Okla. Stat. tit. 68, § 68-402-3

Sections 402 to 402-1 - Rates - Apportionment.

A. In addition to the tax levied in Sections 402 and 402-1 of

this title, effective January 1, 2005, there shall be levied,

assessed, collected, and paid in respect to the articles containing

tobacco enumerated in Section 401 et seq. of this title, a tax in

the following amounts:

1. Cigars. Upon all cigars of all descriptions made of

tobacco, or any substitute therefor, and weighing more than three

(3) pounds per thousand, Ninety Dollars ($90.00) per thousand. For

the purpose of computing the tax, cheroots, stogies, etc., are

hereby classed as cigars;

2. Smoking Tobacco. Upon all smoking tobacco, the tax shall be

forty percent (40%) of the factory list price exclusive of any trade

discount, special discount or deals; and

Oklahoma Statutes - Title 68. Revenue and Taxation Page 230

3. Smokeless Tobacco. Upon smokeless tobacco, the tax shall be

thirty percent (30%) of the factory list price exclusive of any

trade discount, special discount or deals.

B. Except as provided in subsection C of this section, the

revenue resulting from the additional tax levied in subsection A of

this section shall be apportioned by the Oklahoma Tax Commission and

transmitted to the State Treasurer as follows:

1. Twenty-two and six-hundredths percent (22.06%) shall be

placed to the credit of the Health Employee and Economy Improvement

Act Revolving Fund created in Section 1010.1 of Title 56 of the

Oklahoma Statutes;

2. Three and nine-hundredths percent (3.09%) shall be placed to

the credit of the Comprehensive Cancer Center Debt Service Revolving

Fund created in Section 160.1 of Title 62 of the Oklahoma Statutes;

3. Before July 1, 2008, seven and fifty-hundredths percent

(7.50%) shall be placed to the credit of the Trauma Care Assistance

Revolving Fund created in Section 1-2530.9 of Title 63 of the

Oklahoma Statutes. On and after July 1, 2008, seven and fifty-

hundredths percent (7.50%) shall be allocated as follows:

a. every month, an amount equal to the actual amount

placed to the credit of the Trauma Care Assistance

Revolving Fund pursuant to this paragraph for the same

month of the 2008 fiscal year shall be credited to the

Trauma Care Assistance Revolving Fund,

b. every month, any amount over and above the amount

placed to the credit of the Trauma Care Assistance

Revolving Fund pursuant to subparagraph a of this

paragraph shall be credited to the Oklahoma Emergency

Response Systems Stabilization and Improvement

Revolving Fund as created in Section 1-2512.1 of Title

63 of the Oklahoma Statutes until the combined amount

credited to the Oklahoma Emergency Response Systems

Stabilization and Improvement Revolving Fund pursuant

to this section and Section 302-5 of this title is

equal to Two Million Five Hundred Thousand Dollars

($2,500,000.00) each year, and

c. any additional revenue allocated pursuant to this

paragraph shall be placed to the credit of the Trauma

Care Assistance Revolving Fund;

4. Three and nine-hundredths percent (3.09%) shall be placed to

the credit of the Oklahoma State University College of Osteopathic

Medicine Revolving Fund created in Section 160.2 of Title 62 of the

Oklahoma Statutes;

5. Twenty-six and thirty-eight-hundredths percent (26.38%)

shall be placed to the credit of the Oklahoma Health Care Authority

Medicaid Program Fund created in Section 5020 of Title 63 of the

Oklahoma Statutes for the purposes of maintaining programs and

Oklahoma Statutes - Title 68. Revenue and Taxation Page 231

services funded under the federal "Jobs and Growth Tax Relief

Reconciliation Act of 2003", reimbursing city/county-owned

hospitals, increasing emergency room physician rates, and providing

TEFRA 134, also known as "Katie Beckett" services;

6. Two and sixty-five-hundredths percent (2.65%) shall be

placed to the credit of the Department of Mental Health and

Substance Abuse Services Revolving Fund created in Section 2-303 of
al "Jobs and Growth Tax Relief

Reconciliation Act of 2003", reimbursing city/county-owned

hospitals, increasing emergency room physician rates, and providing

TEFRA 134, also known as "Katie Beckett" services;

6. Two and sixty-five-hundredths percent (2.65%) shall be

placed to the credit of the Department of Mental Health and

Substance Abuse Services Revolving Fund created in Section 2-303 of

Title 43A of the Oklahoma Statutes;

7. Forty-four-hundredths of one percent (0.44%) shall be placed

to the credit of the Belle Maxine Hilliard Breast and Cervical

Cancer Treatment Revolving Fund created in Section 1-559 of Title 63

of the Oklahoma Statutes;

8. One percent (1%) shall be placed to the credit of the

Teachers' Retirement System Revolving Fund created in Section 158 of

Title 62 of the Oklahoma Statutes;

9. Two and seven-hundredths percent (2.07%) shall be placed to

the credit of the Education Reform Revolving Fund created in Section

34.89 of Title 62 of the Oklahoma Statutes;

10. Sixty-six-hundredths percent (0.66%) shall be placed to the

credit of the Tobacco Prevention and Cessation Revolving Fund

created in Section 1-105d of Title 63 of the Oklahoma Statutes;

11. Sixteen and eighty-three-hundredths percent (16.83%) shall

be placed to the credit of the General Revenue Fund; and

12. For fiscal years beginning July 1, 2004, and ending June

30, 2006, fourteen and twenty-three-hundredths percent (14.23%)

shall be apportioned to municipalities and counties that levy a

sales tax, in the proportions which total municipal and county sales

tax revenue was apportioned by the Tax Commission in the preceding

month.

