Manufacturing client in Tulsa had a sales tax exemption on file with PSO for years. PSO recently did a system migration and says they can't find the original exemption certificate. They started charging sales tax again 4 months ago. Client doesn't have a copy of the original filing either. Do we just file a new certificate or is there a way to get the old one reinstated without starting from scratch?
Client lost their original exemption certificate — utility wants a new one
File a new certificate immediately — there's no benefit to tracking down the old one. The current Form 13-16-A will reestablish the exemption going forward. For the 4 months of tax charged since the exemption lapsed, request a retroactive correction from PSO citing the prior exemption that was on file. PSO's own billing records should show the exemption was previously applied, which proves the customer was qualified. If PSO won't correct it, file with the Oklahoma Tax Commission for a refund of the 4 months of improperly charged tax. The key lesson: always keep copies of filed exemption certificates in your records. If you're the auditor who originally filed it, keep a copy in the client file permanently.
Filed a new certificate. PSO reapplied the exemption and credited back the 4 months of tax without needing to go to the OTC. Their billing history showed the exemption was valid before the system migration, which made the correction straightforward. Keeping copies of every exemption certificate I file from now on — lesson learned.