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SENATE FLOOR VERSION
April 7, 2025
ENGROSSED HOUSE
BILL NO. 2170 By: Pfeiffer of the House
and
Rader of the Senate
An Act relating to revenue and taxation; amending 18
O.S. 2021, Section 1142, which relates to filing
fees; transferring duty to collect and enforce
registered agent fee to the Secretary of State;
amending 68 O.S. 2021, Section 118, as amended by
Section 35, Chapter 310, O.S.L. 2023, 220, and 227,
as last amended by Section 4, Chapter 113, O.S.L.
2023, 228.1, 254, and 418 (68 O.S. Supp. 2024,
Sections 118 and 227), which relate to state revenue
administration; modifying references; modifying
provisions related to certain revenue forecast;
modifying provisions related to waiver or remission
of interest and penalty; modifying provisio ns related
to claims for refund of certain taxes; authorizing
imposition of fee with respect to reissuance of tax
refunds; modifying provisions related to computation
of time period for administrative wage garnishment;
modifying provisions related to certa in
administrative fines; amending 68 O.S. 2021, Section
255.2, as amended by Section 6, Chapter 113, O.S.L.
2023 (68 O.S. Supp. 2024, Section 255.2), which
relates to enforcement of medical marijuana tax
provisions; providing for retention of fee amount;
amending 63 O.S. 2021, Section 426, as last amended
by Section 1, Chapter 34, 1st Extraordinary Session,
O.S.L. 2023 (63 O.S. Supp. 2024, Section 426), which
relates to the Medical Marijuana Tax Fund; modifying
provisions related to retention of fee amount;
repealing 68 O.S. 2021, Section 205.5, which relates
to delinquent tax information; and providing an
effective date.
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BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
SECTION 1. AMENDATORY 18 O.S. 2021, Section 1142, is
amended to read as follows:
Section 1142. FILING AND OTHER SERVICE FEES
A. The Secretary of State, for services performed in the Office
of the Secretary of State and for expense of mailing, shall charge
and collect the following fees:
1. For any report, document, or other paper required to be
filed in the Office of the Secretary of State, a fee of Twenty -five
Dollars ($25.00);
2. For reservation of corporate name, a fee of Ten Dollars
($10.00);
3. For issuing extra copies of any certificate not requirin g
any extra filing of papers or documents of any kind, a fee of Ten
Dollars ($10.00);
4. For issuing any other certificate, a fee of Ten Dollars
($10.00);
5. For receiving a filing or indexing the annual certificate of
a foreign corporation doing busines s in this state, or both when
filed together, a fee of Ten Dollars ($10.00);
6. For preclearance of any document for filing, a fee of Fifty
Dollars ($50.00);
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7. For each service of process made upon and accepted by the
Secretary of State, a fee of Twenty -five Dollars ($25.00);
8. For preparing and providing a report of a record search, a
fee of Five Dollars ($5.00);
9. For filing and issuing certificates of incorporation, the
fee shall be one-tenth of one percent (1/10 of 1%) of the authorized
capital stock of such corporation; provided, that the minimum fee
for any such service shall be Fifty Dollars ($50.00); provid ed
further, that not-for-profit corporations shall only be required to
pay a fee of Twenty-five Dollars ($25.00);
10. For filing and issui ng amended certificates of
incorporation or certificates of restatement, reorganization,
revival, extension or dissolution, the fee shall be Fifty Dollars
($50.00); provided, however, not -for-profit corporations shall only
be required to pay a fee of Twent y-five Dollars ($25.00). If an
amendment shall provide for an increase in authorized capital in
excess of Fifty Thou sand Dollars ($50,000.00), the filing fee shall
be an amount equal to one -tenth of one percent (1/10 of 1%) of such
increase;
11. For filing and issuing certificates of consolidation, if
the resulting corporation is a domestic corporation, or merger, if
the surviving corporation is a domestic corporation, the fee shall
be One Hundred Dollars ($100.00); provided, however, not -for-profit
corporations shall only be required to pay a fee of Twenty -five
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Dollars ($25.00). If the merger or consolidation shall in crease the
authorized capital of the surviving or resulting corporation in
excess of Fifty Thousand Dollars ($50,000.00), the filing fee sh all
be an amount equal to one -tenth of one percent (1/10 of 1%) of such
increase;
12. For filing and issuing a certificate of conversion,
whenever the resulting corporation is a domestic corporation, the
minimum fee shall be One Hundred Dollars ($100.00); provided,
however, if the certificate of incorporation of the resulting
corporation authorizes capital stock in exce ss of Fifty Thousand
Dollars ($50,000.00), the filing fee shall be an amount equal to
one-tenth of one percent (1/10 of 1%) of such authori zed capital.
