Sales Tax/Relief Credit

Sales Tax/Relief Credit

If you are claiming the sales tax relief credit against your tax, your return must be filed by April 17th. An extension of time to file your return does not apply to this credit.

To file for sales tax relief, you must be an Oklahoma resident and physically live in Oklahoma for the entire year. Your total gross household income cannot exceed $20,000 unless one of the following applies:

You can claim an exemption for your dependent, or
You are 65 years of age or older by 12/31/05, or
You have a physical disability constituting a substantial handicap to employment (provide proof, see Form 538-S).

If any one of the above three items pertains to you, your total gross household income limit is increased to $50,000. Fill out and enclose Form 538-S if you qualify for this credit. The Form 538-S is included in this packet.

The Oklahoma Department of Human Services will make the sales tax refund to persons who have continuously received aid to the aged, blind, disabled or Medicaid payments for nursing home care from January 1, 2005 to December 31, 2005. Persons who have received temporary assistance for needy families (TANF) for any month in the year of 2005 are not eligible for the sales tax refund.

A person convicted of a felony shall not be permitted to file a claim for sales tax relief for any year for which that person is an inmate in the custody of the Department of Corrections for any part of that year.

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