a product or service to an out-of-state buyer
828	828		or consumer, and
829	829		b. as defined under Industrial Group Number 7374 of the
830	830		SIC Manual, latest version, which derive at least
831	831		eighty percent (80%) of their annual gross revenues
832	832		from the sale of a product or service to an out -of-
833	833		state buyer or consumer.
834	834
835	835
836	836		Req. No. 2412 Page 12 1
837	837		2
838	838		3
839	839		4
840	840		5
841	841		6
842	842		7
843	843		8
844	844		9
845	845		10
846	846		11
847	847		12
848	848		13
849	849		14
850	850		15
851	851		16
852	852		17
853	853		18
854	854		19
855	855		20
856	856		21
857	857		22
858	858		23
859	859		24
860	860		1
861	861		2
862	862		3
863	863		4
864	864		5
865	865		6
866	866		7
867	867		8
868	868		9
869	869		10
870	870		11
871	871		12
872	872		13
873	873		14
874	874		15
875	875		16
876	876		17
877	877		18
878	878		19
879	879		20
880	880		21
881	881		22
882	882		23
883	883		24
884	884
885	885		Eligibility for the exemption set out in this paragraph shall be
886	886		established, subject t o review by the Tax Commission, by annually
887	887		filing an affidavit with the Tax Commission stating that the
888	888		facility so qualifies and such information as required by the Tax
889	889		Commission. For purposes of determining whether annual gross
890	890		revenues are derived fr om sales to out-of-state buyers or consumers,
891	891		all sales to the federal government shall be considere d to be to an
892	892		out-of-state buyer or consumer;
893	893		22. Sales of prosthetic devices to an individual for use by
894	894		such individual. For purposes of this paragraph, "prosthetic
895	895		device" shall have the same meaning as provided i n Section 1357.6 of
896	896		this title, but shall not include corrective eye glasses eyeglasses,
897	897		contact lenses, or hearing aids;
898	898		23. Sales of tangible personal property or services to a mo tion
899	899		picture or television production company to be used or consumed in
900	900		connection with an eligible production . For purposes of this
901	901		paragraph, "eligible production" means a documentary, special, music
902	902		video, or a television commercial or television progr am that will
903	903		serve as a pilot for or b e a segment of an ongoing dramatic or
904	904		situation comedy series filmed or ta ped for network or national or
905	905		regional syndication or a feature-length motion picture intended for
906	906		theatrical release or for network or nationa l or regional
907	907		syndication or broadcast . The provisions of this paragraph shall
908	908		apply to sales occurring on or a fter July 1, 1996. In order to
909	909
910	910
911	911		Req. No. 2412 Page 13 1
912	912		2
913	913		3
914	914		4
915	915		5
916	916		6
917	917		7
918	918		8
919	919		9
920	920		10
921	921		11
922	922		12
923	923		13
924	924		14
925	925		15
926	926		16
927	927		17
928	928		18
929	929		19
930	930		20
931	931		21
932	932		22
933	933		23
934	934		24
935	935		1
936	936		2
937	937		3
938	938		4
939	939		5
940	940		6
941	941		7
942	942		8
943	943		9
944	944		10
945	945		11
946	946		12
947	947		13
948	948		14
949	949		15
950	950		16
951	951		17
952	952		18
953	953		19
954	954		20
955	955		21
956	956		22
957	957		23
958	958		24
959	959
960	960		qualify for the exemption, the motion picture or television
961	961		production company shall file any documentation and information
962	962		required to be submitted p ursuant to rules promulgated by the Tax
963	963		Commission;
964	964		24. Sales of diesel fuel sold for consumption by commercial
965	965		vessels, barges and other commercial watercraft;
966	966		25. Sales of tangible personal property or services t o tax-
967	967		exempt independent nonprofit biome dical research foundations that
968	968		provide educational programs for Oklahoma science students and
969	969		teachers and to tax-exempt independent nonprofit community blood
970	970		banks headquartered in this state;
971	971		26. Effective May 6, 1992, sales of wireless telecommunicati ons
972	972		equipment to a vendor who subsequently transfers the equipment at no
973	973		charge or for a discounted charge to a consumer as part of a
974	974		promotional package or as an inducement to commence or continue a
975	975		contract for wireless telecommunications services;
976	976		27. Effective January 1, 1991, leases of rail transportation
977	977		cars to haul coal to coal-fired plants located in this state which
978	978		generate electric power;
979	979		28. Beginning July 1, 2005, sales of aircraft engine repairs,
980	980		modification, and replacement parts, sales o f aircraft frame repairs
981	981		and modification, aircraft interior modification, and paint, and
982	982		sales of services employed in the repair, modification, and
983	983
984	984
985	985		Req. No. 2412 Page 14 1
986	986		2
987	987		3
988	988		4
989	989		5
990	990		6
991	991		7
992	992		8
993	993		9
994	994		10
995	995		11
996	996		12
997	997		13
998	998		14
999	999		15
1000	1000		16
1001	1001		17