If the resulting domestic corporation is not for profit, it shall
only be required to pay a fee of Fifty Dollars ($50.00);
13. For issuing a certificate to a foreign corporation to do
business in this state, and filing a certificate and stat ement of
such corporation required pursuant to the provisions of Section 1130
of this title, the fee shall be one -tenth of one percent (1/10 of
1%) of the maximum amount of capital invested by such corporation in
the state at any time during the fiscal yea r such certificate is
issued to any such foreign corporation; provided, that the minimum
fee for any such service shall be Three Hundred Dollars ($300.00);
provided further, that no such corporation shall be required to pay
a fee on an amount in excess of its authorized capital;
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14. For amended certificate of qualification of a foreign
corporation, a fee of Two Hundred Dollars ($200.00); provided,
however, for a certificate solely reflecting a change of mailing
address, a fee of Ten Dollars ($10.00);
15. For filing a certificate of consolidation, if the resulting
corporation is a foreign corporation, or merger, if the surviving
corporation is a foreign corporation, the fee shall be One Hundred
Dollars ($100.00);
16. For filing a certificate of withdrawal of a foreign
corporation doing business in this state, a fee of One Hundred
Dollars ($100.00);
17. Every foreign cor poration on the anniversary of its
qualification in this state each year, shall cause to be filed with
the Secretary of State a certificate of its president, vice -
president or other managing officers, in which shall be stated and
shown the maximum amount of capital the corporation had invested in
the state at any time subsequent to the issuance to it of a
certificate to do business in this st ate and the amount of capital
previously paid upon. If the amount of capital so invested as shown
by said certificate exceeds the amount formerly paid upon, the
corporation, at the time of filing said certificate, shall pay to
the Secretary of State an ad ditional fee equal to one -tenth of one
percent (1/10 of 1%) of the amount of such excess capital so
invested by the corporation in the state; provided, that no such
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corporation shall be required to pay a filing fee on an amount in
excess of its authorized capital, or to file the certificate
provided for in this paragraph after it shall have paid a filing fee
on its total authorized capitalization;
18. For acting as the registered agent, a fee of One Hundred
Dollars ($100.00) payable on the first day of Jul y each year, and if
not paid before the next ensuing September 1st, the Oklahoma Tax
Commission Secretary of State shall suspend and forfeit the charter
of the delinquent corporation pursuant to the procedures prescribed
in Section 1212 of Title 68 of the Oklahoma Statutes. The Tax
Commission Secretary of State shall collect and audit the registered
agent fee authorized pursuant to this paragraph in conjunction with
the collection and audit of franchise taxes as provided for in
Sections 1201 through 1214 o f Title 68 of the Oklahoma Statutes .
All monies received by the Tax Commission Secretary of State
pursuant to the provisions of this paragraph shall be paid to the
State Treasurer for deposit in the General Revenue Fund;
19. For filing a change of addres s for any individual,
corporation, limited liability company or limited partnership
designated by a corporation as it s registered agent for service of
process, or for the change of name or the resignation of a
registered agent, a fee of Twenty -five Dollars ($25.00), for the
first forty corporations and Five Dollars ($5.00) for each
additional corporation within any bulk filing; and
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20. For any response by means of telecommunications to
inquiries regarding information required to be maintained by the
Secretary of State, a fee of Five Dollars ($5.00), unless otherwise
provided. Fees collected pursuant to this paragraph sh all be
deposited in the Revolving Fund for the Office of the Secretary of
State.
B. Except as otherwise provided by law, fees paid to the
Secretary of State in accordance with the provisions of the Oklahoma
General Corporation Act shall be properly accounted for and shall be
paid monthly to the State Treasurer for deposit in the General
Revenue Fund.
C. For any certificate supplied by the c ounty clerk, such clerk
shall receive a fee of One Dollar ($1.00). Such fees shall be
properly accounted for and sha ll be paid into the county treasury in
the same manner as other fees collected by the county clerk for the
filing and recording of mortgage s and deeds.
