Oklahoma is known as the Sooner State (a name given to the people who entered the unallocated lands before Oklahoma was created) and it is the 28th most populous American state. Being a large producer of oil, gas and numerous agricultural products, Oklahoma is suitable for business in this area, but entrepreneurs can establish their investments in other fields of interest like the tourism or biotechnology. We have prepared a general guide to company incorporation in Oklahoma to support business persons interested in setting up companies in this state. We also mention that our team of company formation agents in USA are at your disposal with information and assistance at the time of company registration in USA.

How to set up an LLC in Oklahoma

The most popular business structure in USA is the limited liability company which can be easily incorporated in any chosen state, including in Oklahoma. The registration of an LLC in Oklahoma starts with the Business Division of the Secretary of the State of Oklahoma and the submission of the Articles of Association. These are the company’s major documents which stand at the company formation process in USA and comprise the following information:

• the name and the nationality of the owners;
• the activities of the company;
• the business address;
• the board of directors;
• the name of the registered agent.

If you want to open a company in USA, especially in Oklahoma, it is recommended to appoint a registered agent who can act on behalf of the company and who can receive the legal documents of the firm. In this sense, we remind investors that our company incorporation agents in USA can represent your firm, regardless of the state in which you want to develop your activities.

Sign an operating agreement for your LLC in Oklahoma

Most states in USA do not impose any documents besides the Articles of Association, but it is recommended to consider, create and sign an operating agreement with information about the obligations and liabilities of the owners and the board of managers, the voting rights and details about how dissolution can be made. This is an internal document of the company which, in most cases, is suggested but not imposed.

Apply for EIN in Oklahoma

In order to align with the tax requirements, companies in Oklahoma need to obtain the Employer Identification Number or simply the EIN which is issued by the Internal Revenue Service (IRS) in USA through the local offices in Oklahoma. This is a federal tax ID which shows that your company is registered for tax purposes before commencing the activities in Oklahoma. If you need help with the requirements of EIN in this state, do not hesitate to ask our consultants for help.

Taxes in Oklahoma

At the moment, the sales tax in Oklahoma is set at 4.5% rate, but municipalities can impose their own sales tax not exceeding 5.5%. When starting a business in Oklahoma it is suggested to know about all taxes linked to your business and activities, in order to avoid any possible penalties in this sense.

Business licenses and permit in Oklahoma

It is good to know that different activities in Oklahoma require licenses and permits in the first instance. If you want to open a financial company in Oklahoma or act as a financial advisor in your firm, you should apply for a business license in this sense with the Oklahoma Department of Securities & Exchange. Also, persons who want to open restaurants in Oklahoma need to obtain the health and building permits before operating on the market.

Economy overview of Oklahoma

Oklahoma has a diversified economy and a wide range of prolific sectors which sustain the state’s GDP among many others. The state is known for the large production of wheat and the exports in this sense, but also for well-developed sectors like telecommunication, energy, food processing or aviation. Oklahoma City is the capital of Oklahoma and the main destination for business, as recognized by Forbes Magazine a few years ago. Foreign entrepreneurs can also establish their investments in cities like Tulsa, Edmond, Norman, Lawton or Bartlesville.

The corporate franchise tax and the corporation business tax are among the important taxes a company needs to pay in Oklahoma. It is important to know how the business is done in this state, in order to align with the tax requirements, a matter where our team of company formation agents in USA can help. The same team can help foreign entrepreneurs to start a business in USA in compliance with the conditions imposed by the relevant authorities.

What is the corporate income tax rate in Oklahoma?

The corporate income tax rate in Oklahoma is set at 6% and it is applicable to the federal taxable income generated in this state by foreign companies.

What is the franchise tax rate in Oklahoma?

The franchise tax in Oklahoma is applicable to C and S corporations and it represents $1.25 per each $1,000 or fraction thereof on the amount of capital invested or employed in the state of Oklahoma. In the past few years, the franchise tax was replaced by the business activity tax or BAT for a short period of time, the authorities deciding to reintroduce the franchise tax in Oklahoma. Feel free to talk to our company formation specialists in USA for complete information in this sense.

The sales tax rate in Oklahoma

4.5% represents the standard sales tax in Oklahoma, an important fee imposed for goods and services for sale purposes on the market. Municipalities in Oklahoma can impose their own city sales tax which cannot exceed 5.5%. We invite you to talk to our company formation specialists in USA and find out how you can open a company in USA. For more information about doing business in Oklahoma, we suggest you read the general guide to company incorporation in Oklahoma.

The taxes on personal incomes in Oklahoma

The following tax rates are imposed for single taxpayers in Oklahoma:

Taxable Income Tax Rate

• Between 0$ and $1,000: 0.5%
• Between $1,001 and $2,500: 1%
• Between $2,501 and $3,750: 2%
• Between $3,751 and $4,900: 3%
• Between $4,901 and $7,200: 4%
• Between $7,201 and $8,700: 5%
• For more than $8,701: 5.25%

Other tax facts in Oklahoma

The property tax, the gas tax, the cigarette tax, and the alcohol tax are among the fees imposed in Oklahoma. Since 2010, there is no inheritance tax, as such fee has been repealed. All taxpayers have the possibility of submitting the tax forms on the official website of the Oklahoma Tax Commission, however, they can address to our team of advisers for complete support if they want to skip such formalities.