Alerts & Updates
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27 States + DC Enact Laws Related to Raising Smoking Age to 21
June 24, 2020Following the Federal Age of Tobacco Purchase increase from 18 to 21 that occurred in December of last year, 27 […]
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Oklahoma: ACT NOW to preserve smoking in your small business!
February 24, 2020Take Action to preserve smoking in your Oklahoma small business! Protect Your Business Against Drastic Smoking Ban Tomorrow, the Judiciary Committee […]
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Thank Congress for Defending the Premium Cigar Industry
April 18, 2019The US Food and Drug Administration (FDA) is threatening the premium cigar industry, the thousands of small businesses, employees, and […]
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Key Contacts
Oklahoma Tax Commission
Alcohol and Tobacco Division
(405) 521-3242
Oklahoma Ethics Commission
(405) 521-3451
PCA Contact
Joshua Habursky
Glynn Loope [email protected][email protected]
Legislative Information
Taxation
Oklahoma imposes a series of excise taxes on the manufacturer, wholesaler, warehouseman, distributor, or jobber first possessing, selling, using, distributing, exchanging, bartering, or in any manner dealing with the tobacco products in Oklahoma. No other person, wholesaler, warehouseman, distributor, jobber, or retailer may first possess, use, sell, exchange, distribute, barter, or in any manner deal with tobacco products upon which the excise tax has not been paid.
Okla. Stat. tit. 68, §§ 402-1 to 402-3
No agency or other political subdivision of the state, including municipalities, counties, or any agency thereof, may adopt any order, ordinance, rule or regulation concerning the sale, purchase, distribution, advertising, sampling, promotion, display, possession, licensing, or taxation of tobacco products or vapor products, except as provided in Section 1511 of Title 68 of the Oklahoma Statutes, Section 1-1521 et seq. of Title 63 of the Oklahoma Statutes and Section 1247 of Title 21 of the Oklahoma Statutes.
The total tax rates for various types of other tobacco products are as follows:
| other tobacco product (otp) | tax rate |
| Little Cigars | $0.036/each |
| Large Cigars | $0.12/each |
| Smoking Tobacco | 80% of factory list price |
| Chewing Tobacco | 60% of factory list price |
Every manufacturer, wholesaler, jobber, and distributor licensed by the Oklahoma Tax Commission to possess, use, or in any manner deal with untaxed tobacco products must file an Oklahoma Tobacco Products Tax Return (Form TOB50001) and supplemental attachments on or before the 15th day of each month, along with payment for taxes due. Retailers or consumers purchasing tobacco products and cigars from the shipper or seller through an agent are also required to file Form TOB50001.
| Form Type / Name | Form Number / Link |
| Oklahoma Tax Commission: Cigarette and Tobacco Forms | Cigarette and Tobacco Forms |
| Oklahoma Business Registration Packet for Cigarette and Tobacco Licensing | Packet C |
Cigar and Smoking Tobacco Definitions
Restrictions
Oklahoma law prohibits smoking: in any indoor place used by or open to the public; in all parts of a zoo to which the public may be admitted; on public transportation; in any indoor workplace, including work areas, employee lounges, restrooms, conference rooms, classrooms, employee cafeterias, hallways, any other spaces used or visited by employees, and all space between a floor and ceiling that is predominantly or totally enclosed by walls or windows, regardless of doors, doorways, open or closed windows, or stairways; in all buildings and other properties owned or operated by the state or by a county or municipal government; in all buildings owned by an educational facility; or within 25 feet of the entrance or exit of any building specified above.
Cities and towns may enact and enforce laws prohibiting and penalizing smoking violations, but the provisions of such laws must be the same as provided in state law, and the enforcement provisions under such laws cannot be more stringent than those of state law. However, cities and towns are authorized to enact laws restricting smoking on properties owned or operated by the respective governing bodies. Nothing in state law prevents a county or municipal government, at the discretion of the respective governing bodies, from prohibiting smoking in or on property owned or operated by the respective governing bodies.
Oklahoma SB 33 (2019) adds vapor products to tobacco-related products that are prohibited in or on an educational facility that offers early childhood education programs or in which children grades kindergarten through twelve are educated. Nothing in this measure shall prohibit public schools from having more restrictive policies regarding tobacco or vapor products.
