Every state with a sales tax has a companion tax for purchases made outside the state. In Oklahoma, that tax is called "use tax". If you have purchased items for use in Oklahoma from retailers who do not collect Oklahoma sales tax, you owe Oklahoma use tax on those items. Use tax is paid by the buyer when the Oklahoma sales tax has not been collected by the seller. Individuals in Oklahoma are responsible for paying use tax on their out-of-state purchases.

Use tax in Oklahoma is not a new tax. It was first enacted in 1937. Inclusion of use tax on the income tax return is being done to help increase awareness of and compliance with use tax.

When purchased from an out-of-state retailer whether by mail order, catalog, television shopping networks, radio, Internet, phone or in person, all items that would be subject to sales tax if purchased in Oklahoma are subject to use tax. Items that are subject to sales tax include books, compact discs, computer equipment, computer software, electronics, clothing, appliances, furniture and other home furnishings, sporting goods and jewelry. When an out-of-state retailer does not collect Oklahoma sales tax, the responsibility of paying the tax falls on the purchaser.

Use tax is calculated at the same rate as sales tax which varies by city and county. The state sales tax rate is 4.5% (.045) plus the applicable city and/or county rates. OnLine Taxes will calculate the amount due based on the information you enter. The Tax is calculated differently based on whether you have records for your purchases or not.

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