Broken Arrow City Council
Meeting of: 11-09-15
To: Mayor and City Council
From: Office of the City Attorney
Title:
title
Approval of and authorization to execute an Agreement for Administration of the Sales and Use Tax Ordinances of the City and an Agreement to Engage in Compliance Activities by the City of Broken Arrow, a Sales and Use Tax Collection Agreement between the City of Broken Arrow and the Oklahoma Tax Commission
End
Background:
Currently, the Oklahoma Tax Commission (OTC) and the City of Broken Arrow have a Sales Tax Collection Agreement and a separate Use Tax Collection Agreement. The Oklahoma Municipal League Liaison Board and the OTC have recently agreed to the terms of the new Sales and Use Tax Administration Agreement. The Agreement, once executed by the City of Broken Arrow and the OTC will replace the separate Sales Tax and Use Tax Agreements currently in effect.
The OTC will collect the City of Broken Arrow’s three percent (3%) sales and use tax and will charge the City a retention fee of one-half percent (.5%). This is the same fee structure under the current Agreements. Staff recommends that the Council approve the Agreement for Administration of the Sales and Use Tax Ordinances of the City and an Agreement to Engage in Compliance Activities by the City of Broken Arrow.
Cost: Retention fee of .5%
Prepared By: Beth Anne Wilkening, City Attorney
Reviewed By: Assistant City Manager
Finance Department
Approved By: Michael L. Spurgeon, City Manager
Attachments: Agreement for Administration of the Sales and Use Tax Ordinances of the City/Town and an Agreement to Engage in Compliance Activities by the City/Town of Broken Arrow
Recommendation:
Approve the Agreement for Administration of the Sales and Use Tax Ordinances of the City and an Agreement to Engage in Compliance Activities by the City/Town of Broken Arrow, and authorize its execution.