If you thought state boundaries were settled, well, think again. U.S. Supremes rule half the state of Oklahoma is governed by federal laws, changing the dynamics of state and local tax within the state.

2020 has been a crazy year and the crazy just keeps coming. Now roughly half of Oklahoma including Tulsa, Oklahoma’s second-largest city is ruled to be within a Native American Reservation, which is governed by federal laws and not state laws.

We are likely looking at a change to state taxes as a result of the U.S. Supremes ruling in favor of a man tried for rape on Indian lands. In agreeing that the site of the rape should have been recognized as part of a reservation, the U.S. Supremes simultaneously recognized that much of eastern Oklahoma is legally considered reservation land based on the complex historical claim of the Muscogee (Creek) Nation, according to Reuters.

And you thought state boundaries were settled? Well, think again.

We’ll keep you posted on how this high court ruling will impact state taxes as the issue unfolds. To discuss emerging state and local tax issues in Oklahoma or elsewhere, contact us at SALTovation. 

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Judy Vorndran can be reached at jvorndran@taxops.com or 720.227.0093. 

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