1002	1002		18
1003	1003		19
1004	1004		20
1005	1005		21
1006	1006		22
1007	1007		23
1008	1008		24
1009	1009		1
1010	1010		2
1011	1011		3
1012	1012		4
1013	1013		5
1014	1014		6
1015	1015		7
1016	1016		8
1017	1017		9
1018	1018		10
1019	1019		11
1020	1020		12
1021	1021		13
1022	1022		14
1023	1023		15
1024	1024		16
1025	1025		17
1026	1026		18
1027	1027		19
1028	1028		20
1029	1029		21
1030	1030		22
1031	1031		23
1032	1032		24
1033	1033
1034	1034		replacement of parts of aircraft engines, aircraft frame and
1035	1035		interior repair and modification, and paint;
1036	1036		29. Sales of materials and supplies to the owner or operator of
1037	1037		a ship, motor vessel, or barge that is used in interstate o r
1038	1038		international commerce if the materials and supplies:
1039	1039		a. are loaded on the ship, motor vessel, or barge and
1040	1040		used in the maintenanc e and operation of t he ship,
1041	1041		motor vessel, or barge, or
1042	1042		b. enter into and become component parts of the ship,
1043	1043		motor vessel, or barge;
1044	1044		30. Sales of tangible personal property made at estate sales at
1045	1045		which such property is offered for sale on the premises o f the
1046	1046		former residence of the decedent by a person who is not required to
1047	1047		be licensed pursuant to the Transient Merchant Lic ensing Act, or who
1048	1048		is not otherwise required to obtain a sales tax permit for the sale
1049	1049		of such property pursuant to the provisions o f Section 1364 of this
1050	1050		title; provided:
1051	1051		a. such sale or event may not be h eld for a period
1052	1052		exceeding three (3) consecutive d ays,
1053	1053		b. the sale must be condu cted within six (6) months of
1054	1054		the date of death of the dec edent, and
1055	1055		c. the exemption allowed by this paragraph shall not be
1056	1056		allowed for property that was not part of the
1057	1057		decedent's estate;
1058	1058
1059	1059
1060	1060		Req. No. 2412 Page 15 1
1061	1061		2
1062	1062		3
1063	1063		4
1064	1064		5
1065	1065		6
1066	1066		7
1067	1067		8
1068	1068		9
1069	1069		10
1070	1070		11
1071	1071		12
1072	1072		13
1073	1073		14
1074	1074		15
1075	1075		16
1076	1076		17
1077	1077		18
1078	1078		19
1079	1079		20
1080	1080		21
1081	1081		22
1082	1082		23
1083	1083		24
1084	1084		1
1085	1085		2
1086	1086		3
1087	1087		4
1088	1088		5
1089	1089		6
1090	1090		7
1091	1091		8
1092	1092		9
1093	1093		10
1094	1094		11
1095	1095		12
1096	1096		13
1097	1097		14
1098	1098		15
1099	1099		16
1100	1100		17
1101	1101		18
1102	1102		19
1103	1103		20
1104	1104		21
1105	1105		22
1106	1106		23
1107	1107		24
1108	1108
1109	1109		31. Beginning January 1, 2004, sale s of electricity and
1110	1110		associated delivery and transmission services, when sold exclusiv ely
1111	1111		for use by an oil and gas operator for res ervoir dewatering proj ects
1112	1112		and associated operations commencing on or afte r July 1, 2003, in
1113	1113		which the initial water -to-oil ratio is greater than or equal to
1114	1114		five-to-one water-to-oil, and such oil and gas devel opment projects
1115	1115		have been classified by the Co rporation Commission a s a reservoir
1116	1116		dewatering unit;
1117	1117		32. Sales of prewritten computer software that is delivered
1118	1118		electronically. For purposes of this par agraph, "delivered
1119	1119		electronically" means delivered to the purchaser by mean s other than
1120	1120		tangible storage media;
1121	1121		33. Sales of modular dwelling units when built at a production
1122	1122		facility and moved in whole or in parts, to be as sembled on-site,
1123	1123		and permanently affixed to the real property and used for
1124	1124		residential or commercial purpo ses. The exemption provid ed by this
1125	1125		paragraph shall equal forty-five percent (45%) of the total sal es
1126	1126		price of the modular dwelling unit. For purposes of this paragraph,
1127	1127		"modular dwelling unit" means a structure that is not subject to the
1128	1128		motor vehicle excise tax imposed pursuant to Section 2103 of th is
1129	1129		title;
1130	1130		34. Sales of tangible personal property o r services to persons
1131	1131		who are residents of Oklahom a and have been honorably disch arged
1132	1132		from active service in any branch of the Armed Forces of the United
1133	1133
1134	1134
1135	1135		Req. No. 2412 Page 16 1
1136	1136		2
1137	1137		3
1138	1138		4
1139	1139		5
1140	1140		6
1141	1141		7
1142	1142		8
1143	1143		9
1144	1144		10
1145	1145		11
1146	1146		12
1147	1147		13
1148	1148		14
1149	1149		15
1150	1150		16
1151	1151		17
1152	1152		18
1153	1153		19
1154	1154		20
1155	1155		21
1156	1156		22
1157	1157		23
1158	1158		24
1159	1159		1
1160	1160		2
1161	1161		3
1162	1162		4
1163	1163		5
1164	1164		6
1165	1165		7
1166	1166		8
1167	1167		9
1168	1168		10
1169	1169		11
1170	1170		12
1171	1171		13
1172	1172		14
1173	1173		15
1174	1174		16
1175	1175		17
1176	1176		18
1177	1177		19
1178	1178		20
1179	1179		21
1180	1180		22
1181	1181		23
1182	1182		24
1183	1183