D. In any court proceeding pursuant to the provisions of the
Oklahoma General Corporation Act requiring the filing of any decree,
order, report or other document in the Office of the Secretary of
State or in the office of any county clerk, in addition to the usual
court costs and the costs for filing in the office of the clerk of
the court, fees equal to th e amounts provided for in this section
for such required filing shall be collected as costs in such
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proceedings and such amount shall be fo rwarded to the Secretary of
State and the county clerk with the papers to be filed.
E. The provisions contained in this section relating to the
payment of incorporation fees by foreign corporations are not
intended and shall not be construed to relieve su ch corporations,
where applicable, of the payment of the annual corporate franchise
tax to the Tax Commission.
F. For the purposes of computing the fees to be collected by
the Secretary of State pursuant to the provisions of this section,
each share without par value shall be treated the same as a share
with a par value of Fifty Dollars ($50.00), and the fees thereon
shall be collected accordingly.
G. Payments for any required fees except as otherwise provided
by law may be made as follows:
1. By the applicant’s personal or company check, cash, or money
order; or
2. By a nationally recognized credit card issued to the
applicant. The Secretary of State may add a convenience fee, not to
exceed four percent (4%) of the amount of such payment for services
provided through telephonic or electronic media. For purposes of
this paragraph, “nationally recognized credit card” means any
instrument or device, whether known as a credit card, credit plate,
charge plate, or by any other name, issued with or without fe e by an
issuer for the use of the cardholder in obtaining goods, services,
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or anything else of value on credit which is accepted by over one
thousand merchants in this state. The Secretary of State shall
determine which nationally recognized credit cards will be accepted;
provided, however, the Secretary of State must ensure that no loss
of state revenue will occur by the use of such card. The
convenience fee collected pursuant to this paragraph shall be
credited to the Revolving Fund for the Office of th e Secretary of
State, as established in Section 276.1 of Title 62 of the Oklahoma
Statutes.
SECTION 2. AMENDATORY 68 O.S. 2021, Section 118, as
amended by Section 35, Chapter 310, O.S.L. 2023 (68 O.S. Supp. 2024,
Section 118), is amended to read as follows:
Section 118. A. Upon receipt of a written request from a
member or employee of the Legislature, the Oklahoma Tax Commission
shall provide:
1. A written estimate of the revenue gain or loss to the state
as a result of an actua l or proposed change to any state tax law
within the implementation, enforcement and collection duties and
responsibilities of the Tax Commission; provided, upon request of a
legislative member or staff, Service Oklahoma shall be responsible
for furnishing written estimates of revenue gains or losses
attributable to current or proposed amendments to any state law
under its statutorily assigned functions and responsibilities ;
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2. A written statement of the Tax Commission's recommendation
to the State Board o f Equalization as to the change in the amount
certified as available for appropriation by the Legislature as a
result of an actual or proposed change to a state tax law; and
3. A written statement outlining all analysis and methodology
provided by or made available by the Tax Commission to the State
Board of Equalization for the purpose of influencing or serving as
the basis for an official action of the State Board of Equalization.
The Tax Commission shall provide such estimate and statement
within two (2) weeks of the date the request was received unless the
member or employee of the Legislature specifies an earlier da te.
B. On or after December 31, 2009, and subject to the
availability of funds, the Tax Commission shall develop the
estimates and stateme nts required by subsection A of this section
utilizing a dynamic revenue estimating model. Such model shall take
into consideration changes in economic activity as a result of the
proposed legislation and consequent revenue gains or losses due to
factors such as taxpayer behavior, employment and business
investment. The Tax Commission may, subject to the laws of this
state relating to confidentiality of information, contract with
institutions of higher education in this state or other entities to
perform its duties as set forth in this subsection or subsection C
of this section. The Tax Commission is authorized to promulgate
rules to carry out the implementation of this section.
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C. For the purpose of providing an annual forecast of gross
production tax revenues from the production of natural and
casinghead gas to the Office of Management and Enterprise Services,
the Tax Commission shall may subscribe to appropriate reference
materials which provide economic outlook of future gas prices that
have most closely followed the historical trend of Oklahoma gas
prices. To determine the average differential between the published
forecasted prices and Oklahoma gas prices, the Tax Commission shall
may compare prices in at least twenty -four (24) of the immediate
thirty-six (36) previous months of production. The Tax Commission
shall utilize the procedures provided herein to foreca st the
collection of gross production tax revenues from the production of
natural and casinghead gas for the fiscal year beginning July 1,
2005, and each fiscal year thereafter.
