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ENGROSSED HOUSE
BILL NO. 2234 By: Lawson and Ford of the
House
and
Rader of the Senate
[ revenue and taxation - sale for resale tax permits
- electronic verification – Oklahoma Tax Commission
– codification - effective date –
emergency ]
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
SECTION 1. NEW LAW A new section of law to be cod ified
in the Oklahoma Statutes as Section 1364.4 of Title 68, unless there
is created a duplication in numbering , reads as follows:
A. To utilize the Sale f or Resale sales tax exemption, a
separate Sale for Resale exemption permit for each business to be
operated must be obtained from the Oklahoma Tax Commission. The
permit may be obtained at no charge. The Oklahoma Tax Commission
shall grant and issue to each applicant a Sale for Resale permit for
each business in this state, upon proper application there for and
verification thereof by the Oklahoma Tax Commission. A business
with multiple locations in this state may operate under one Sale for
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Resale permit. The Oklahoma Tax Commission may additionally provide
for the access to a granted and issued permit electronically, or by
other such means as established by the Oklahoma Tax Commission.
B. All vendors shall honor a valid Sale for Resale permit for
sales tax exemption as authorize d under this section and may utilize
the verification procedures outlined in subsection E of this
section, and sales t o a person providing such proof shall be exempt
from the tax levied by Section 1350 et seq. of this title.
C. It shall be unlawful for any person designated as a Group
One, Group Two, Group Three or Group Fou r vendor, pursuant to
Section 1363 of this title, to claim a sale for resale exemption
within this state unless a Sale for Resale permit or permits shall
have been issued to such person. Any person who claims a sale for
resale exemption subject to the pro visions of this section without a
Sale for Resale permit or perm its, or after a Sale for Resale permit
has been suspended, upon conviction, shall be guilty of a
misdemeanor punishable by a fine of not more than One Thousand
Dollars ($1,000.00).
D. All Sale for Resale permits issued under the provisions of
this section shall expire at 11:59 p.m. on the next June 30
following the effective date of issuance.
E. If the Oklahoma Tax Commission develops and adopts a n
electronic system for exchanging information with sellers regarding
Sale for Resale permit numbers of purcha sers who are seeking to make
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purchases for resale, sellers may use the system to verify the
validity of the Sale for Resale permit number. The Oklahoma Tax
Commission shall provide such sellers, free of charge, verification
of whether the Sale for Resale permit numbers are valid. The
Oklahoma Tax Commission shall also provide a seller a transaction
code authorizing the seller to sell items purchased for re sale to
purchasers who hold a valid Sale for Resale permit. A seller that
verifies a purchaser 's permit number as outlined in this subsection
shall create a presumption that the sale was a valid sale for resale
exemption.
SECTION 2. This act shall become effective J uly 1, 2023.
SECTION 3. It being immediately necessary f or the preservation
of the public peace, health o r safety, an emergency is hereby
declared to exist, by reason whereof this act shall take effect and
be in full force from and after i ts passage and approval.
Passed the House of Representatives the 13th day of March, 2023.
Presiding Officer of the H ouse
of Representatives
Passed the Senate the ___ day of __________, 2023.
Presiding Officer of the Senate