1184	1184		States or Oklahoma National Guard and who have be en certified by the
1185	1185		United States Department of Vete rans Affairs or its successor to be
1186	1186		in receipt of disability compensation at the one-hundred-percent
1187	1187		rate and the disability shall be permanent and have bee n sustained
1188	1188		through military action or accident or resulting from disease
1189	1189		contracted while in such a ctive service or the surviving spouse of
1190	1190		such person if the person is deceased an d the spouse has not
1191	1191		remarried; provided, sales for the benefit of the pers on to a spouse
1192	1192		of the eligible person or to a me mber of the household in which the
1193	1193		eligible person resides and who is authorized to make purchases on
1194	1194		the person's behalf, when such eligible person is not present at the
1195	1195		sale, shall also be exempt for purpos es of this paragraph . The
1196	1196		Oklahoma Tax Commissi on shall issue a separate exemption card to a
1197	1197		spouse of an eligible person or to a member of the house hold in
1198	1198		which the eligible pers on resides who is authorized to make
1199	1199		purchases on the person's behalf, if requested by the eligible
1200	1200		person. Sales qualifying for the exemption authorized by this
1201	1201		paragraph shall not exceed Twenty-five Thousand Dollars ($25,0 00.00)
1202	1202		per year per individual while the disabled veteran is living. Sales
1203	1203		qualifying for the exemption a uthorized by this paragrap h shall not
1204	1204		exceed One Thousand Dollars ($1,000.00) per year for an unrema rried
1205	1205		surviving spouse. Upon request of the Tax C ommission, a person
1206	1206		asserting or claiming the exemption authorized by this paragrap h
1207	1207		shall provide a state ment, executed under oath, that the total sales
1208	1208
1209	1209
1210	1210		Req. No. 2412 Page 17 1
1211	1211		2
1212	1212		3
1213	1213		4
1214	1214		5
1215	1215		6
1216	1216		7
1217	1217		8
1218	1218		9
1219	1219		10
1220	1220		11
1221	1221		12
1222	1222		13
1223	1223		14
1224	1224		15
1225	1225		16
1226	1226		17
1227	1227		18
1228	1228		19
1229	1229		20
1230	1230		21
1231	1231		22
1232	1232		23
1233	1233		24
1234	1234		1
1235	1235		2
1236	1236		3
1237	1237		4
1238	1238		5
1239	1239		6
1240	1240		7
1241	1241		8
1242	1242		9
1243	1243		10
1244	1244		11
1245	1245		12
1246	1246		13
1247	1247		14
1248	1248		15
1249	1249		16
1250	1250		17
1251	1251		18
1252	1252		19
1253	1253		20
1254	1254		21
1255	1255		22
1256	1256		23
1257	1257		24
1258	1258
1259	1259		amounts for which the exemption is applicable have n ot exceeded
1260	1260		Twenty-five Thousand Dollars ($25,000. 00) per year per living
1261	1261		disabled veteran or One Thousand Dollars ($1,000.00) per ye ar for an
1262	1262		unremarried surviving spouse. If the amount of such exempt s ales
1263	1263		exceeds such amount, the sales tax in excess of the authorized
1264	1264		amount shall be treated as a direc t sales tax liability and may b e
1265	1265		recovered by the Tax Commission in the same manner provided by law
1266	1266		for other taxes, including penalty and interest;
1267	1267		35. Sales of electricity to the operator, specifically
1268	1268		designated by the Corporation Commission, of a spac ing unit or lease
1269	1269		from which oil is produced or attempted to be produced using
1270	1270		enhanced recovery methods , including, but not limited to, increased
1271	1271		pressure in a producing formation through the use of water or
1272	1272		saltwater if the electrical usage is associated with and necessary
1273	1273		for the operation of equipment required to inject or circulate
1274	1274		fluids in a producing f ormation for the purpose o f forcing oil or
1275	1275		petroleum into a wellbore for eventual recovery and produ ction from
1276	1276		the wellhead. In order to be eligible for the sales tax exemption
1277	1277		authorized by this paragraph, the total content of oil recovered
1278	1278		after the use of enhanced recovery meth ods shall not exceed o ne
1279	1279		percent (1%) by volume. The exemption authorized by this paragraph
1280	1280		shall be applicable only to the state sales tax rate and shall not
1281	1281		be applicable to any county or municipal sales tax rate;
1282	1282
1283	1283
1284	1284		Req. No. 2412 Page 18 1
1285	1285		2
1286	1286		3
1287	1287		4
1288	1288		5
1289	1289		6
1290	1290		7
1291	1291		8
1292	1292		9
1293	1293		10
1294	1294		11
1295	1295		12
1296	1296		13
1297	1297		14
1298	1298		15
1299	1299		16
1300	1300		17
1301	1301		18
1302	1302		19
1303	1303		20
1304	1304		21
1305	1305		22
1306	1306		23
1307	1307		24
1308	1308		1
1309	1309		2
1310	1310		3
1311	1311		4
1312	1312		5
1313	1313		6
1314	1314		7
1315	1315		8
1316	1316		9
1317	1317		10
1318	1318		11
1319	1319		12
1320	1320		13
1321	1321		14
1322	1322		15
1323	1323		16
1324	1324		17
1325	1325		18
1326	1326		19
1327	1327		20
1328	1328		21
1329	1329		22
1330	1330		23
1331	1331		24
1332	1332
1333	1333		36. Sales of intrastate charter and to ur bus transportation .
