How To Get A Business License In Oklahoma (2024)

While there is not one specific business license required in Oklahoma, most businesses require a sales tax permit. This permit is required for any business that sells goods or some specific services to the public. Select services that require a permit include print and advertising services, auto parking, lodging and meals, admissions and public utilities. Business owners must collect and pay the 4.5% sales tax on all retail transactions and some services.

Some businesses may require professional licenses as well. This includes engineers, architects, tattoo artists, racehorse owners and social workers. Similar licenses may be required for those in the medical field, insurance field and certain contractors.

In addition to the sales tax permit and professional licensure, there may be county and city licensing requirements. For example, Oklahoma City has business licensing requirements. A new business owner should check with local authorities to determine what, if anything, is needed regarding licensing and permits.

When Do You Need a Business License in Oklahoma?

A sales tax permit is needed when you run a business that resells items to the public or offers certain taxable services. A business that acts as a wholesaler to other retail establishments may apply for a resale permit, so it doesn’t need to collect and pay sales tax.

Where professional and vocational services are involved, business owners may need specific industry licensing. All licenses and permits should be obtained prior to engaging in business activities to prevent penalties and fines.

It’s important to understand the various types of business licenses that may apply to your company. There are different requirements for each type of license:

• Seller’s Permit. Retail sales establishments and some service providers need to obtain a license from the Tax Commission to collect the 4.5% sales tax.
• Remote Seller Registration. Retail sales establishments without a physical location in the state that provide sales online or through phone distribution channels and sell $100,000 or more in a calendar year must obtain a license from the Tax Commission to collect the state use tax.
• Alcoholic Beverage Laws Enforcement Commission License. Establishments that sell alcoholic beverages to consumers and the public must obtain this license.
• Tobacco License. Businesses selling tobacco products must obtain a license from the Tax Commission.
• Food Permits. Businesses serving or manufacturing food must obtain a license from the Department of Health.
• State Professional Licensing. The state licenses a wide variety of professions through professional boards. Each business should check with its own professional association for requirements.
• County and Municipal Licenses. A variety of permits and licenses may be required at the local level.
• Federal Licenses and Permits. Many different industries must obtain federal licenses or permits. Check with the Small Business Administration (SBA) for details.

Obtaining the Oklahoma seller’s permit is done through the state’s Taxpayer Access Point (OkTAP). Before you begin the registration process, obtain an Employer Identification Number (EIN) from the IRS by completing Form SS-4 or visiting the IRS website.

You’ll register for a new business in the portal with this EIN and other information about your company. Follow the onscreen prompts and enter the required details about your company. Expect to spend approximately 20 minutes completing the online application. There is a $20 charge that you’ll pay via credit or debit card at the end of the registration.

It costs $20 to obtain a seller’s permit in Oklahoma. Other types of business licenses vary in costs depending on the industry, required license and business activity. Check with your local county or city clerk to learn any costs associated with filing for a local license.

Bottom Line

While not every business in Oklahoma requires a business license, you may want to check with federal, state, county and city officials to determine which licenses might pertain to your business. Most retail companies will need to get a seller’s permit at the very least. Depending on county and city laws, you might also need to get a county or city business license. Professionals may need a license for their profession.