Under Oklahoma law, sales tax must be charged and collected on all transfers of title or possession of tangible personal property that occur within the state. Sales tax is also levied on certain services that are provided in the state. If the transaction occurs within the boundaries of a county or municipality that also levies a sales tax, those taxes will be applied as well. Oklahoma sales tax is levied at 4.5% of the gross receipts from the sale or rental of tangible personal property and from the furnishing of specific services. If you ship goods, you will need to collect at the rate(s) in effect at the location where delivery occurs.

Under Oklahoma law, use tax must be paid on tangible personal property purchased and brought into this state for storage, use or consumption. If the property is brought into a county or municipality that also levies a use tax, the applicable county or municipal use tax must also be paid. Retailers maintaining a place of business within the state and/or making sales from a place of business outside the state for use in Oklahoma are required to collect from the customer the appropriate state and local use tax.

It also includes the statutory sales tax holiday reimbursements to cities and counties. The disbursement of $204,834,030 in sales tax collections returned to the cities and towns reflected a decrease of $2,526,092 from the $207,360,122 distributed to them in October last year. The use tax disbursement to cities and towns was $35,006,923.

In county returns, the counties shared in a $33,626,890 sales tax disbursement and a $6,574,060 use tax disbursements.

The local Sales Tax returns took a drop in every town regularly reported in the Advocate with the exception of Holdenville. Holdenville alone posted a gain of $26,258.97, receiving $282,771.72 this year up from $256,512.75 in October 2023.

Allen dropped $687.69, bringing in $17,884.69 compared to $18,572.31 last year.

Ada’s receipts this year totaled $1,390,353.98, down from $1,578.981.45; Atwood dropped to $460.09, down from $612.37; Calvin posted $10,558.34, down from $12,060.55; Francis, $1,803.28 down from $3,286.40; and Gerty dropped to $390.27.

The two counties, Hughes and Pontotoc, also took a loss. Hughes County received $95,922.28 compared to $144,334.14 last year; Pontotoc County brought in $431,414.80 down from $453,250.45.

In contrast, Use Tax receipts were up in most area towns and Allen posted a gain of $1,738.71, going from $3,922.23 last year to $5,660.94 this year.

Ada increased from $176,668.92 to $208,004.00; Francis brought in $672.33 up from $413.87; and Holdenville increased to $39,556.99 from $35,417.84. The towns of Calvin and Gerty were both down. Calvin brought in $1,940.42, down from $2,629.43; and Gerty received $27.14 down from $49.95. Atwood does not collect Use Tax.

Hughes County also took a drop, $25,939.22 down from $30,156.39; Pontotoc County posted a gain, $89,433.47 up from $72,346.99.