1334	1334		As used in this paragraph, "intrastate charter and tour bus
1335	1335		transportation" means the transportation of persons from one
1336	1336		location in this state to another location in this state in a motor
1337	1337		vehicle which has been constructed in such a manner that it may
1338	1338		lawfully carry more than eighteen persons, and which is ordinarily
1339	1339		used or rented to carry persons for compensation. Provided, this
1340	1340		exemption shall not apply to regularly scheduled bu s transportation
1341	1341		for the general public;
1342	1342		37. Sales of vitamins, minerals , and dietary supplements by a
1343	1343		licensed chiropractor to a person who is the patient of such
1344	1344		chiropractor at the physical location whe re the chiropractor
1345	1345		provides chiropractic care or services to such patient . The
1346	1346		provisions of this p aragraph shall not be a pplicable to any drug,
1347	1347		medicine, or substance for which a prescription by a licensed
1348	1348		physician is required;
1349	1349		38. Sales of goods, wares, merchandise, tangible personal
1350	1350		property, machinery, and equipment to a web search portal located in
1351	1351		this state which deriv es at least eighty percent (80%) of its annual
1352	1352		gross revenue from the sale of a product or service to an out-of-
1353	1353		state buyer or consumer. For purposes of this paragraph, "web
1354	1354		search portal" means an establishment classified under N AICS code
1355	1355		519130 which operates websites that use a sear ch engine to generate
1356	1356
1357	1357
1358	1358		Req. No. 2412 Page 19 1
1359	1359		2
1360	1360		3
1361	1361		4
1362	1362		5
1363	1363		6
1364	1364		7
1365	1365		8
1366	1366		9
1367	1367		10
1368	1368		11
1369	1369		12
1370	1370		13
1371	1371		14
1372	1372		15
1373	1373		16
1374	1374		17
1375	1375		18
1376	1376		19
1377	1377		20
1378	1378		21
1379	1379		22
1380	1380		23
1381	1381		24
1382	1382		1
1383	1383		2
1384	1384		3
1385	1385		4
1386	1386		5
1387	1387		6
1388	1388		7
1389	1389		8
1390	1390		9
1391	1391		10
1392	1392		11
1393	1393		12
1394	1394		13
1395	1395		14
1396	1396		15
1397	1397		16
1398	1398		17
1399	1399		18
1400	1400		19
1401	1401		20
1402	1402		21
1403	1403		22
1404	1404		23
1405	1405		24
1406	1406
1407	1407		and maintain extensive databases of Internet a ddresses and content
1408	1408		in an easily searchable format;
1409	1409		39. Sales of tangible personal property consumed or
1410	1410		incorporated in the constr uction or expansion of a facility for a
1411	1411		corporation organized under Sectio n 437 et seq. of Title 18 of the
1412	1412		Oklahoma Statutes as a rural electric cooperativ e. For purposes of
1413	1413		this paragraph, sales made to a contractor or subcontra ctor that has
1414	1414		previously entered into a contractual relationship with a rural
1415	1415		electric cooperative f or construction or expansion of a facility
1416	1416		shall be considered sales made to a ru ral electric cooperative;
1417	1417		40. Sales of tangible personal property or servi ces to a
1418	1418		business primarily engaged in the repair o f consumer electronic
1419	1419		goods, including, but not l imited to, cell phones, compact disc
1420	1420		players, personal computers, MP3 players, di gital devices for the
1421	1421		storage and retrieval of information through hard -wired or wireless
1422	1422		computer or Internet connections, if the devices are sold to the
1423	1423		business by the orig inal manufacturer of such devices and the
1424	1424		devices are repaired, refitted, or refurbished for sale by the
1425	1425		entity qualifying for the exemption authorized by t his paragraph
1426	1426		directly to retail consumers or if the devices are sold to another
1427	1427		business entity for sale to retail consumers;
1428	1428		41. On or after July 1, 2019, and prior to July 1, 20 24, sales
1429	1429		or leases of rolling stock when sold or leased by the manufacture r,
1430	1430		regardless of whether t he purchaser is a public s ervices corporation
1431	1431
1432	1432
1433	1433		Req. No. 2412 Page 20 1
1434	1434		2
1435	1435		3
1436	1436		4
1437	1437		5
1438	1438		6
1439	1439		7
1440	1440		8
1441	1441		9
1442	1442		10
1443	1443		11
1444	1444		12
1445	1445		13
1446	1446		14
1447	1447		15
1448	1448		16
1449	1449		17
1450	1450		18
1451	1451		19
1452	1452		20
1453	1453		21
1454	1454		22
1455	1455		23
1456	1456		24
1457	1457		1
1458	1458		2
1459	1459		3
1460	1460		4
1461	1461		5
1462	1462		6
1463	1463		7
1464	1464		8
1465	1465		9
1466	1466		10
1467	1467		11
1468	1468		12
1469	1469		13
1470	1470		14
1471	1471		15
1472	1472		16
1473	1473		17
1474	1474		18
1475	1475		19
1476	1476		20
1477	1477		21
1478	1478		22
1479	1479		23
1480	1480		24
1481	1481
1482	1482		engaged in business as a com mon carrier of property or passengers by
1483	1483		railway, for use or consumption by a com mon carrier directly in the
1484	1484		rendition of public service. For purposes of this paragraph,
1485	1485		"rolling stock" means locomotives, au tocars, and railroad cars and
1486	1486		"sales or leases" includes railroad car maintenance and retrofitting
1487	1487		of railroad cars for their fur ther use only on the railways;
1488	1488		42. Sales of gold, silver, platinum, pallad ium, or other
1489	1489		bullion items such as coins and bars and legal tender of any nation,
1490	1490		which legal tender is sold according to its value as precious metal
1491	1491		or as an investment. As used in the paragraph, "bullion" means any
1492	1492		precious metal, including, but not li mited to, gold, silver,
1493	1493		platinum, and palladium, that i s in such a state or condition that
1494	1494		its value depends upon its precious metal content and not i ts form.
1495	1495		The exemption authori zed by this paragraph shall not apply to
1496	1496		fabricated metals that have been p rocessed or manufactured f or
1497	1497		artistic use or as jewelry ; and
1498	1498		43. Until January 2027, s ales of commercial forestry service
1499	1499		equipment, limited to forwa rders, fellers, bunchers, track skidders,
1500	1500		wheeled skidders, hydraulic excavators, delimbers, soil compacto rs
1501	1501		and skid steer loaders, to businesses engaged in log ging, timber,
1502	1502		and tree farming; and
1503	1503		44. a. Beginning January 1, 2023 , groceries, except:
1504	1504		(1) for calendar year 2023, three and fifty-
1505	1505		hundredths percent (3.5%) of the gross receipts
1506	1506
1507	1507
1508	1508		Req. No. 2412 Page 21 1
1509	1509		2
1510	1510		3
1511	1511		4
1512	1512		5
1513	1513		6
1514	1514		7
1515	1515		8
1516	1516		9
1517	1517		10
1518	1518		11
1519	1519		12
1520	1520		13
1521	1521		14
1522	1522		15
1523	1523		16
1524	1524		17
1525	1525		18
1526	1526		19
1527	1527		20
1528	1528		21
1529	1529		22
1530	1530		23
1531	1531		24
1532	1532		1
1533	1533		2
1534	1534		3
1535	1535		4
1536	1536		5
1537	1537		6
1538	1538		7
1539	1539		8
1540	1540		9
1541	1541		10
1542	1542		11
1543	1543		12
1544	1544		13
1545	1545		14
1546	1546		15
1547	1547		16
1548	1548		17
1549	1549		18
1550	1550		19
1551	1551		20
1552	1552		21
1553	1553		22
1554	1554		23
1555	1555		24
1556	1556
1557	1557		upon which the tax is levied by S ection 1354 of
1558	1558		Title 68 of the Oklahoma Statutes ,
1559	1559		(2) for calendar year 2024 , two and fifty-hundredths
1560	1560		percent (2.5%) of the gross recei pts upon which
1561	1561		the tax is levied by Section 1354 of Title 68 of
1562	1562		the Oklahoma Statutes , and
1563	1563		(3) for calendar year 2025, one and fifty-hundredths
1564	1564		percent (1.5%) of the gross receipts upon which
1565	1565		the tax is levied by Section 1354 of Title 68 of
1566	1566		the Oklahoma Statutes.
