OK HB2359

Establishes nexus standards for out-of-state retailers selling to Oklahoma consumers, including requirements for ownership interests, related Oklahoma retailers, or distribution facilities.

Creates a Retailer Compliance Initiative providing amnesty from penalties and interest for out-of-state retailers registering voluntarily before July 1, 2011, and a Consumer Compliance Initiative allowing consumers to voluntarily disclose and pay delinquent use taxes with penalty waivers.

Requires retailers without collection obligations to notify customers that use tax applies and prohibits advertising that no tax is due; requires tax preparers to advise clients of use tax payment responsibilities.

Reduces the use tax vendor discount from 2.25% to 1% of taxes due (capped at $2,500 monthly), with provisions for remote sellers to receive startup cost compensation up to $500 when contracting with certified service providers.

Mandates cities and counties contract with Oklahoma Tax Commission for centralized sales and use tax administration to prevent duplicate audits, and authorizes municipalities to conduct their own audits through approved private auditors.