Oklahoma Sales Tax Filing Update July 2018

On July 1, 2018, Amazon began automatic tax collection for Amazon sellers in the state of Oklahoma.  Walmart began this collection effective January 2, 2019.

  • Check out this blog post that contains more detailed information about what this may mean for your business. We also spoke to Mike Fleming of Sales Tax and More to help answer some of your most commonly asked questions about this topic in this post.
  • If you need more specific advice or guidance, we'd definitely recommend reaching out to one of our vetted sales tax experts to help you determine your business’s specific sales tax needs.

What has changed?

As a result, you'll now see sales tax collected in Oklahoma on your TaxJar Dashboard.

Do I still need to file returns?

Although Amazon and Walmart are now automatically collecting sales tax in Oklahoma, you may still be required to file a return and report the tax that Amazon collected as a deduction, as is the case in most of the other states where Marketplace Facilitators also automatically collect and remit the tax to the state.

  • As we mention here, if you have nexus in Oklahoma and you sell taxable items to customers in this state, then you'll need to register for an Oklahoma sales tax license. 
  • But, if you do not meet any of the criteria that creates nexus in Oklahoma, then you probably won't need a sales tax license in this state.

Because we're not able to provide legal advice, we would definitely recommend consulting directly with the state's DOR or with a state & local tax expert (SaLT) to determine how this change affects your business and whether or not you need to file returns for Oklahoma sales after July 1, 2018.

  • We list contact details for each state's DOR here, and if you're looking for a sales tax consultant who can offer more specific advice, we have a vetted list of sales tax experts here.
  • If you determine that you don't need to file Oklahoma returns for sales after July 1, 2018, you can remove this state from your Dashboard by clicking the wrench under the state name and checking the "No longer have nexus or need to file in this state (hide from dashboard)" box.

How will this affect my Oklahoma Sales Tax Report in TaxJar?

If you determine that you still need to file Oklahoma returns for sales after July 1, our Oklahoma Reports now reflect this automatic sales tax collection by Amazon. (These updates are similar to the changes we've made to the Washington and Pennsylvania Reports.)

  • Your Marketplace sales total will be listed in the "Marketplace Sales" row of your Oklahoma Report. 
  •  When you file, you'll list the Marketplace sales total as a deduction under "Other Legal Deductions" with an explanation of "Remitted by Marketplace" on the return form.