SECTION 3. AMENDATORY 68 O.S. 2021, Section 220, is
amended to read as follows:
Section 220. A. The interest or penalty or any portion thereof
ordinarily accruing by reason of a taxpayer's failure to file a
report or return or failure to file a report or return in the
correct form as required by any state tax law or by this Code or to
pay a state tax, except for the excise tax levied on the purchase
price of aircraft as set forth in Section 6002 of this title, within
the statutory period allowed for its payment may be waived or
remitted by the Oklahoma Tax Commission or its designee provided the
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taxpayer's failure to file a report or return or to pay the tax is
satisfactorily explained to the Tax Commission or such designee, or
provided such failure has resulted from a mistake by the taxpayer of
either the law or the facts subjecting him to such tax, or inability
to pay such interest or penalty resulting from insolvency.
B. Except as otherwis e provided by subsections C and D of this
section, the waiver or remission of all or any part of any such
interest or penalties in excess of Twenty -five Thousand Dollars
($25,000.00) shall not become effective unless approved by one of
the judges of the di strict court of Oklahoma County after a full
hearing thereon.
The application for the approval of such waiver or remi ssion
shall be filed in the office of the court clerk of the court at
least twenty (20) days prior to the entry of the order of the judge
finally approving or disapproving the waiver or remission. The
order so entered shall be a final order of the district court of the
county.
C. Taxpayers who (1) do not have outstanding tax liabilities
other than those reported pursuant to a voluntary disc losure
agreement, (2) have not been contacted by the Oklahoma Tax
Commission with respect to the taxpayer's potential or actual
obligation to file a return or make a payment to the state, (3) have
not collected taxes from others, such as sales and use taxe s or
payroll taxes, and not reported those taxes, and (4) have not within
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the preceding three (3) years entered into a voluntary disclosure
agreement for the type of tax owed may enter into a voluntary
disclosure agreement with the Tax Commission in order to report a
state tax liability owed by the taxpayer. Taxpayers who have
collected taxes from others, such as sales and use taxes or payroll
taxes, and not reported those taxes, may enter into a modified
voluntary disclosure agreement as is provided in su bsection F of
this section provided that they meet all the other requirements
provided in this subsection. If the Tax Commission agrees with the
proposed terms for payment of the principal amount of tax due and
owing, the penalty otherwise imposed by law upon the principal
amount shall be waived by operation of law and no further action by
the Tax Commission or by the t axpayer shall be required for the
waiver of such penalty amount and fifty percent (50%) of the
otherwise applicable interest amount shall b e waived by operation of
law and no further action by the Tax Commission or by the taxpayer
shall be required for the waiver of such interest amount.
D. The Tax Commission shall limit the period for which
additional taxes may be assessed (the lookback per iod) to three (3)
taxable years for annually filed taxes or thirty -six (36) months for
taxes that do not have an annu al filing frequency.
E. Voluntary disclosure agreements may be denied or nullified
by the Tax Commission if a taxpayer's failure to report or pay is
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determined to be the result of a pattern of intentional or gross
negligence regarding compliance with the laws.
F. Taxpayers who meet all of the qualifications specified in
subsection C of this section, except those who have collected taxes
from others, such as sales and use taxes or payroll taxes, and not
reported those taxes, may enter into a modified volun tary disclosure
agreement.
G. The provisions of a modified voluntary disclosure agreement
shall be the same as a voluntary disclosure agre ement as specified
in subsection C of this section, except that (1) waiver of interest
shall not apply except as may be optionally granted at the
discretion of the Tax Commission, and (2) the period for which taxes
must be reported and remitted is extended beyond the three-year or
thirty-six-month period provided in subsection C of this section to
include all periods in which tax has been collected but not
remitted.
SECTION 4. AMENDATORY 68 O.S. 2021, Section 227, as last
amended by Section 4, Chapter 113, O.S.L. 2023 (68 O.S. Supp. 2024,
Section 227), is amended to read as follows:
Section 227. A. Except as provided in subsection B of Section
1361.2 and subsection D of Section 1364.1 of this title, any
taxpayer who has paid to th e State of Oklahoma, through error of
fact, or computation, or misinterpretation of law, any tax collected
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by the Tax Commission may, as hereinafter provided, be refunded the
amount of such tax so erroneously paid, without interest.
