Oklahoma claims Citizen Potawatomi Nation must collect taxes

The FireLake Corner Store in Shawnee, Oklahoma. Photo from Citizen Potawatomi Nation

The Oklahoma Tax Commission says the Citizen Potawatomi Nation must collect taxes on the sale of good to non-Indians.

The commission is citing a provision in the tribe's Class III gaming compact that purportedly requires the collection, reporting and submission of the taxes, The Shawnee News-Star reported.

“A sales tax is ‘excise tax’ levied on the consumer, not the CPN,” the OTC said in a complaint, the paper reported. “The CPN is not being taxed.”

The tribe is disputing the interpretation of the provision. Chairman John “Rocky” Barrett said the compact does not authorize taxes on the tribe or its enterprises.

The Bureau of Indian Affairs allowed the compact to go into effect in January 2005. The decision letter said that non-gaming related provisions are not enforceable.

The tribe has requested arbitration on the matter, the News-Star reported.

Get the Story:
Tribe responds to state complaint (The Shawnee News-Star 11/25

Federal Register Notice:
Indian Gaming (February 9, 2005)

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