The prohibition on smoking does not apply to stand-alone bars, stand-alone taverns, or cigar bars, which are defined as establishment that derive more than 60% of their gross receipts, subject to verification by competent authority, from the sale of alcoholic beverages and low-point beer, admit no person under 21 years of age (except for members of a musical band), and are not located within, or do not share any common entryway or common indoor area with, any other enclosed indoor workplace, including a restaurant.
Okla. Stat. tit. 21, § 1247(F)
Okla. Stat. tit. 63, § 1-1522(9)
The following are also exempt from the ban on smoking, subject to conditions:
- The room or rooms where licensed charitable bingo games are being operated, but only during the hours of operation of such games;
- Designated guest rooms at a lodging establishment
- Retail tobacco stores predominantly engaged in the sale of tobacco products and accessories and in which the sale of other products is merely incidental and in which no food or beverage is sold or served for consumption on the premises;
- Workplaces where only the owner or operator of the workplace, or the immediate family of the owner or operator, performs any work, and the workplace has only incidental public access;
- Workplaces exclusively occupied by one or more smokers, if the workplace has only incidental public access;
- Workplaces within private residences, except that smoking are not allowed during the hours of operation where the private residence is used as a childcare facility;
- Medical research or treatment centers, if smoking is integral to the research or treatment;
- A tax-exempt facility operated by a post or organization of past or present members of the Armed Forces, when such facility is used exclusively by its members and their families and for the conduct of post or organization nonprofit operations except during an event or activity which is open to the public; and
- Any outdoor seating area of a restaurant provided that smoking is not allowed within 15 feet of any exterior public doorway or any air intake of a restaurant.
Okla. Stat. tit. 21, § 1247(G)
To qualify for any of the exemptions above, the smoking space must either occupy the entire enclosed indoor space, or if it shares the enclosed space with any nonsmoking areas, the smoking space must be fully enclosed, exhausted directly to the outside with no air from the smoking space circulated to any nonsmoking area, and under negative air pressure so that no smoke can drift or circulate into a nonsmoking area when a door to an adjacent nonsmoking area is opened. Air from a smoking room cannot be exhausted within 15 feet of any entrance, exit, or air intake.
Okla. Stat. tit. 21, § 1247(I)
Oklahoma law does not provide a specific application procedure to qualify for exemption from the smoking ban.
Individuals under 18 years of age cannot purchase, receive, or have in his or her possession a tobacco or vapor product, or present or offer to any person false or fraudulent proof of age for the purpose of purchasing or receiving tobacco or vapor products. However, it is not illegal for an employee under 18 years of age to handle tobacco products or vapor products when required in the performance of the employee’s duties.
Okla. Stat. tit. 10A, § 2-8-224
Similarly, it is illegal for any person to sell, give, or furnish in any manner any tobacco or vapor product to another person who is under 18 years of age, or to purchase in any manner a tobacco or vapor product on behalf of any such person. Again, this prohibition does not apply to an employee under 18 years of age during the performance of the employee’s duties.
No agency or other political subdivision of the state, including municipalities, counties, or any agency thereof, may adopt any order, ordinance, rule or regulation concerning the sale, purchase, distribution, advertising, sampling, promotion, display, possession, licensing, or taxation of tobacco products or vapor products, except as provided in Section 1511 of Title 68 of the Oklahoma Statutes, Section 1-1521 et seq. of Title 63 of the Oklahoma Statutes and Section 1247 of Title 21 of the Oklahoma Statutes.
In Oklahoma, it is illegal for any person or retailer to distribute tobacco products, vapor products, or product samples to any person under 18 years of age. It is also illegal to distribute tobacco products, vapor products, or product samples in or on any public street, sidewalk, or park that is within 300 feet of any playground, school, or other facilities when the facility is being used primarily by persons under 18 years of age.
Staff reported that tobacco product samples are subject to the tobacco products tax and licensing requirements.
No agency or other political subdivision of the state, including municipalities, counties, or any agency thereof, may adopt any order, ordinance, rule or regulation concerning the sale, purchase, distribution, advertising, sampling, promotion, display, possession, licensing, or taxation of tobacco products or vapor products, except as provided in Section 1511 of Title 68 of the Oklahoma Statutes, Section 1-1521 et seq. of Title 63 of the Oklahoma Statutes and Section 1247 of Title 21 of the Oklahoma Statutes.
