Sabrix

Last week Oklahoma Governor Brad Henry released his budget for 2011. In the budget are several compliance initiatives geared to increase revenue, including one to collect sales tax on Internet, telephone and mail order sales.

The following is from the proposal:

Collection of Sales Tax on Remote Sales
"Currently, out-of-state businesses without a presence in Oklahoma are not collecting sales tax on Internet, telephone or mail order sales made to Oklahoma, effectively providing them with an advantage over Oklahoma-based operations that do collect the sales tax. This compliance initiative allows the Oklahoma Tax Commission to pursue sales tax collections from the out-of-state companies in question. The Governor’s budget includes an increase of $95 million to the General Revenue Fund in FY-2011 collection of taxes currently due the state on these sales by out-of-state entities."

Legislation to support the initiative has not yet been introduced in the legislature, but is proposed in the budget.

The complete budget is available HERE.