Oklahoma § 68-238.1 - State licenses – Collection of income taxes –

§ 68-238.1. State licenses – Collection of income taxes –

Notification - Definitions.

A. It is the intent of the Legislature that the provisions of

this section operate to provide for the collection of income taxes

due to the State of Oklahoma by persons holding state licenses in a

manner that will maximize flexibility for licensees to pay any such

taxes due while minimizing disruption to operations of licensing

entities. It is the further intent of the Legislature that the

Oklahoma Tax Commission allow at least six (6) months notice to

licensees pursuant to the provisions of subsection C of this section

prior to notification of noncompliance to a licensing entity.

Nothing in this section shall apply to a licensee who was not

previously required to pay income tax or has moved to the state

within the past year.

B. Each licensing entity shall, on a date that allows the Tax

Commission to comply with the notice provisions of subsection A of

this section, provide to the Tax Commission a list of all its

licensees and such identifying information as may be required by the

Tax Commission. Such list and information shall be used by the Tax

Commission exclusively for the purpose of collection of income taxes

due to the State of Oklahoma. The provisions of any laws making

application information confidential shall not apply with respect to

information supplied to the Tax Commission pursuant to the

Oklahoma Statutes - Title 68. Revenue and Taxation

provisions of this section; provided, such information shall be

subject to the provisions of Section 205 of this title.

C. The Tax Commission shall notify any licensee who is not in

compliance with the income tax laws of this state. Such

notification shall include:

1. A statement that the Commission shall 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 pursuant to Section

254 of this title until the taxpayer is deemed by the Tax Commission

to be in compliance with the income tax laws of this state;

2. The reasons that the taxpayer is considered to be out of

compliance with the income tax laws of this state, including a

statement of the amount of any tax, penalties and interest due or a

list of the tax years for which income tax returns have not been

filed as required by law;

3. An explanation of the rights of the taxpayer and the

procedures which must be followed by the taxpayer in order to come

into compliance with the income tax laws of this state; and

4. Such other information as may be deemed necessary by the Tax

Commission.

D. A licensee who has entered into and is abiding by a payment

agreement, or who has requested relief as an innocent spouse which

is pending or has been granted, shall be deemed to be in compliance

with the state income tax laws for purposes of this section.

E. If the Tax Commission notifies a licensee who is not in

compliance with the income tax laws of this state as required in

this section and such licensee does not respond to such notification

or fails to come into compliance with the income tax laws of this

state after an assessment has been made final or after the Tax

Commission determines that every reasonable effort has been made to

assist the licensee to come into compliance with the income tax laws

of this state, the Tax Commission shall proceed with the garnishment

pursuant to paragraph 1 of subsection C of this section.

F. If the Oklahoma Bar Association receives notice that a

licensed attorney is not in compliance with the income tax laws of

this state as provided in this section, the Bar Association shall

begin proceedings by which the attorney may be suspended pursuant to

Rule Governing Disciplinary Proceedings. If suspended, the attorney

may be reinstated pursuant to reinstatement procedures as provided

in the Rules Governing Disciplinary Proceedings.

G. The Tax Commission shall promulgate rules for the

implementation of the provisions of this section.

H. As used in this section:

1. "State license" means a license, certificate, registration,

permit, approval or other similar document issued by a licensing

entity granting to an individual or business a right or privilege to

engage in a profession, occupation or business in this state.

Oklahoma Statutes - Title 68. Revenue and Taxation

"State license" does not include an inactive license issued by a

licensing entity which does not grant an individual the right to

engage in a profession, occupation or business in this state; and

2. "Licensing entity" means a bureau, department, division,

board, agency, commission or other entity of this state or of a

municipality in this state that issues a state license.

Added by Laws 2000, c. 314, § 6, eff. July 1, 2000. Amended by Laws

2001, c. 295, § 1, emerg. eff. May 31, 2001; Laws 2009, c. 246, § 1,

eff. Nov. 1, 2009; Laws 2023, c. 340, § 2, eff. Nov. 1, 2023.