§ 47-1138. Intercity motorbuses moving in interstate commerce - Proportional registration and taxation.

A.  All intercity motor buses owned or operated by residents or nonresidents of Oklahoma in interstate commerce or combined interstate and intrastate commerce as a result of which operation such motor buses operate both within and without Oklahoma under the authority of the Interstate Commerce Commission shall be subject to motor vehicle license and registration taxes on an apportionment basis, commensurate with the use of Oklahoma highways and time spent within the state.  The Corporation Commission shall require the registration in Oklahoma of that percentage of intercity motor buses operating in interstate commerce or combined interstate-intrastate commerce, into or through the state, which the mileage of those intercity buses actually operated in the state bears to the total mileage all such intercity motor buses are operated both within and without the state.  Such percentage figure, so determined, shall be the Oklahoma mileage factor.  In computing the Oklahoma license and registration tax on the number of intercity motor buses, or fraction thereof, which are allocated to Oklahoma for motor vehicle license and registration tax purposes, under the foregoing formula, the Corporation Commission shall first compute the amount that the Oklahoma license tax would be if all such buses were in fact subject to Oklahoma tax, and then apply to that amount the Oklahoma mileage factor.  Provided, however, that if the foregoing formula or method of allocation in fact results in apportioning a lesser or greater number of motor buses or amount of motor vehicle license and registration taxes to Oklahoma than Oklahoma under all of the facts is fairly entitled to, then a formula that will fairly apportion such taxes to Oklahoma shall be substituted and used.

B.  The mileage factor shall be initially computed at the beginning by using the mileage records of operation for the preceding calendar year, or portion thereof, during which such operations existed.  If there were no operations in Oklahoma during any part of a previous year, the Corporation Commission shall use any other method of allocation which will fairly estimate the first year’s Oklahoma mileage factor.  In apportioning the number of motor buses to be registered and taxed in Oklahoma, as provided in this section, any fractional part of a motor bus shall be treated as a whole bus, and shall be registered and licensed as such.  Any such intercity motor bus used in interstate and combined interstate-intrastate operations on the highways of this state which, under the mileage factor apportionment plan herein provided shall not be required to be registered and licensed in Oklahoma, shall nevertheless be identified as a part of the fleet of the certificated operating company and the Corporation Commission shall adopt some appropriate method of identification of such motor buses employed in such operations.  The identification of all such vehicles by the Corporation Commission as required herein shall be considered the same as the registration of the vehicles for purposes of the Vehicle Excise Tax Act as provided by Section 2101 et seq. of Title 68 of the Oklahoma Statutes.  Nothing contained herein shall be construed to absolve or relieve any owner of motor buses in Oklahoma of tax liability under the terms of the Vehicle Excise Tax Act as provided by Section 2101 et seq. of Title 68 of the Oklahoma Statutes.  The substitution from time to time of one motor bus for another in the fleets of such interstate and combined interstate-intrastate operators shall not require registration thereof in Oklahoma so long as the substitution does not increase the aggregate number of such vehicles employed in such operations; provided, all such vehicles substituted for others shall be immediately reported to and identification issued for same by the Corporation Commission, but if any motor vehicle excise tax shall be due because of the use of such substituted bus the same shall be promptly paid upon an identification being issued.  If any additional motor buses are placed in service in such operations in this state subsequent to the annual computation of the Oklahoma mileage factor and payment of license taxes based thereon, the same shall be fully registered and licensed and the license tax paid thereon for the remainder of the year, together with any motor vehicle excise tax that is due.

C.  At the close of each tax year and on or before February 15 of the next ensuing tax year, the actual Oklahoma mileage factor for the previous tax year shall be recomputed, and the actual amount of tax liability for such previous year shall be determined.  Any additional tax due shall be paid immediately and shall be credited to the past year’s collections.  If it is determined that the tax for the previous year has been overpaid, credit shall be given for the amount of the overpayment upon the tax determined by initial computation to be due for the current year, or, in the case of discontinuance of operations in Oklahoma, the amount of the overpayment shall be refunded.

D.  The provisions of this section shall not apply to tour bus operations issued permits pursuant to Section 1171 of this title.

Added by Laws 1985, c. 179, § 41, operative July 1, 1985.  Amended by Laws 1989, c. 218, § 4, emerg. eff. May 9, 1989; Laws 2004, c. 522, § 21, eff. July 1, 2004.