OTC Announces New Process for Taxpayers with Amended Returns

The Oklahoma Tax Commission (OTC) recently announced a new process designed to assist taxpayers whose Oklahoma amended returns are delayed due to pending federal amended return processing.

The issue was discussed during a January 2026 meeting between the OTC and the Oklahoma Society of CPAs. In some cases, when an Oklahoma amended return is filed as a result of changes made to a federal return, the OTC may be unable to process the state amended return until the Internal Revenue Service completes processing of the federal amended return. These delays can result in continued accrual of penalty and interest and may trigger collection activity on the taxpayer's account.

To address this situation, the OTC has implemented a process that allows collection activity to be suspended for taxpayers affected by federal processing delays.

To request a suspension of collection activity, the taxpayer or tax preparer must contact the OTC and provide a transcript of account from the IRS to show that the amended federal return has been received by the IRS. 

Upon receipt of this documentation, the OTC will suspend further collection activity for up to six months. At the end of that period, the OTC will work with the taxpayer or tax preparer to determine whether an additional suspension is warranted based on the status of the federal amended return.