Operating Your Business
Every wholesaler of tobacco products in Oklahoma must obtain a Wholesale Tobacco License from the Oklahoma Tax Commission by filing the Oklahoma Business Registration Application (Packet A), the Oklahoma Business Registration Packet for Cigarette and Tobacco Licensing (Packet C), an Unstamped Tobacco Products Tax Bond (Form BT-162) in the amount of $25,000, and a $250 application fee. Wholesale Tobacco Licenses are valid for one year from the date of issue and must be renewed annually by filing the same forms.
Every tobacco products distributing agent must obtain a Tobacco Distributing Agent License by filing the Oklahoma Business Registration Application (Packet A), the Oklahoma Business Registration Packet for Cigarette and Tobacco Licensing (Packet C), an Unstamped Tobacco Products Tax Bond (Form BT-162) in the amount of $25,000, and a $100 application fee. Tobacco Distributing Agent Licenses are valid for one year from the date of issue and must be renewed annually by filing the same forms.
Every retailer of tobacco products in Oklahoma must obtain a Retail Tobacco License by filing the Oklahoma Business Registration Application (Packet A), the Oklahoma Business Registration Packet for Cigarette and Tobacco Licensing (Packet C), an Unstamped Tobacco Products Tax Bond (Form BT-162) in the amount of $25,000, and a $30 application fee. Retail Tobacco Licenses are valid for 3 years from the date of issue, provided that the retailer timely files reports and remits the appropriate taxes due. Licenses may be renewed by filing the same forms.
Each truck or vehicle from which cigars or tobacco products are sold will be considered a place of business and required to obtain a Wholesale Tobacco License and an Unstamped Tobacco Products Tax Bond (Form BT-162) in the amount of $500.
Every manufacturer, wholesaler, jobber, and distributor licensed by the Oklahoma Tax Commission to possess, use, or in any manner deal with untaxed tobacco products must file an Oklahoma Tobacco Products Tax Return (Form TOB50001) and supplemental attachments on or before the 15th day of each month, along with payment for taxes due. Retailers or consumers purchasing tobacco products and cigars from the shipper or seller through an agent are also required to file Form TOB50001.
The prohibition on smoking does not apply to stand-alone bars, stand-alone taverns, or cigar bars, which are defined as establishment that derive more than 60% of their gross receipts, subject to verification by competent authority, from the sale of alcoholic beverages and low-point beer, admit no person under 21 years of age (except for members of a musical band), and are not located within, or do not share any common entryway or common indoor area with, any other enclosed indoor workplace, including a restaurant. However, Oklahoma law does not provide a specific application procedure to qualify for exemption from the smoking ban.
Okla. Stat. tit. 21, § 1247(F)
Okla. Stat. tit. 63, § 1-1522(9)
No agency or other political subdivision of the state, including municipalities, counties, or any agency thereof, may adopt any order, ordinance, rule or regulation concerning the sale, purchase, distribution, advertising, sampling, promotion, display, possession, licensing, or taxation of tobacco products or vapor products, except as provided in Section 1511 of Title 68 of the Oklahoma Statutes, Section 1-1521 et seq. of Title 63 of the Oklahoma Statutes and Section 1247 of Title 21 of the Oklahoma Statutes.
| Form Type / Name | Form Number / Link |
| Oklahoma Tax Commission: Cigarette and Tobacco Forms | Cigarette and Tobacco Forms |
| Online Application for Oklahoma Business Registration | Packet A |
| Oklahoma Business Registration Packet for Cigarette and Tobacco Licensing | Packet C |
| Unstamped Tobacco Products Tax Bond | Form BT-162 |
Political Involvement
Every executive lobbyist, legislative lobbyist, and legislative liaison must register with the Oklahoma Ethics Commission each year that the lobbyist engages in lobbying. Registration occurs in the month of December each year for the following calendar year and must be completed annually. If the liaison or lobbyist is designated after December 31st of one year but before December 1st of the following year, he or she must register within 5 days of his or her appointment. There is a registration fee of $100 for legislative liaisons and legislative lobbyists, plus an additional fee for using a credit card. Registration is required to be done electronically with the Oklahoma Ethics Commission Electronic Reporting System.
There is no registration requirement for lobbyist principals, but every executive lobbyist, legislative lobbyist, and legislative liaison must identify the lobbyist principal or principals on whose behalf they are lobbying.