1567	1567		b. For the purposes of this paragraph:
1568	1568		(1) "bottled water" means water that is placed in a
1569	1569		safety sealed container or package for human
1570	1570		consumption including water that is delivered to
1571	1571		the buyer in a reusable container that i s not
1572	1572		sold with the water. Bottled water shall be
1573	1573		calorie free and shall not contain sweeteners or
1574	1574		other additives, except that it may contain:
1575	1575		(a) antimicrobial agents,
1576	1576		(b) fluoride,
1577	1577		(c) carbonation,
1578	1578		(d) vitamins, minerals, a nd electrolytes,
1579	1579		(e) oxygen,
1580	1580		(f) preservatives, and
1581	1581
1582	1582
1583	1583		Req. No. 2412 Page 22 1
1584	1584		2
1585	1585		3
1586	1586		4
1587	1587		5
1588	1588		6
1589	1589		7
1590	1590		8
1591	1591		9
1592	1592		10
1593	1593		11
1594	1594		12
1595	1595		13
1596	1596		14
1597	1597		15
1598	1598		16
1599	1599		17
1600	1600		18
1601	1601		19
1602	1602		20
1603	1603		21
1604	1604		22
1605	1605		23
1606	1606		24
1607	1607		1
1608	1608		2
1609	1609		3
1610	1610		4
1611	1611		5
1612	1612		6
1613	1613		7
1614	1614		8
1615	1615		9
1616	1616		10
1617	1617		11
1618	1618		12
1619	1619		13
1620	1620		14
1621	1621		15
1622	1622		16
1623	1623		17
1624	1624		18
1625	1625		19
1626	1626		20
1627	1627		21
1628	1628		22
1629	1629		23
1630	1630		24
1631	1631
1632	1632		(g) only those flavors, extracts, or essences
1633	1633		derived from spice or fruit,
1634	1634		(2) "candy" means a preparation of sugar, honey, or
1635	1635		other natural or artificial sweeteners in
1636	1636		combination with chocolate, fruits, nuts, or
1637	1637		other ingredients or fla vorings in the form of
1638	1638		bars, drops, or pieces. Candy shall not include
1639	1639		any preparation containing flour or require
1640	1640		refrigeration,
1641	1641		(3) "dietary supplement" means any product, other
1642	1642		than tobacco, intended to supplement th e diet
1643	1643		that:
1644	1644		(a) contains one or more of the following
1645	1645		dietary ingredients:
1646	1646		i. a vitamin,
1647	1647		ii. a mineral,
1648	1648		iii. an herb or other botanical,
1649	1649		iv. an amino acid,
1650	1650		v. a dietary substance for use by humans
1651	1651		to supplement the diet by increasing
1652	1652		the total dietary int ake, or
1653	1653		vi. a concentrate, metabolite, constituent,
1654	1654		extract, or combination of any
1655	1655		ingredient described in this division,
1656	1656
1657	1657
1658	1658		Req. No. 2412 Page 23 1
1659	1659		2
1660	1660		3
1661	1661		4
1662	1662		5
1663	1663		6
1664	1664		7
1665	1665		8
1666	1666		9
1667	1667		10
1668	1668		11
1669	1669		12
1670	1670		13
1671	1671		14
1672	1672		15
1673	1673		16
1674	1674		17
1675	1675		18
1676	1676		19
1677	1677		20
1678	1678		21
1679	1679		22
1680	1680		23
1681	1681		24
1682	1682		1
1683	1683		2
1684	1684		3
1685	1685		4
1686	1686		5
1687	1687		6
1688	1688		7
1689	1689		8
1690	1690		9
1691	1691		10
1692	1692		11
1693	1693		12
1694	1694		13
1695	1695		14
1696	1696		15
1697	1697		16
1698	1698		17
1699	1699		18
1700	1700		19
1701	1701		20
1702	1702		21
1703	1703		22
1704	1704		23
1705	1705		24
1706	1706
1707	1707		(b) is intended for ingestion in tablet,
1708	1708		capsule, powder, softgel, gelcap, or liquid
1709	1709		form, or if not intended for ingestion in
1710	1710		such a form, is not represented as
1711	1711		conventional food and is n ot represented for
1712	1712		use as a sole item of a meal or of the diet,
1713	1713		and
1714	1714		(c) is required to be labeled as a dietary
1715	1715		supplement, identifiable by the
1716	1716		"Supplemental Facts" box found on the label
1717	1717		as required pursuant to 21 CFR, Part 101.36,
1718	1718		(4) "food and food ingredients" mean substances,
1719	1719		whether in liquid, concentrated, solid, frozen,
1720	1720		dried, or dehydrated form , that are sold for
1721	1721		ingestion or chewing by humans and are consumed
1722	1722		for their taste or nutritional value . Food and
1723	1723		food ingredients shall not include alcoholic
1724	1724		beverages, dietary supplements, bottled water,
1725	1725		candy, soft drinks, or tobacco,
1726	1726		(5) "groceries" mean food and food ingredients and
1727	1727		bottled water. Groceries shall not mean prepared
1728	1728		food, except for:
1729	1729
1730	1730
1731	1731		Req. No. 2412 Page 24 1
1732	1732		2
1733	1733		3
1734	1734		4
1735	1735		5
1736	1736		6
1737	1737		7
1738	1738		8
1739	1739		9
1740	1740		10
1741	1741		11
1742	1742		12
1743	1743		13
1744	1744		14
1745	1745		15
1746	1746		16
1747	1747		17
1748	1748		18
1749	1749		19
1750	1750		20
1751	1751		21
1752	1752		22
1753	1753		23
1754	1754		24
1755	1755		1
1756	1756		2
1757	1757		3
1758	1758		4
1759	1759		5
1760	1760		6
1761	1761		7
1762	1762		8
1763	1763		9
1764	1764		10
1765	1765		11
1766	1766		12
1767	1767		13
1768	1768		14
1769	1769		15
1770	1770		16
1771	1771		17
1772	1772		18
1773	1773		19
1774	1774		20
1775	1775		21
1776	1776		22
1777	1777		23
1778	1778		24
1779	1779
