Oklahoma House passes bill to collect sales tax from out-of-state online retail purchases

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Oklahoma House of Representatives passed a bill to allow the state to collect sales tax on all out-of-state online retail purchases.

House Bill 2531, the “Oklahoma Retail Protection Act” amends the current law to allow the state to collect sales tax on purchases between a buyer living in Oklahoma and out-of-state online retail sites.

Currently, residents are required to pay a use tax on their state tax return each year on all purchases from out-of-state retailers.

Rep. Chad Caldwell, R-Enid, wrote in a statement the bill allows state business to compete in a similar manner against companies such as Amazon.

“This removes the financial incentive for shoppers to buy outside of our state. It also will add money to our state to be invested in schools, roads, law enforcement and other services upon which we all depends. This is an investment in Oklahoma.”

The bill is not a new tax, Caldwell said, rather a stronger enforcement of an existing state law.

“This is a tax all Oklahomans should be paying, but 96 percent are not. In a tight budget year, this legislation makes even more sense,” Caldwell said.

The bill moves to the Senate for consideration.


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