Each legislative liaison and legislative lobbyist must file seven Legislative Lobbyist Reports every calendar year. The first report must be filed no later than January 5th and covers the period from July 1st – December 31st of the preceding year. After the January Report, reports are filed monthly:
| reporting period | due date |
| January | February 5th |
| February | March 5th |
| March | April 5th |
| April | May 5th |
| May | June 5th |
| June | July 5th |
Each executive lobbyist must file four (4) Executive Lobbyist Reports each year. These reports are due no later than January 5th, April 5th, July 5th, and October 5th.
| Form Type / Name | Form Number / Link |
| Rules for Lobbyist Registration and Reporting of Expenditures | Okla. Stat. tit. 4E, r. 5 |
| The Guardian: Oklahoma Ethics Commission Electronic Reporting System Homepage | E-Reporting System Home |
| Register | Registration |
| Oklahoma Ethics Commission: Lobbyist Disclosure and Reporting | Lobbyist Disclosure and Reporting |
Shipping Regulations
No person or entity engaged in the business of selling or distributing cigarettes that is not a manufacturer, wholesaler, or distributor of cigarettes or other tobacco products licensed by the Oklahoma Tax Commission shall mail, ship or otherwise deliver cigarettes to any person in this state that is not a distributor or wholesaler of cigarettes licensed by the Oklahoma Tax Commission; an export warehouse proprietor, the operator of a customs bonded warehouse , or a person who is an officer, employee or agent of the U.S. Government, Oklahoma, or a department, agency, instrumentality or political subdivision of the United States or Oklahoma when the person is acting in accordance with their official duties.
Okla. Stat. tit. 68, § 317.9: Restrictions on delivering cigarettes – Violations
Every wholesaler of tobacco products in Oklahoma must obtain a Wholesale Tobacco License from the Oklahoma Tax Commission by filing the Oklahoma Business Registration Application (Packet A), the Oklahoma Business Registration Packet for Cigarette and Tobacco Licensing (Packet C), an Unstamped Tobacco Products Tax Bond (Form BT-162) in the amount of $25,000, and a $250 application fee. Wholesale Tobacco Licenses are valid for one year from the date of issue and must be renewed annually by filing the same forms.
Additional information about licensing in Oklahoma is available under the Operating Your Business and Definitions tabs above.
Oklahoma does not have any specific age verification requirements for the shipping of tobacco products. Sellers must comply with all existing age verification requirements.
Okla. Stat. tit. 68, § 317.1: Delivery Sale to Underage Individual
Oklahoma imposes a series of excise taxes on the manufacturer, wholesaler, warehouseman, distributor, or jobber first possessing, selling, using, distributing, exchanging, bartering, or in any manner dealing with the tobacco products in Oklahoma. No other person, wholesaler, warehouseman, distributor, jobber, or retailer may first possess, use, sell, exchange, distribute, barter, or in any manner deal with tobacco products upon which the excise tax has not been paid. There are no additional tax requirements for the shipment of tobacco products. First possessors must pay all applicable taxes.
Okla. Stat. tit. 68, §§ 402-1 to 402-3
No agency or other political subdivision of thestate, including municipalities, counties, or any agency thereof, may adopt any order, ordinance, rule or regulation concerning the sale, purchase, distribution, advertising, sampling, promotion, display, possession, licensing, or taxation of tobacco products or vapor products, except as provided in Section 1511 of Title 68 of the Oklahoma Statutes, Section 1-1521 et seq. of Title 63 of the Oklahoma Statutes and Section 1247 of Title 21 of the Oklahoma Statutes.
Disclaimer: PCA believes the information on this site is accurate. However, tobacco laws and regulations are subject to frequent change and court interpretation. Statements above are not intended as legal advice or restatement of law. PCA does not guarantee or assume responsibility for the accuracy, completeness or timeliness of this information, nor that this information complies with all federal laws or the laws of all 50 states. Parties acknowledge and agree it is not the intention of PCA to provide specific legal advice for particular individuals, but rather to provide users with general information to better understand these issues. Users shall neither construe any of these materials as legal advice nor make this site the primary basis for any legal decisions made by or on your behalf and agree to release and waive any claims against PCA for the same. You shall consult with legal advisors concerning any contemplated individual decision.