1780	1780		(a) food sold by a seller whose primary NAICS
1781	1781		classification is manufacturing in sector
1782	1782		311, except subsector 3118,
1783	1783		(b) food sold in an unheated state by weight or
1784	1784		volume as a single item,
1785	1785		(c) bakery items including bread rolls, buns,
1786	1786		biscuits, bagels, croissants, pastries,
1787	1787		donuts, Danish, cakes, tortes, pies, tarts,
1788	1788		muffins, bars, cookies, and tortillas, and
1789	1789		(d) food sold that ordinarily requires
1790	1790		additional cooking, not including just
1791	1791		reheating, by the consumer prior to
1792	1792		consumption,
1793	1793		(6) "prepared food" means:
1794	1794		(a) food sold in a heated state or heated by the
1795	1795		seller,
1796	1796		(b) two or more food ingredients mixed or
1797	1797		combined by the seller for sale as a single
1798	1798		item, or
1799	1799		(c) food sold with eating utensils provided by
1800	1800		the seller including plates, knives, forks,
1801	1801		spoons, glasses, cups, napkins, or straws,
1802	1802		but does not include a container or
1803	1803		packaging used to transport the food .
1804	1804
1805	1805
1806	1806		Req. No. 2412 Page 25 1
1807	1807		2
1808	1808		3
1809	1809		4
1810	1810		5
1811	1811		6
1812	1812		7
1813	1813		8
1814	1814		9
1815	1815		10
1816	1816		11
1817	1817		12
1818	1818		13
1819	1819		14
1820	1820		15
1821	1821		16
1822	1822		17
1823	1823		18
1824	1824		19
1825	1825		20
1826	1826		21
1827	1827		22
1828	1828		23
1829	1829		24
1830	1830		1
1831	1831		2
1832	1832		3
1833	1833		4
1834	1834		5
1835	1835		6
1836	1836		7
1837	1837		8
1838	1838		9
1839	1839		10
1840	1840		11
1841	1841		12
1842	1842		13
1843	1843		14
1844	1844		15
1845	1845		16
1846	1846		17
1847	1847		18
1848	1848		19
1849	1849		20
1850	1850		21
1851	1851		22
1852	1852		23
1853	1853		24
1854	1854
1855	1855		"Prepared food" shall not include soft drink s, dietary
1856	1856		supplements, or candy, and
1857	1857		(7) "soft drinks" means non-alcoholic beverages that
1858	1858		contain natural or artificial sweeteners, but
1859	1859		does not include bever ages that contain milk or
1860	1860		milk products, soy, rice, or similar milk
1861	1861		substitutes, or greater than fifty percent (50%)
1862	1862		of vegetable or fruit juice by volu me.
1863	1863		The exemption provided in this paragraph shall not apply to any
1864	1864		sales tax levied by a city or town, or a county, or any other
1865	1865		jurisdiction in this state .
1866	1866		SECTION 2. AMENDATORY 68 O.S. 2021, Section 1370, is
1867	1867		amended to read as f ollows:
1868	1868		Section 1370. A. In accordance with the provisions of Section
1869	1869		1 of this act, any county of th is state may levy a sales tax of not
1870	1870		to exceed two percent (2%) upon the gross proceeds or gross rec eipts
1871	1871		derived from all sales or services in the count y upon which a
1872	1872		consumer's sales tax is levied by this state. Before a sales tax
1873	1873		may be levied by the c ounty, the imposition of the tax shall first
1874	1874		be approved by a majority of the registered voters of the county
1875	1875		voting thereon at a special election called by the board of county
1876	1876		commissioners or by initi ative petition signed by not less than five
1877	1877		percent (5%) of the registered voters of the county who were
1878	1878		registered at the time of the last general election. However, if a
1879	1879
1880	1880
1881	1881		Req. No. 2412 Page 26 1
1882	1882		2
1883	1883		3
1884	1884		4
1885	1885		5
1886	1886		6
1887	1887		7
1888	1888		8
1889	1889		9
1890	1890		10
1891	1891		11
1892	1892		12
1893	1893		13
1894	1894		14
1895	1895		15
1896	1896		16
1897	1897		17
1898	1898		18
1899	1899		19
1900	1900		20
1901	1901		21
1902	1902		22
1903	1903		23
1904	1904		24
1905	1905		1
1906	1906		2
1907	1907		3
1908	1908		4
1909	1909		5
1910	1910		6
1911	1911		7
1912	1912		8
1913	1913		9
1914	1914		10
1915	1915		11
1916	1916		12
1917	1917		13
1918	1918		14
1919	1919		15
1920	1920		16
1921	1921		17
1922	1922		18
1923	1923		19
1924	1924		20
1925	1925		21
1926	1926		22
1927	1927		23
1928	1928		24
1929	1929
1930	1930		majority of the registered voters of a county voting fail to approve
1931	1931		such a tax, the board of county commissioners shall not call another
1932	1932		special election for such purpose for six (6) mon ths. Any sales tax
1933	1933		approved by the registered voters of a county shall be applicable
1934	1934		only when the point of sale is within the territorial limits of su ch
1935	1935		county. Any sales tax levied or any change in the rate of a sales
1936	1936		tax levied pursuant to the provisi ons of this section shall become
1937	1937		effective on the first day of the calendar quarter following
1938	1938		approval by the voters of the county unless another effect ive date,
1939	1939		which shall also be on the first day of a ca lendar quarter, is
1940	1940		specified in the ordinance or r esolution levying the sales tax or
1941	1941		changing the rate of sales tax.
