Oklahoma § 68-2884 - Payment and appeal of protested taxes

§ 68-2884. Payment and appeal of protested taxes

A. The full amount of the taxes assessed against the property

of any taxpayer who has appealed from a decision affecting the value

or taxable status of such property as provided by law shall be paid

at the time and in the manner provided by law. If at the time such

taxes or any part thereof become delinquent and any such appeal is

pending, it shall abate and be dismissed upon a showing that the

taxes have not been paid.

B. When such taxes are paid, or by December 31, whichever is

earlier, the persons protesting the taxes shall give notice to the

county treasurer that an appeal involving such taxes has been taken

and is pending, and shall set forth the total amount of tax that has

been paid under protest or required by law to be paid prior to April

1 that will be paid under protest. The notice shall be on a form

prescribed by the Tax Commission. If taxes are paid in two equal

installments and the amount paid under protest does not exceed fifty

percent (50%) of the full amount of assessed taxes, all protested

taxes shall be specified in the second installment payment. If such

amount does exceed fifty percent (50%) of the full amount of

assessed taxes, then the portion of protested taxes that exceeds

fifty percent (50%) of the full amount of assessed taxes shall be

specified in the first installment payment and the entire second

installment shall be specified to be paid under protest. The

taxpayer shall attach to such notice a copy of the petition filed in

the court or other appellate body in which the appeal was taken.

For railroads, air carriers, and public service corporations, the

amount of taxes protested shall not exceed the amount of tax

calculated on the protested assessed valuation specified in the

complaint filed pursuant to the provisions of subsection A of

Section 2881 of this title.

C. It shall be the duty of the county treasurer to hold taxes

paid under protest separate and apart from other taxes collected.

Any portion of such taxes not paid under protest shall be

apportioned as provided by law. Except as otherwise provided for in

this subsection, the treasurer shall invest the protested taxes in

the same manner as the treasurer invests surplus tax funds not paid

under protest, but shall select an interest-bearing investment

medium which will permit prompt refund or apportionment of the

protested taxes upon final determination of the appeal. In cases

where the amount of the protested ad valorem taxes by a taxpayer is

in excess of Fifteen Thousand Dollars ($15,000.00), the taxpayer may

elect to choose the type of investment and where the investment of

the protested funds will be deposited as long as the investment is

of a type authorized for the county, the depository institution

qualifies as a county depository, and the depository institution is

located in the applicable county.

Oklahoma Statutes - Title 68. Revenue and Taxation

D. 1. Prior to January 31 of each year, the county treasurer

shall determine the amount of ad valorem taxes paid under protest

and those ad valorem taxes that will be paid under protest pursuant

to subsection B of this section. The county treasurer shall then

notify the State Auditor and Inspector of the total amount of paid

protested ad valorem taxes and anticipated protested ad valorem

taxes, the total amount of protested taxes and anticipated protested

taxes by each individual taxpayer, and how such paid protested ad

valorem taxes and anticipated protested ad valorem taxes would have

been apportioned to each school district and technology center

school district by fund had such amount of protested ad valorem

taxes not been protested.

2. The State Auditor and Inspector shall compile all of the

information submitted by the county treasurers in a format which

shall set forth the total amount of paid and anticipated protested

taxes for each school district and technology center school district

by fund and a total for each school district and technology center

school district by fund. This information shall then be submitted

by the State Auditor and Inspector to the State Superintendent of

Public Instruction, the Director of the Oklahoma Department of

Career and Technology Education, the Speaker of the House of

Representatives, and the President Pro Tempore of the Senate. If

any of the information submitted to the State Auditor and Inspector

changes after being submitted, the county treasurer shall notify the

State Auditor and Inspector and the State Auditor and Inspector

shall submit revised information to the parties enumerated in this

paragraph within thirty (30) days of such change.