B. 1. Except as other wise provided by paragraph 2 of this
subsection, any taxpayer who has so paid any such tax may, within
three (3) years from the date of payment thereof file with the Tax
Commission a verified claim for refund of such tax so erroneously
paid. The Tax Commission may accept an amended withholding tax or
other report or return as a verified claim for refund if the amended
report or return establishes a liability less than the original
report or return previously filed Any verified claim for refund
shall be submitted on a form prescribed by the Tax Commission .
2. Upon August 26, 2016, with respect to the sales tax imposed
by Section 1354 of this title and with respect to the use tax
imposed by Section 1402 of this title, any taxpayer who has so paid
such sales or use tax may, within two (2) years from the date of
payment thereof file with the Tax Commission a verified claim f or
refund of such tax so erroneously paid. The Tax Commission may
accept an amended sales or use tax report or return as a verified
claim for refund if the amended report or return establishes a
liability less than the original report or return previously filed
Any verified claim for refund shall be submitted on a form
prescribed by the Tax Commission .
C. The claim so filed with the Tax Com mission, except for an
amended report or return, shall specify the name of the taxpayer,
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the time when and period for which the tax was paid, the nature and
kind of tax so paid, the amount of the tax which the taxpayer
claimed was erroneously paid, the gro unds upon which a refund is
sought, and such other information or data relative to such payment
as may be necessary to an adjustment thereof by the Tax Commission.
It shall be the duty of the Commission to determine what amount of
refund, if any, is due a s soon as practicable after such claim has
been filed and advise the taxpayer about the correctness of his
claim and the claim for refund shall be approved or denied by
written notice to the taxpayer.
D. If the claim for refund is denied, the taxpayer may file a
demand for hearing with the Commission. The demand for hearing must
be filed on or before the sixtieth day after the date indicated on
the notice of denial. If the taxpayer fails to file a demand for
hearing, the claim for refund shall be barred.
E. Upon the taxpayer's timely filing of a demand for hearing,
the Commission shall set a date for hearing upon the claim for
refund which date shall not be later than sixty (60) days from the
date the demand for hearing was mailed. The taxpayer shall be
notified of the time and place of the hearing. The hearing may be
held after the sixty -day period provided by this subsection upon
agreement of the taxpayer.
F. The provisions of this section shall not apply:
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1. To refunds of income tax erroneously pai d, refunds of which
tax shall be payable out of the income tax adjustment fund as
provided by law;
2. To estate tax because the payment of such tax is covered by
an order of the Tax Commission and the estate and interested parties
are given notice that Co mmission's position and computation of the
tax will become final unless they protest and resist the payment
thereof as provided by statute; nor
3. In any case where the tax was paid after an assessment
thereof was made by the Tax Commission which assessme nt became final
under the law.
SECTION 5. AMENDATORY 68 O.S. 2021, Section 228.1, is
amended to read as follows:
Section 228.1. A. Except as otherwise provided by law, claims
for refunds which are required to be paid by the Okla homa Tax
Commission shall be paid from funds in the official depository
clearing account of the Tax Commission, derived from collections
from the same source from which the overpayment occurred. Provided,
in the case of refunds due to taxpayers who are re quired to remit
taxes to the Tax Commission on a monthly or quarterly basis, the Tax
Commission may, in lieu of such refund, credit the account of the
taxpayer for such amount. If current collections from the same
source are insufficient to pay refunds, a vailable cash funds from
the unclassified taxes account may be used for such purpose.
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B. The Oklahoma Tax Commission is authorized to charge a fee to
a taxpayer for reissuing a refund requested by the taxpayer. The
fee shall be the same amount as specifi ed in Section 89.6 of Title
62 of the Oklahoma Statutes for handling a stop -payment processed by
the State Treasurer. All receipts of the fee shall be placed to the
credit of the Oklahoma Tax Commission Fund.
SECTION 6. AMENDATORY 68 O.S. 2021, Section 254, is
amended to read as follows:
Section 254. A. Upon a hearing with notice the Oklahoma Tax
Commission shall be entitled to proceed by garnishment to collect
any delinquent tax and to collect any penalty or interest due and
owing as a result of a tax delinquency. Provided, that upon proper
application under the procedures outlined herein, t he court may
issue an order continuing the garnishment for the collection of
delinquent taxes, penalties or interest until the total amount of
such delinquent taxes, penalties or interest have been collected.