1942	1942		B. The Oklahoma Tax Commission shal l give notice to all vendors
1943	1943		of a rate change at least sixty (60) days prior to the effective
1944	1944		date of the rate change. Provided, for purchases from prin ted
1945	1945		catalogs wherein the purchaser computed the tax based upon local tax
1946	1946		rates published in the catalog , the rate change shall not be
1947	1947		effective until the first day of a calendar quarter after a minimum
1948	1948		of one hundred twenty (120) days ' notice to vendors. Failure to
1949	1949		give notice as required by this section shall delay the effective
1950	1950		date of the rate change to the first day of the next calendar
1951	1951		quarter.
1952	1952		C. Initiative petitions calling for a special election
1953	1953		concerning county sales tax proposals shall be in ac cordance with
1954	1954
1955	1955
1956	1956		Req. No. 2412 Page 27 1
1957	1957		2
1958	1958		3
1959	1959		4
1960	1960		5
1961	1961		6
1962	1962		7
1963	1963		8
1964	1964		9
1965	1965		10
1966	1966		11
1967	1967		12
1968	1968		13
1969	1969		14
1970	1970		15
1971	1971		16
1972	1972		17
1973	1973		18
1974	1974		19
1975	1975		20
1976	1976		21
1977	1977		22
1978	1978		23
1979	1979		24
1980	1980		1
1981	1981		2
1982	1982		3
1983	1983		4
1984	1984		5
1985	1985		6
1986	1986		7
1987	1987		8
1988	1988		9
1989	1989		10
1990	1990		11
1991	1991		12
1992	1992		13
1993	1993		14
1994	1994		15
1995	1995		16
1996	1996		17
1997	1997		18
1998	1998		19
1999	1999		20
2000	2000		21
2001	2001		22
2002	2002		23
2003	2003		24
2004	2004
2005	2005		Sections 2, 3, 3.1, 6, 18 and 24 of Title 34 of the Oklahoma
2006	2006		Statutes. Petitions shall b e submitted to the office of county
2007	2007		clerk for approval as to form prior to circulation. Following
2008	2008		approval, the petitioner shall have ninety (90) days t o secure the
2009	2009		required signatures. After securing the requisite number of
2010	2010		signatures, the petitioner sh all submit the petition and signatures
2011	2011		to the county clerk. Following the verification of signatures, the
2012	2012		county clerk shall present the petition to the board of county
2013	2013		commissioners. The special election shall be held within sixty (60)
2014	2014		days of receiving the petition. The ballot title presented to the
2015	2015		voters at the special election shall be identical to the ballot as
2016	2016		presented in the initiative petition .
2017	2017		D. Subject to the provisions of Section 1357.10 of this title,
2018	2018		all items that are exempt from the st ate sales tax shall be exempt
2019	2019		from any sales tax levied by a county; provided, the provisions of
2020	2020		this subsection shall not apply to paragraph 44 of Section 1 of t his
2021	2021		act.
2022	2022		E. Any sales tax which may be levied by a county shall be
2023	2023		designated for a particula r purpose. Such purposes may include, but
2024	2024		are not limited to, projects owned by the state, any agency or
2025	2025		instrumentality thereof, the county and/or any political subdivision
2026	2026		located in whole or in part within such county, regional
2027	2027		development, economic de velopment, common education, general
2028	2028		operations, capital improvements, county roads, weather modificati on
2029	2029
2030	2030
2031	2031		Req. No. 2412 Page 28 1
2032	2032		2
2033	2033		3
2034	2034		4
2035	2035		5
2036	2036		6
2037	2037		7
2038	2038		8
2039	2039		9
2040	2040		10
2041	2041		11
2042	2042		12
2043	2043		13
2044	2044		14
2045	2045		15
2046	2046		16
2047	2047		17
2048	2048		18
2049	2049		19
2050	2050		20
2051	2051		21
2052	2052		22
2053	2053		23
2054	2054		24
2055	2055		1
2056	2056		2
2057	2057		3
2058	2058		4
2059	2059		5
2060	2060		6
2061	2061		7
2062	2062		8
2063	2063		9
2064	2064		10
2065	2065		11
2066	2066		12
2067	2067		13
2068	2068		14
2069	2069		15
2070	2070		16
2071	2071		17
2072	2072		18
2073	2073		19
2074	2074		20
2075	2075		21
2076	2076		22
2077	2077		23
2078	2078		24
2079	2079
2080	2080		or any other purpose deemed, by a majority vote of the c ounty
2081	2081		commissioners or as stated by initiative petition, to be necessary
2082	2082		to promote safety, se curity and the general well-being of the
2083	2083		people, including any authorized purpose pursuant to the Oklah oma
2084	2084		Community Economic Development Pooled Finance Act. The county shall
2085	2085		identify the purpose of the sales tax when it is presented to the
2086	2086		voters pursuant to the provisions of subsection A of this secti on.
2087	2087		Except as otherwise provided in this section and except as required
2088	2088		by the Oklahoma Community Economic Devel opment Pooled Finance Act,
2089	2089		the proceeds of any sales tax levied by a county shall be deposited
2090	2090		in the general revenue or sales tax revolving fu nd of the county and
2091	2091		shall be used only for the purpos e for which such sales tax was
2092	2092		designated. If the proceeds of any sales tax levied by a county
2093	2093		pursuant to this section are pledged for the purpose of r etiring
2094	2094		indebtedness incurred for the specific pu rpose for which the sales
2095	2095		tax is imposed, the sales ta x shall not be repealed until such time
2096	2096		as the indebtedness is retired. However, in no event shall the life
2097	2097		of the tax be extended beyond the duration a pproved by the voters of
2098	2098		the county.
