SECTION 710:95-17-5. Fees, reports, payments and penalties

(a)   9-1-1 wireless telephone fee imposition. Beginning January 1, 2017, a seventy-five cent [$0.75] 9-1-1 wireless telephone fee is imposed:

(1)   Monthly on each wireless telephone connection and other communication device or service connection with the ability to dial 9-1-1 for emergency calls;

(2)   Monthly on each service that is enabled by Voice over Internet Protocol (VoIP) or Internet Protocol (IP) with the ability to dial 9-1-1 for emergency calls; and

(3)   On each prepaid wireless retail transaction occurring in this state.

(b)   Fee invoice. The 9-1-1 wireless telephone fees imposed pursuant to paragraphs (1) and (2) of subsection (a) which are required to be collected by the wireless service provider or VoIP provider may be added to and must be separately stated in any billing to the service subscriber. [63 O.S. § 2866(D)]. The 9-1-1 wireless telephone fee imposed pursuant to paragraph (3) of subsection (a) and collected by the seller from the consumer shall be separately stated on the invoice, receipt or similar document provided to the consumer, or otherwise disclosed to the consumer. [63 O.S. § 2867(C)].

(c)   Fee incidence: The 9-1-1 wireless telephone fee is the liability of the consumer or wireless service subscriber. [63 O.S. §§ 2866(C) and 2867(D)]

(d)   Examples of prepaid wireless telecommunications service. Examples of prepaid wireless telecommunications services include cellular phones preloaded with a set dollar amount, minutes or units of air time, or sold with rebates for airtime; calling cards for cellular phones preloaded with a set dollar amount, minutes or units of air time and the recharging of a reusable cellular phone calling card or the cellular phone itself with additional minutes or units of air time.

(e)   Examples and illustrations. Examples and illustrations of situations involving 9-1-1 wireless telephone fee calculation and the base determination for purposes of sales tax collection and other applicable taxes, fees and surcharges.

(1)   Multiple transactions. A $0.75 fee is imposed for each transaction outlined in subsection (a) of this Section. For example, if a consumer simultaneously buys five (5) preloaded cellular phone cards, $0.75 is imposed on each card resulting in a total of $3.75 in 9-1-1 wireless telephone fees. Further if a person's monthly wireless telecommunications subscription includes four (4) service connections or wireless telephone lines a $0.75 fee would be imposed on each connection for a total monthly fee of $3.00.

(2)   Fee excluded from base. When separately stated on the invoice, the 9-1-1 wireless telephone fee should not be included in the base for measuring sales tax or any other applicable tax, fee, surcharge, or other charge that is imposed by the state, any political subdivision of this state, or any intergovernmental agency.

(f)   Monthly electronic reporting. On the 20^th of the month every seller of prepaid wireless telecommunications service, wireless service providers and Voice over Internet Protocol providers, except as noted in (g) of this Section, shall report and make payment of the 9-1-1 wireless telephone fees for the previous calendar month in accordance with the Tax Commission's electronic funds transfer and electronic data interchange program available online at www.ok.tax.gov.

(g)   Exception to electronic reporting and payment. Any seller of prepaid wireless telecommunications services, wireless service providers and Voice over Internet Protocol providers which has been granted an exception to the electronic filing requirement for sales tax reporting and payment purposes pursuant to OAC 710:65-3-4(c) shall automatically receive an electronic filing exception for purposes of reporting and paying prepaid wireless fees. These entities shall file Form 20013-A on or before the 20^th day of each month. Remittances covering the 9-1-1 wireless telephone fees must accompany the return. Form 146 20013-A is available telephonically at [phone] or online at www.tax.ok.gov.

(h)   Interest. Interest at the rate of one and one-quarter percent (1 1/4%) per month will be imposed on all liability not paid at the time when required to be paid. Said interest will be imposed and collected on the delinquent fees at one and one-quarter percent (1 1/4%) per month from the date of delinquency until paid. [68 O.S. § 217]

(i)   Penalty for failure to file and remit. A taxpayer who fails to file a return and remit the full fee amount within fifteen (15) days after the due date shall be subject to a penalty of ten percent (10%) of the fee amount due. [68 O.S. § 217]

(j)   Waiver of penalty; interest. At the discretion of the Tax Commission, the interest or penalty, or both, may be waived provided the taxpayer can demonstrate that the failure to pay the tax when due is satisfactorily explained, or that the failure resulted from a mistake by the taxpayer of either law or fact, or that the taxpayer is unable to pay the interest or penalty due to insolvency. Requests for waiver or remission must be made in writing and must include all pertinent facts to support the request. [See: 68 O.S. § 220]

[Source: Added at 28 Ok Reg 971, eff 6-1-11; Amended at 34 Ok Reg 2099, eff 9-11-17]