2 bills seek to remove Oklahoma auto sales tax
OKLAHOMA CITY (AP) – Two bills filed this week seek to end Oklahoma’s automobile sales tax.
The Oklahoman reports that the Senate bills would halt the 1.25 percent sales tax on vehicles bought after July 1, 2019. The state’s excise tax would remain.
The Oklahoma Tax Commission says the state collected almost $131 million from the vehicle sales tax during the 2017-2018 fiscal year.
Republican Senate Appropriations Committee Chair Kim David authored one of the bills. She says it’s time to revisit the issue because the state is in a different place financially.
The sales tax was introduced during last year’s budget crisis to provide an additional revenue source. The state’s revenue situation has improved after lawmakers approved tax increases on cigarettes, fuel and oil and gas production.
The bills will be considered when the Legislature meets in February.