3. Within ten (10) days of the release of the escrowed ad

valorem taxes by the county treasurer, as required by subsection E

of this section, the county treasurer shall submit a schedule

showing the disposition of the released funds, separated by fund for

each school district and technology center school, to the State

Auditor and Inspector. The State Auditor and Inspector shall

certify the apportionment schedule and transmit a copy to the State

Superintendent of Public Instruction and the Director of the

Oklahoma Department of Career and Technology Education.

4. The State Auditor and Inspector shall promulgate any

necessary rules to implement the provisions of this subsection.

E. 1. In cases involving taxpayers other than railroads, air

carriers, or public service corporations, if upon the final

determination of any such appeal, the court shall find that the

property was assessed at too great an amount, the board of

equalization from whose order the appeal was taken shall certify the

corrected valuation of the property of such taxpayers to the county

assessor, in accordance with the decision of the court, and shall

send a copy of such certificate to the county treasurer. Upon

receipt of the corrected certificate of valuation, the county

Oklahoma Statutes - Title 68. Revenue and Taxation

assessor shall compute and certify to the county treasurer the

correct amount of taxes payable by the taxpayer. The difference

between the amount paid and the correct amount payable, with accrued

interest, shall be refunded by the treasurer to the taxpayer upon

the taxpayer filing a proper verified claim therefor, and the

remainder paid under protest, with accrued interest, shall be

apportioned as provided by law.

2. If upon the final determination of any appeal, the court

shall find that the property of the railroad, air carrier, or public

service corporation was assessed at too great an amount, the State

Board of Equalization from whose order the appeal was taken shall

certify the corrected valuation of the property of the railroads,

air carriers, and public service corporations to the State Auditor

and Inspector in accordance with the decision of the court. Upon

receipt of the corrected certificate of valuation, the State Auditor

and Inspector shall certify to the county treasurer the correct

valuation of the railroad, air carrier, or public service

corporation and shall send a copy of the certificate to the county

assessor, who shall make the correction as specified in Section 2871

of this title. The difference between the amount paid and the

correct amount payable with accrued interest shall be refunded by

the treasurer upon the taxpayer filing a proper verified claim, and

the remainder paid under protest with accrued interest shall be

apportioned according to law.

F. If an appeal is upon a question of valuation of the

property, then the amount paid under protest by reason of the

question of valuation being appealed shall be limited to the amount

of taxes assessed against the property for the year in question less

the amount of taxes which would be payable by the taxpayer for that

year if the valuation of the property asserted by the taxpayer in

the appeal were determined by the court to be correct. If an appeal

is timely filed by a taxpayer pursuant to subsection A of Section

2880.1 of this title, the amount of taxes payable by the taxpayer

shall not exceed the amount based upon the value originally

submitted by the assessor to the county board of equalization. If

an appeal is timely filed by the county assessor pursuant to

subsection A of Section 2880.1 of this title, the amount of taxes

payable by the taxpayer shall not exceed the amount of taxes based

upon the value assessed by the county assessor and submitted to the

board of equalization.

G. If an appeal is upon a question of assessment of the

property, then the amount paid under protest by reason of the

question of assessment being appealed shall be limited to the amount

of taxes assessed against the property for the year in question less

the amount of taxes which would be payable by the taxpayer for that

year if the assessment of the property asserted by the taxpayer in

the appeal was determined by the court to be correct.

Oklahoma Statutes - Title 68. Revenue and Taxation

Added by Laws 1988, c. 162, § 84, eff. Jan. 1, 1992. Amended by

Laws 1992, c. 360, § 4, eff. July 1, 1992; Laws 1995, c. 158, § 2,

emerg. eff. May 2, 1995; Laws 1995, c. 325, § 2, eff. July 1, 1995;

Laws 1997, c. 336, § 2, eff. July 1, 1997; Laws 1998, c. 405, § 10;

Laws 2001, c. 33, § 63, eff. July 1, 2001; Laws 2008, c. 416, § 1,

eff. July 1, 2008; Laws 2015, c. 263, § 3, emerg. eff. May 6, 2015.