B. The Oklahoma Tax Commission may garnish the accrued earnings
of a delinquent taxpayer employee by sending notice to the
taxpayer's employer. For the purpose of this section, "earnin gs"
means any form of payment to an individual including, but not
limited to, salary, wages, commission or other comp ensation, but
does not include reimbursements for travel expenses for state
employees. Such notice may be served by mail or by delivery by a
field agent of the Tax Commission to the taxpayer's employer along
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with a copy to the delinquent taxpayer. Upon receipt of such notice
of delinquency, the employer shall withhold from compensation due,
or to become due to the employee, the total amount shown by the
notice. The Tax Commission may direct the employer to withhold part
of the amount due, not to exceed t wenty-five percent (25%) of
earnings per pay period, until the total amount as shown by the
notice, plus interest and penalty, has been wit hheld and remitted to
the Tax Commission. The employer's response and calculation of
amounts withheld shall be on a form prescribed by the Tax
Commission.
C. Within seven (7) days after the end of each pay period, or
if the delinquent taxpayer does not h ave regular pay periods, within
thirty (30) days from the date of the notice, the employer shall
withhold amounts due or provide an explanation to the Tax Commission
why amounts due will not be withheld and remitted to the Tax
Commission. In any case in w hich the employee ceases to be employed
by the employer before the full amount set forth in the notice of
delinquency, plus delinquent penalty and interest, has been withheld
by the employer, the employer shall immediately notify the Tax
Commission in writing the date the employee resigned or was
terminated. Any employer who knowingly and willfully refuses to
respond by any means to the notice as provided in subsection B of
this section may be liable for the total amount as set forth in the
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notice. The employer may not terminate the delinquent taxpayer
employee based upon the notice of administrative wage garnishment.
D. An administrative wage garnishment may be issued after
ninety (90) days in which the 1) tax has become ninety (90) days
delinquent, 2) notice has been sent to the taxpayer of the
delinquency and possible remedies to resolve the delinquency have
been provided to the taxpayer, and 3) a tax warrant has been issued
and filed pursuant to Section 231 of this title. The taxpayer shall
have ten (10) days after the issuance of the notice to the employer
to provide any additional information to the Tax Commission for the
garnishment of wages to be withdrawn or released by the Tax
Commission. The Tax Commission shall withdraw or adjust the
garnishment for wages upon proof to the satisfaction of the Tax
Commission that the delinquent tax, interest and penalty refer red to
in the notice have been paid or the taxpayer can show the wages
subject to garnishment are exempt pursuant to state or federal law.
E. The Tax Commission shall prescribe or approve forms and
promulgate rules and regulations for implementing the provisions of
this section.
SECTION 7. AMENDATORY 68 O.S. 2021, Section 418, is
amended to read as follows:
Section 418. A. It shall be unlawful for any person to
transport or possess tobacco products where the tax on such tobacco
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products has not been paid and exceeds the sum of One Hundred
Dollars ($100.00).
B. Except as otherwise provided in subsections C and D of this
section, any person found guilty of violating the provisions of
Section 400 et seq. of this title shall be punished by an
administrative fine of not more than One Thousand Dollars
($1,000.00) for a first offense or not more than Four Thousand
Dollars ($4,000.00) for a second or subsequent offense. Provided,
any person in possession of more than one thousand small or large
cigars or two hundred sixteen (216) ounces of smokeless tobacco or
smoking tobacco in packages or containers for which the tax req uired
by law has not been paid shall be punished by administrative fines
in the manner and amounts provided in subsection D of this section.
C. Any retailer violating the provisions of Section 403.2 of
this title shall:
1. For a first offense, be punishe d by an administrative fine
of not more than Two Thousand Dollars ($2,000.00);
2. For a second offense, be punished by an administrative fine
of not more than Ten Thousand Dollars ($10,000.00); and
3. For a third or subsequent offense, be punished by an
administrative fine of not more than Twenty Thousand Dollars
($20,000.00).
D. Any wholesaler violating the provisions of Section 403.2 of
this title shall:
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1. For a first offense, be punished by an administrative fine
of not more than Ten Thousand Dollar s ($10,000.00); and
2. For a second or subsequent offense, be punished by an
administrative fine of not more than Tw enty Thousand Dollars
($20,000.00).
Administrative fines collected pursuant to the provisions of
this subsection shall be deposited to the revolving fund created in
Section 305.2 of this title.