For fiscal years beginning July 1, 2006, and thereafter, the

apportionment percentage specified in paragraph 12 of this

subsection will be adjusted by dividing the total municipal and

county sales tax revenue collected in the calendar year immediately

preceding the commencement of the fiscal year by the sum of the

state sales tax revenue and total municipal and county sales tax

revenue collected in the same year. This ratio shall be divided by

the ratio of the total municipal and county sales tax revenue

collected in the calendar year beginning January 1, 2004, and ending

December 31, 2004, divided by the sum of the state sales tax revenue

and total municipal and county sales tax revenue collected in the

same year. The resulting quotient shall be multiplied by fourteen

and twenty-three-hundredths percent (14.23%) to determine the

apportionment percentage for the fiscal year.

For fiscal years beginning July 1, 2006, and thereafter, any

adjustment to the percentage of revenues apportioned to

municipalities and counties shall be reflected in the percent of

revenues apportioned to the General Revenue Fund.

Oklahoma Statutes - Title 68. Revenue and Taxation Page 232

C. The net amount of any revenue resulting from a payment in

lieu of excise taxes on little cigars, cigars, smoking tobacco and

smokeless tobacco levied by this section, pursuant to a compact with

a federally recognized Indian tribe or nation after deductions for

deposits into trust accounts pursuant to such compacts, shall be

apportioned by the Tax Commission and transmitted to the State

Treasurer as follows:

1. Thirty-three and forty-nine-hundredths percent (33.49%)

shall be placed to the credit of the Health Employee and Economy

Improvement Act Revolving Fund created in Section 1010.1 of Title 56

of the Oklahoma Statutes;

2. Four and sixty-nine-hundredths percent (4.69%) shall be

placed to the credit of the Comprehensive Cancer Center Debt Service

Revolving Fund created in Section 160.1 of Title 62 of the Oklahoma

Statutes;

3. Before July 1, 2008, eleven and thirty-nine-hundredths

percent (11.39%) shall be placed to the credit of the Trauma Care

Assistance Revolving Fund created in Section 1-2530.9 of Title 63 of

the Oklahoma Statutes. On and after July 1, 2008, eleven and
to the credit of the Comprehensive Cancer Center Debt Service

Revolving Fund created in Section 160.1 of Title 62 of the Oklahoma

Statutes;

3. Before July 1, 2008, eleven and thirty-nine-hundredths

percent (11.39%) shall be placed to the credit of the Trauma Care

Assistance Revolving Fund created in Section 1-2530.9 of Title 63 of

the Oklahoma Statutes. On and after July 1, 2008, eleven and

thirty-nine-hundredths percent (11.39%) shall be allocated as

follows:

a. every month, an amount equal to the actual amount

placed to the credit of the Trauma Care Assistance

Revolving Fund pursuant to this paragraph for the same

month of the 2008 fiscal year shall be credited to the

Trauma Care Assistance Revolving Fund,

b. every month, any amount over and above the amount

placed to the credit of the Trauma Care Assistance

Revolving Fund pursuant to subparagraph a of this

paragraph shall be credited to the Oklahoma Emergency

Response Systems Stabilization and Improvement

Revolving Fund as created in Section 1-2512.1 of Title

63 of the Oklahoma Statutes until the combined amount

credited to the Oklahoma Emergency Response Systems

Stabilization and Improvement Revolving Fund pursuant

to this section and Section 302-5 of this title is

equal to Two Million Five Hundred Thousand Dollars

($2,500,000.00) each year, and

c. any additional revenue allocated pursuant to this

paragraph shall be placed to the credit of the Trauma

Care Assistance Revolving Fund;

4. Four and sixty-nine-hundredths percent (4.69%) shall be

placed to the credit of the Oklahoma State University College of

Osteopathic Medicine Revolving Fund created in Section 160.2 of

Title 62 of the Oklahoma Statutes;

5. Forty and six-hundredths percent (40.06%) shall be placed to

the credit of the Oklahoma Health Care Authority Medicaid Program

Oklahoma Statutes - Title 68. Revenue and Taxation Page 233

Fund created in Section 5020 of Title 63 of the Oklahoma Statutes

for the purposes of maintaining programs and services funded under

the federal "Jobs and Growth Tax Relief Reconciliation Act of 2003",

reimbursing city/county-owned hospitals, increasing emergency room

physician rates, and providing TEFRA 134, also known as "Katie

Beckett" services;

6. Four and one-hundredths percent (4.01%) shall be placed to

the credit of the Department of Mental Health and Substance Abuse

Services Revolving Fund created in Section 2-303 of Title 43A of the

Oklahoma Statutes;

7. Sixty-seven-hundredths percent (0.67%) shall be placed to

the credit of the Belle Maxine Hilliard Breast and Cervical Cancer

Treatment Revolving Fund created in Section 1-559 of Title 63 of the

Oklahoma Statutes; and

8. One percent (1%) shall be placed to the credit of the

Tobacco Prevention and Cessation Revolving Fund created in Section

1-105d of Title 63 of the Oklahoma Statutes.

D. It shall not be permissible for a retailer to advertise that

the retailer will absorb the tax due on the taxable merchandise

described herein. Such tax shall be paid by the consumer.