Oklahoma § 68-1355 - Exemptions - Subject to other tax

§ 68-1355. Exemptions - Subject to other tax

There are hereby specifically exempted from the tax levied

pursuant to the provisions of Section 1350 et seq. of this title:

1. Sale of gasoline, motor fuel, methanol, “M-85” which is a

mixture of methanol and gasoline containing at least eighty-five

percent (85%) methanol, compressed natural gas, liquefied natural

gas, or liquefied petroleum gas on which the Motor Fuel Tax,

Gasoline Excise Tax, Special Fuels Tax, or the fee in lieu of

Special Fuels Tax levied in Section 500.1 et seq., Section 601 et

seq. or Section 701 et seq. of this title has been, or will be paid;

2. For the sale of motor vehicles or any optional equipment or

accessories attached to motor vehicles on which the Oklahoma Motor

Vehicle Excise Tax levied in Section 2101 et seq. of this title has

been, or will be paid, all but a portion of the levy provided under

Section 1354 of this title, equal to one and twenty-five-hundredths

percent (1.25%) of the gross receipts of such sales. For the

purposes of this paragraph, if the sale of a motor vehicle includes

a trade-in, gross receipts shall be calculated based only on the

difference between the value of the trade-in vehicle and the actual

sales price of the vehicle being purchased. Provided, the sale of

motor vehicles shall not be subject to any sales and use taxes

levied by cities, counties, or other jurisdictions of the state;

3. Sale of crude petroleum or natural or casinghead gas, and

other products subject to gross production tax pursuant to the

Oklahoma Statutes - Title 68. Revenue and Taxation

provisions of Section 1001 et seq. and Section 1101 et seq. of this

title. This exemption shall not apply when such products are sold

to a consumer or user for consumption or use, except when used for

injection into the earth for the purpose of promoting or

facilitating the production of oil or gas. This paragraph shall not

operate to increase or repeal the gross production tax levied by the

laws of this state;

4. Sale of aircraft on which the tax levied pursuant to the

provisions of Sections 6001 through 6007 of this title has been, or

will be paid or which are specifically exempt from such tax pursuant

to the provisions of Section 6003 of this title;

5. Sales from coin-operated devices on which the fee imposed by

Sections 1501 through 1512 of this title has been paid;

6. Leases of twelve (12) months or more of motor vehicles in

which the owners of the vehicles have paid the vehicle excise tax

levied by Section 2103 of this title;

7. Sales of charity game equipment on which a tax is levied

pursuant to the Oklahoma Charity Games Act, Section 401 et seq. of

Title 3A of the Oklahoma Statutes, or which is sold to an

organization that is:

a.

a veterans’ organization exempt from taxation pursuant

to the provisions of paragraph (4), (7), (8), (10), or

(19) of subsection (c) of Section 501 of the United

States Internal Revenue Code of 1986, as amended, 26

U.S.C., Section 501(c) et seq.,

b.

a group home for mentally disabled individuals exempt

from taxation pursuant to the provisions of paragraph

(3) of subsection (c) of Section 501 of the United

States Internal Revenue Code of 1986, as amended, 26

U.S.C., Section 501(c) et seq., or

c.

a charitable health care organization which is exempt

from taxation pursuant to the provisions of paragraph

(3) of subsection (c) of Section 501 of the United

States Internal Revenue Code of 1986, as amended, 26

U.S.C., Section 501(c) et seq.;

8. Sales of cigarettes or tobacco products to:

a.

a federally recognized Indian tribe or nation which

has entered into a compact with the State of Oklahoma

pursuant to the provisions of subsection C of Section

346 of this title or to a licensee of such a tribe or

nation, upon which the payment in lieu of taxes

required by the compact has been paid, or

b.

a federally recognized Indian tribe or nation or to a

licensee of such a tribe or nation upon which the tax

levied pursuant to the provisions of Section 349.1 or

Section 426 of this title has been paid;

Oklahoma Statutes - Title 68. Revenue and Taxation

9. Leases of aircraft upon which the owners have paid the

aircraft excise tax levied by Section 6001 et seq. of this title or

which are specifically exempt from such tax pursuant to the

provisions of Section 6003 of this title;

10. The sale of low-speed or medium-speed electrical vehicles

on which the Oklahoma Motor Vehicle Excise Tax levied in Section

2101 et seq. of this title has been or will be paid;

11. Effective January 1, 2005, sales of cigarettes on which the

tax levied in Section 301 et seq. of this title or tobacco products

on which the tax levied in Section 401 et seq. of this title has

been paid; and

12. Sales of electricity at charging stations as defined by

Section 6502 of this title when the electricity is sold by a

charging station owner or operator for purposes of charging an

electric vehicle as defined by Section 6502 of this title and the

tax imposed pursuant to Section 6504 of this title is collected and

remitted to the Oklahoma Tax Commission.

Added by Laws 1981, c. 313, § 2, emerg. eff. June 29, 1981. Amended

by Laws 1984, c. 138, § 1, operative July 1, 1984; Laws 1984, c.

153, § 7, emerg. eff. April 21, 1984; Laws 1988, c. 47, § 15,

operative July 1, 1988; Laws 1989, c. 167, § 4, eff. July 1, 1989;

Laws 1990, c. 113, § 1, operative July 1, 1990; Laws 1991, 1st. Ex.

Sess., c. 2, § 3, emerg. eff. Jan. 18, 1991; Laws 1991, c. 337, § 1,

emerg. eff. June 15, 1991; Laws 1992, c. 328, § 32, eff. Dec. 1,

1992; Laws 1993, c. 10, § 10, emerg. eff. March 21, 1993; Laws 1993,

c. 224, § 8, eff. Sept. 1, 1993; Laws 1994, c. 54, § 1, eff. July 1,

1994; Laws 1995, c. 337, § 3, emerg. eff. June 9, 1995; Laws 2000,

c. 239, § 1, eff. July 1, 2000; Laws 2001, c. 243, § 5, eff. Nov. 1,

2001; Laws 2004, c. 322, § 12, eff. Dec. 1, 2004 (State Question No.

713, Legislative Referendum No. 336, adopted at election held Nov.

2, 2004); Laws 2005, c. 1, § 106, emerg. eff. March 15, 2005; Laws

2007, c. 203, § 2, eff. July 1, 2007; Laws 2008, c. 302, § 10,

emerg. eff. June 2, 2008; Laws 2015, c. 50, § 2, eff. Nov. 1, 2015;

Laws 2017, c. 356, § 1, eff. July 1, 2017; Laws 2021, c. 157, § 14,

eff. Nov. 1, 2021; Laws 2023, c. 370, § 1, eff. Nov. 1, 2023.

NOTE: Laws 1991, c. 235, § 19 repealed by Laws 1992, c. 328, § 33,

eff. Dec. 1, 1992 (State Question No. 650, Legislative Referendum

No. 294, adopted at election held Nov. 3, 1992) and Laws 1992, c.

339, § 22, eff. Jan. 1, 1993. Laws 1992, c. 339, § 21 repealed by

Laws 1993, c. 10, § 16, emerg. eff. March 21, 1993. Laws 2004, c.

330, § 3 repealed by Laws 2005, c. 1, § 107, emerg. eff. March 15,

2005.