Bill > HB1171

This bill amends Oklahoma's sales tax exemption laws for nonprofit organizations by adding a new provision that allows certain nonprofit entities to be exempt from sales tax if they meet specific criteria. Specifically, the bill creates an exemption for nonprofit organizations with a tax-exempt status under Section 501(c)(3) of the Internal Revenue Code, provided their gross annual revenue does not exceed $3 million in the tax year preceding their purchase. The exemption does not apply to purchases of alcohol or tobacco. The bill includes an effective date of July 1, 2025, and declares an emergency, which means the act can take effect immediately upon passage and approval. The purpose appears to be providing tax relief for smaller nonprofit organizations while maintaining restrictions on the types of purchases that can be tax-exempt. The bill adds this new exemption as paragraph 86 to the existing list of sales tax exemptions in Oklahoma's tax code, expanding the range of nonprofit entities that can benefit from sales tax exemptions.

Budget and Finance

http://www.oklegislature.gov/BillInfo.aspx?Bill=hb1171&Session=2500