Under current law, Oklahomans with state occupational licenses or certifications who are delinquent on their income taxes face possible nonrenewal. To ensure these individuals can afford to pay their back taxes Sen. Paul Scott, R-Duncan, authored Senate Bill 1816, which passed out of the Senate Wednesday.
“I understand how threatening one’s livelihood was seen as a possible incentive for people to pay their income taxes. However, it just isn’t realistic and doesn’t account for all the major life events or economic issues that affect citizens,” Scott said. “If something has happened that has kept someone from being able to pay their taxes, taking away their occupational license or certificate won’t help the situation. If they lose their job, they lose their ability to continue working in their field of expertise, which forces them to take a lower paying job or even multiple jobs. This law needs to be repealed.”
SB 1816 repeals the section of law providing for licensing entities to submit identifying information on a licensee to the Oklahoma Tax Commission (OTC) to facilitate income tax compliance. The repeal would eliminate the procedure whereby the OTC notifies the relevant licensing entity of a taxpayer’s noncompliance, and after such notification is provided, the licensing entity must refuse to renew the taxpayer’s license.
Scott is working with the OTC to get recommendations of other ways to collect delinquent income taxes without revoking occupational licenses.
The bill now heads to the House of Representatives for consideration.
For more information, contact: Sen. Scott: (405) 521-5522 or Paul.Scott@oksenate.gov
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