Bill > HB4346

This bill amends existing Oklahoma law regarding sales tax exemptions for agricultural purchases, specifically focusing on proof of eligibility. Key provisions include requiring vendors in Oklahoma to accept and honor valid agricultural exemption permits or equivalent authorizations from certain neighboring states (Texas, Arkansas, Kansas, New Mexico, and Missouri) for individuals engaged in farming or ranching. This means that if a farmer or rancher from one of these states has a recognized exemption permit from their home state, Oklahoma vendors must treat it the same as an Oklahoma-issued agricultural exemption permit for sales tax purposes, provided the purchased items would otherwise qualify for the exemption in Oklahoma. The bill also clarifies that the Oklahoma Tax Commission is directed to create rules to manage these out-of-state permits, including verification processes. The bill takes effect on November 1, 2026.

Budget and Finance

http://www.oklegislature.gov/BillInfo.aspx?Bill=hb4346&Session=2600