Oklahoma § 62-843 - Certification - Payment

§ 62-843. Certification - Payment

A. In order to receive the state local enterprise matching

payment pursuant to the provisions of subsection A of Section 844 of

this title, the enterprise shall obtain a certification, provided by

the governing body of the local governmental entity creating the

incentive district, acknowledged by the chief elected official of

the local governing body that the enterprise has qualified pursuant

to the Local Development Act for sales tax exemption. The

certification document shall include:

1. The beginning date of the exemption;

2. The ending date of the exemption;

3. The total amount of projected investment to construct or

expand the facility during the period for which the incentives

available pursuant to the Local Development Act will be in force and

effect together with a certification by the Oklahoma Department of

Commerce that the facility is located in an enterprise zone; and

4. The legal name and business entity classification of the

entity to which exemption is afforded or to which sales tax payment

is made by the local governmental entity or entities pursuant to the

provisions of the Local Development Act.

B. The local governing body shall provide a copy of the

certification document to the Oklahoma Tax Commission.

C. After the enterprise provides a certification from the local

governing body, the Tax Commission shall make payment to the

enterprise identified in the certification document equal to the

amount of the sales tax from which the enterprise is certified as

Oklahoma Statutes - Title 62. Public Finance

exempt as identified in the certification in the manner prescribed

by subsection A of Section 844 of this title.

D. The state local enterprise matching payment shall be made

only for sales tax foregone by local governmental entities or

rebated to the business enterprise by local entities for purchases

made by the business enterprise and not on the basis of any sales

tax collected by the business enterprise from consumers or users on

taxable sales made by the enterprise.

E. In order to receive the state local governmental matching

payment pursuant to the provisions of subsection D of Section 844 of

this title, the local governmental entity shall provide to the Tax

Commission a certification, acknowledged by its mayor or

chairperson, that such local governmental entity has created an

increment district pursuant to the Local Development Act which

qualifies for a state local government matching payment. The

certification document shall include:

1. The beginning date of the increment district;

2. The ending date of the increment district;

3. A description of the project costs authorized by the project

plan for which the state local government matching payments will be

used and the estimated date for substantial completion of the

project being assisted as described in the application;

4. A certification by the Oklahoma Department of Commerce that

the project plan is located in an enterprise zone or supports a

qualifying major tourism destination project, and that the

qualifying investment and development has been or will be

substantially completed no later than December 31, 2034;

5. The amount of the local sales taxes which have been

apportioned during the previous six-month period by the local

governmental entity for the payment of project costs pursuant to the

provisions of the Local Development Act; and

6. The name of the public entity identified in the project plan

pursuant to Section 858 of this title as the entity authorized to

carry out activities pursuant to the project plan.

After the local governmental entity provides such certification,

the Tax Commission shall make payment to the designated public

entity in an amount equal to the lesser of the certified amount of

the local sales taxes apportioned during the previous six (6) months

or the estimated net direct state benefits as prescribed by

subsection D of Section 844 of this title.

Added by Laws 2000, c. 339, § 12, eff. July 1, 2000. Amended by

Laws 2004, c. 448, § 3, emerg. eff. June 4, 2004; Laws 2008, c. 217,

§ 4, emerg. eff. May 20, 2008; Laws 2019, c. 215, § 2, emerg. eff.

April 29, 2019.