{"data":{"id":"us-ok/okla.-stat.-tit.-68-68-2385.30","jurisdiction":"us-ok","citation":"Okla. Stat. tit. 68, § 68-2385.30","heading":"Withholding by pass-through entities – Returns –","body":"Quarterly estimated payments – Written statement of taxable income\n\nupon which withholding was based and tax withheld.\n\nA. A pass-through entity shall withhold income tax at the\n\nhighest Oklahoma marginal individual income tax rate pursuant to\n\nSection 2355 of this title from a nonresident member's share of the\n\nOklahoma share of income of the entity distributed to each\n\nnonresident member and pay the withheld amount on or before the due\n\ndate of the pass-through entity's income tax return, including\n\nextensions.\n\nThe pass-through entity shall file a return with each payment to\n\nthe Oklahoma Tax Commission. The return, in a form prescribed by\n\nthe Tax Commission, shall show the amount of the Oklahoma taxable\n\nincome upon which withholding was based and the amount withheld.\n\nB. A pass-through entity may make quarterly estimated payments\n\nfor the taxable year and a pass-through entity shall be required to\n\nmake quarterly estimated payments for the taxable year if the amount\n\nthat must be withheld from all nonresident members for the taxable\n\nyear can reasonably be expected to exceed Five Hundred Dollars\n\n($500.00). The estimated tax payments shall be paid in equal\n\nquarterly installments on or before the last day of the month\n\nsucceeding the calendar quarter. The total of quarterly estimated\n\npayments required to be paid by a pass-through entity for the\n\ntaxable year shall be the lesser of:\n\n1. Seventy percent (70%) of the withholding tax that must be\n\nwithheld from all its nonresident members for the taxable year; or\n\n2. One hundred percent (100%) of the withholding tax that had\n\nto be withheld from all of its nonresident members for the preceding\n\ntaxable year.\n\nThe provisions of this subsection shall not relieve a pass-\n\nthrough entity from the requirement of remitting amounts to the Tax\n\nCommission that were actually withheld from distributions.\n\nC. The amount of income tax withheld shall be allowed as a\n\ncredit to the recipient of the income as income taxes paid.\n\nD. A pass-through entity shall not be required to withhold\n\nincome tax from an entity exempt pursuant to subsection C of Section\n\n2359 of this title or Section 501(c)(3) of the Internal Revenue\n\nCode, 26 U.S.C., Section 501(c)(3).\n\nE. Every pass-through entity required pursuant to this section\n\nto withhold income tax shall furnish to its nonresident member and\n\nto the Tax Commission annually, but not later than the due date of\n\nthe pass-through entity's income tax return for the taxable year\n\nincluding extensions, a written statement of the amount of taxable\n\nincome upon which withholding was based and of the tax withheld on\n\nbehalf of the nonresident member on forms prescribed by the Tax\n\nCommission. The written statement shall show the name of member,\n\nthe applicable Social Security number or federal identification\n\nnumber, the amount of the nonresident member's share of Oklahoma\n\ntaxable income upon which withholding was based, the amounts\n\nwithheld, and any such information as may be required by the Tax\n\nCommission.\n\nF. If the Tax Commission, in any case, has justifiable reason\n\nto believe that the collection of the amount required in subsection\n\nA of this section is in jeopardy, the Tax Commission may require a\n\npass-through entity to file a return and pay the withheld amounts at\n\nany time.\n\nG. All amounts received by the Tax Commission pursuant to the\n\nprovisions of Sections 2385.29 through 2385.31 of this title shall\n\nbe deposited as provided by Section 2385.16 of this title.\n\nH. Notwithstanding the provisions of subsection A of this\n\nsection, a pass-through entity is not required to withhold tax for a\n\nnonresident member if:\n\n1. The Tax Commission has determined, by rule, that the income\n\nof the nonresident member is not subject to withholding;\n\n2. The nonresident member files an affidavit with the Tax\n\nCommission, in the form and manner prescribed by the Tax Commission,\nNotwithstanding the provisions of subsection A of this\n\nsection, a pass-through entity is not required to withhold tax for a\n\nnonresident member if:\n\n1. The Tax Commission has determined, by rule, that the income\n\nof the nonresident member is not subject to withholding;\n\n2. The nonresident member files an affidavit with the Tax\n\nCommission, in the form and manner prescribed by the Tax Commission,\n\nwhereby such nonresident member agrees to be subject to the personal\n\njurisdiction of the Tax Commission in the courts of this state for\n\nthe purpose of determining and collecting any Oklahoma taxes,\n\nincluding estimated tax payments, together with any related interest\n\nand penalties. The Tax Commission may revoke an exemption granted\n\nby this subsection at any time it determines that the nonresident\n\nmember is not abiding by the terms of the affidavit; or\n\n3. The entity is a publicly traded partnership, as defined by\n\nSection 7704(b) of the Internal Revenue Code, which is treated as a\n\npartnership for the purposes of the Internal Revenue Code, and which\n\nhas agreed to file an annual information return reporting the name,\n\naddress, taxpayer identification number and other information\n\nrequested by the Tax Commission of each unitholder with an income in\n\nthe state in excess of Five Hundred Dollars ($500.00).","path":["OK Code","Title 68"],"source_url":"https://www.oklegislature.gov/OK_Statutes/CompleteTitles/os68.pdf","current_through":"2026-08-14","vintage":"open-us-law v2026.08, retrieved 2026-09-14","retrieved_at":"2026-09-14T18:32:36Z","sha256":"cac99e14cb1af584dab5763fea0ad8575b44cbce47949aa4c1d8013d4c07a3b4","source_id":"us-ok","stale":false,"prev":"us-ok/okla.-stat.-tit.-68-68-2385.3","next":"us-ok/okla.-stat.-tit.-68-68-2385.31"},"notice":"GroundRules: Original legal text. Not legal advice."}