2099	2099		F. 1. Notwithstanding any other provisions of law, any county
2100	2100		that has approved a sales tax for the construction, support o r
2101	2101		operation of a county hospital may continue to collect such tax if
2102	2102		such hospital is subseque ntly sold. Such collection shall only
2103	2103		continue if the county remains indebted for the past constructio n,
2104	2104
2105	2105
2106	2106		Req. No. 2412 Page 29 1
2107	2107		2
2108	2108		3
2109	2109		4
2110	2110		5
2111	2111		6
2112	2112		7
2113	2113		8
2114	2114		9
2115	2115		10
2116	2116		11
2117	2117		12
2118	2118		13
2119	2119		14
2120	2120		15
2121	2121		16
2122	2122		17
2123	2123		18
2124	2124		19
2125	2125		20
2126	2126		21
2127	2127		22
2128	2128		23
2129	2129		24
2130	2130		1
2131	2131		2
2132	2132		3
2133	2133		4
2134	2134		5
2135	2135		6
2136	2136		7
2137	2137		8
2138	2138		9
2139	2139		10
2140	2140		11
2141	2141		12
2142	2142		13
2143	2143		14
2144	2144		15
2145	2145		16
2146	2146		17
2147	2147		18
2148	2148		19
2149	2149		20
2150	2150		21
2151	2151		22
2152	2152		23
2153	2153		24
2154	2154
2155	2155		support or operation of such hospital. The collection m ay continue
2156	2156		only until the debt is repaid or for the stated term of the sales
2157	2157		tax, whichever period is shorter.
2158	2158		2. If the construction, suppor t or operation of a hospital is
2159	2159		funded through the lev y of a county sales tax pursuant to this
2160	2160		section and such hospital is subsequently sold, the county levying
2161	2161		the tax may dissolve the governing board of s uch hospital following
2162	2162		the sale. Upon the sale o f the hospital and dissolution of any
2163	2163		governing board, the county is relieved of any future liability for
2164	2164		the operation of such hospital.
2165	2165		G. Proceeds from any sales tax levied that is designated to be
2166	2166		used solely by the sheriff for the operation of the of fice of
2167	2167		sheriff shall be placed in the special revenue account of the
2168	2168		sheriff.
2169	2169		H. The life of the tax could be l imited or unlimited in
2170	2170		duration. The county shall identify the duration of the tax when it
2171	2171		is presented to the voters pursuant to the provisio ns of subsections
2172	2172		A and C of this section. The maximu m duration of a levy imposed
2173	2173		pursuant to Section 891.14 of Title 62 of the Oklahoma Statutes
2174	2174		shall be no longer than allowed pursuant to the Oklahoma Com munity
2175	2175		Economic Development Pooled Finance Act.
2176	2176		I. Except for the levies imposed pursuant to Section 8 91.14 of
2177	2177		Title 62 of the Oklahoma Statutes, there are hereb y created one or
2178	2178		more county sales tax revolving funds in each county which levies a
2179	2179
2180	2180
2181	2181		Req. No. 2412 Page 30 1
2182	2182		2
2183	2183		3
2184	2184		4
2185	2185		5
2186	2186		6
2187	2187		7
2188	2188		8
2189	2189		9
2190	2190		10
2191	2191		11
2192	2192		12
2193	2193		13
2194	2194		14
2195	2195		15
2196	2196		16
2197	2197		17
2198	2198		18
2199	2199		19
2200	2200		20
2201	2201		21
2202	2202		22
2203	2203		23
2204	2204		24
2205	2205		1
2206	2206		2
2207	2207		3
2208	2208		4
2209	2209		5
2210	2210		6
2211	2211		7
2212	2212		8
2213	2213		9
2214	2214		10
2215	2215		11
2216	2216		12
2217	2217		13
2218	2218		14
2219	2219		15
2220	2220		16
2221	2221		17
2222	2222		18
2223	2223		19
2224	2224		20
2225	2225		21
2226	2226		22
2227	2227		23
2228	2228		24
2229	2229
2230	2230		sales tax under this section if any or all of the proceeds of such
2231	2231		tax are not to be deposited in the general re venue fund of the
2232	2232		county or comply with the provisions of s ubsection G of this
2233	2233		section. Each such revolving fund shall be designated for a
2234	2234		particular purpose and shall consist of all monies generated b y such
2235	2235		sales tax which are designated for such purpose . Monies in such
2236	2236		funds shall only be expended for the purp oses specifically
2237	2237		designated as required by this section. A county sales tax
2238	2238		revolving fund shall be a continuing fund not subject to fiscal y ear
2239	2239		limitations.
2240	2240		J. In the case of a levy submitted f or voter approval pursuant
2241	2241		to Section 891.14 of Title 62 of the Oklahoma Statutes, taxes levied
2242	2242		by a county shall not become valid until the ordinance or resolution
2243	2243		setting the rate of the levy shall ha ve been approved by a majority
2244	2244		vote of the registered voters of each such county voting on such
2245	2245		question at a special election. Elections conducted pursuant to
2246	2246		questions submitted pursuant to Section 891.14 of Title 62 of the
2247	2247		Oklahoma Statutes shall be co nducted on the same date or in a
2248	2248		sequence that provide s that the last vote required for approval by
2249	2249		all participating counties or municipalities occurs not later than
2250	2250		thirty (30) days after the date upon whi ch the first vote occurs.
2251	2251		SECTION 3. This act shall become effective November 1, 2022.
2252	2252
2253	2253		58-2-2412 QD 1/20/2022 8:03:25 AM