E. The Oklahoma Tax Commission shall immediately revoke the
license of a person punished for a violation pursuant to the
provisions of paragraph 3 of subsection C of this section or a
person punished for a violation pursuant to the provisions of
subsection D of this section. A person whose license is so revoked
shall not be eligible to receive another license pursuant to the
provisions of Section 301 et seq. of this title for a period of ten
(10) years.
F. Fines collected pursuant to the provisions of subsections B,
C and D of this section shall be deposited in the Tobacco Products
Tax Enforcement Unit Revolving Fund created in Section 7 of Enrolled
House Bill No. 2292 of the 1st Session of the 58th O klahoma
Legislature.
SECTION 8. AMENDATORY 68 O.S. 2021, Section 255.2, as
amended by Section 6, Chapter 113, O.S.L. 2023 (68 O.S. Supp. 2024,
Section 255.2), is amended to read as follows:
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Section 255.2. As provided in Section 4 26 of Title 63 of the
Oklahoma Statutes, the Oklahoma Medical Marijuana Authority and the
Oklahoma Tax Commission shall enter into a contract whereby the Tax
Commission shall have authority to assess, collect and enforce the
seven percent (7%) tax on retai l medical marijuana sales and any
penalties and interest thereon. Such assessment, collection and
enforcement authority shall apply to any tax and any penalty or
interest liability on retail medical marijuana sales existing at the
time of contracting. Th e contract shall provide for the assessment,
collection and enforcement of the tax on retail medical marijuana
sales in the same manner as the administration, collection and
enforcement of any tax payable by any taxpayer subject to taxation
under any state tax law. For providing such collection assistance,
the Tax Commission shall charge the Oklahoma Medical Marijuana
Authority retain a fee of one and five -tenths percent (1.5%) of the
gross collection proceeds. All funds retained by the Tax Commission
for the collection services shall be deposited in the Tax Commission
Reimbursement Fund in the State Treasury.
SECTION 9. AMENDATORY 63 O.S. 2021, Section 426, as last
amended by Section 1, Chapter 34, 1st Extraordinary Session, O.S. L.
2023 (63 O.S. Supp. 2024, Section 426), is amended to read as
follows:
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Section 426. A. The tax on retail medical marijuana sales
shall be established at seven percent (7%) of the gross amount
received by the seller.
B. This tax shall be collected at the point of sale. Except as
provided for in subsection D, tax proceeds, less the collection fee
retained by the Oklahoma Tax Commission pursuant to Section 255.2 of
Title 68 of the Oklahoma Statutes, shall be deposited into the
Medical Marijuana Tax Fund created in Section 3 427.5a of this act
title.
C. Pursuant to Section 255.2 of Title 68 of the Oklahoma
Statutes, the Oklahoma Tax Commission shall have authority to
assess, collect and enforce the tax specified in subsection A of
this section including any interest and penalty thereon.
D. For fiscal year 2022, proceeds from the levy authorized by
subsection A of this section shall be apportioned as follows:
1. The first Sixty-five Million Dollars ($65,000,000.00) shall
be apportioned as follows:
a. fifty-nine and twenty-three hundredths percent
(59.23%) to the State Public Common School Building
Equalization Fund,
b. thirty-four and sixty-two hundredths percent (34.62%)
to the Oklahoma Medical Marijuana Authority, a
division within the State Department of Health, and
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c. six and fifteen hundredths percent (6.15%) to the
State Department of Health and earmarked for drug and
alcohol rehabilitation; and
2. Any surplus collections shall be apportioned to the General
Revenue Fund of the State Treasury.
E. If any medical marijuana business licensee intentionally
does not remit the taxes as required by the provisions of this
section or the provisions of Section 1354 of Title 68 of the
Oklahoma Statutes, the Authority shall permanently revoke the
medical marijuana business license of the business licensee and the
business licensee shall be permanently ineligible to receive any
other type of medical marijuana business license issued by the
Authority, including licenses for a dispensary, commercial grower
operation, processing facility, transporter, research, education
facility, and waste disposal facility.
SECTION 10. REPEALER 68 O.S. 2021, Section 205.5, is
hereby repealed.
SECTION 11. This act shall become effective November 1, 2025.
COMMITTEE REPORT BY: COMMITTEE ON REVENUE AND TAXATION
April 7, 2025 - DO PASS