CJ-2025-00481 - STATE OF OKLAHOMA, EX REL. OKLAHOMA TAX COMMISSION v. MIRANDA FREY D/B/A MIRANDA'S CAKE CAFE

What's This Case About?

Let’s get one thing straight: Miranda Frey didn’t just forget to pay her taxes. She allegedly collected money from customers—hard-earned cash meant for the state’s coffers—and then… well, the state says she kept it. And now, the Oklahoma Tax Commission is coming for her like she stole the last slice of red velvet at a PTA meeting. That’s right—this isn’t some shadowy corporate tax dodge. This is a small-town bakery, glowing with 4.5-star Yelp reviews and Facebook posts about “Crazy Cookie Tuesday,” being sued by the government for failing to hand over $20,204.61 in sales tax. The taxman doesn’t care if your cupcakes are moist. He only cares if your returns are filed.

So who is Miranda Frey? Based on the glittering social media presence of Miranda’s Cake Cafe, she’s the kind of small business owner communities love: local, hands-on, the type who personally replies to Facebook comments about variety packs. Her bakery in downtown Wagoner, Oklahoma—a town of about 8,000 people—doubles as a coffee shop and restaurant, with custom cakes clearly being the main event. The Facebook page is alive with flavor announcements, delivery deals, and customer raves. It’s the kind of place where you order a dozen cookies and feel like you’re supporting your neighbor, not just buying dessert. But behind the frosting and Instagrammable cupcakes, something went sour. Miranda Frey, operating as a sole proprietorship (which means she is the business, legally speaking), allegedly failed to file sales tax returns and didn’t remit the tax collected from customers during two separate periods: first between February and April 2023, and then again from December 2023 through June 2024. And when we say “didn’t remit,” we mean the state says she took the money, promised to pass it on to Oklahoma, and then… didn’t.

Here’s how it went down, according to the filing: every time someone bought a $5 latte or a $30 custom cake at Miranda’s Cake Cafe, 4.5% of that sale (Oklahoma’s state sales tax rate) was supposed to be set aside and eventually sent to the Oklahoma Tax Commission. That’s the law. Businesses don’t keep this money—it’s not revenue, it’s a middleman transaction. Think of it like holding your friend’s wallet while they shop. You’re just the courier. But somewhere along the way, the courier allegedly dropped the wallet. Or spent it. The state claims Miranda Frey collected the tax, failed to file the required returns, and then just… ghosted the system. Twice. The first unpaid chunk covers early 2023 and totals $3,415.03. The second, covering late 2023 into mid-2024, is a much heftier $16,789.58. Combined, that’s over $20,000 in unremitted taxes—plus interest, penalties, and fees that keep piling up at 15% per year. To put that in perspective, that’s enough to buy two fully loaded Ford F-150s… or, more realistically, enough to sink a small bakery.

Now, the state isn’t just asking for the money back. Oh no. They want blood. Or at least, they want the ovens turned off. The Oklahoma Tax Commission is asking the court for two big things: first, to force Miranda Frey to pay back every penny, plus interest and penalties (that’s the “recovery of indebtedness” claim). Second, they want to shut down Miranda’s Cake Cafe until the tax bills are paid and the returns are filed. That’s the “injunctive relief”—a legal fancy way of saying “stop operating until you fix this.” And it’s not just about closing the doors. The state also wants to freeze her assets, prevent her from destroying financial records (because, hey, people do weird things when the taxman comes knocking), and even post a notice on the bakery’s front door announcing it’s been shut down for tax violations. Humiliation baked in, literally. They’re also demanding attorney fees and costs, which could tack on thousands more.

Now, let’s talk numbers. Is $20,204.61 a lot? For a state agency, it’s a rounding error. For a small bakery in rural Oklahoma? That’s massive. We’re talking about a business that likely operates on razor-thin margins, where a bad month or a few slow weeks could mean the difference between profit and panic. $20k could cover six months of rent, payroll for multiple employees, or a full year’s supply of flour, sugar, and fancy fondant. But here’s the kicker: the state says this isn’t even the full amount yet. They explicitly reserve the right to come back with more tax warrants if they discover additional unpaid periods. Translation: this could get worse. And if the injunction hits, Miranda’s Cake Cafe stops making money while it owes money—creating a debt spiral even the best red velvet cake can’t fix.

So what’s our take? Look, we’re not here to crucify a baker over a spreadsheet. Running a small business is brutal. Cash flow issues happen. Maybe Miranda Frey thought she could borrow from the tax pot now and pay it back later—like a financial Hail Mary that never got answered. Maybe she underestimated the penalties. Maybe the books got messy, and one missed filing turned into two, then three. But the most absurd part of this whole saga isn’t the amount—it’s the timing. The Tax Commission filed this petition in November 2025… but the second tax warrant wasn’t even assessed until October 2024. That means Miranda’s Cake Cafe was still posting on Facebook, running “Crazy Cookie Tuesday,” and offering free in-town cookie delivery while allegedly being hundreds of days behind on tax payments. The disconnect is wild. One minute you’re replying to a customer asking how to order a variety pack, the next you’re being sued by the state for fiscal negligence. It’s like watching someone host a dinner party while their house is quietly burning down.

Do we root for the little guy? Sure. We love a local bakery. We’ve all over-ordered cookies in the name of emotional support. But we also believe in receipts. And returns. And not keeping money that isn’t yours. So while we’re not cheering for the state to slap a “CLOSED FOR TAX EVASION” sign on the door of a beloved community business, we’re also not going to pretend this is just a paperwork snafu. This is a failure to meet a basic legal obligation—one that funds schools, roads, and yes, even the very courts hearing this case. So our verdict? Miranda’s Cake Cafe better hope this gets settled fast. Because nothing kills a sweet tooth like a court-ordered shutdown. And if this goes sideways, the only thing left on the menu might be humble pie.

Case Overview

Petition

Jurisdiction

District Court of Wagoner County, Oklahoma

Filing Attorney

Joseph Haulman

Relief Sought

$20,405 Monetary

Injunctive Relief

Plaintiffs

STATE OF OKLAHOMA, EX REL. OKLAHOMA TAX COMMISSION government
Rep: Joseph Haulman, OBA #35798

Defendants

MIRANDA FREY D/B/A MIRANDA'S CAKE CAFE business
MIRANDA FREY individual

Claims

#	Cause of Action	Description
1	recovery of indebtedness	collection of unpaid sales tax
2	injunctive relief	enjoining defendant from operating business until tax obligations are satisfied

Petition Text

1,897 words

IN THE DISTRICT COURT OF WAGONER COUNTY STATE OF OKLAHOMA STATE OF OKLAHOMA, EX REL. OKLAHOMA TAX COMMISSION, Plaintiff, vs. MIRANDA FREY D/B/A MIRANDA’S CAKE CAFE, AND MIRANDA FREY, INDIVIDUALLY AND AS SOLE PROPRIETOR OF MIRANDA’S CAKE CAFE, Defendants. PETITION FOR INJUNCTIVE RELIEF AND RECOVERY OF INDEBTEDNESS COMES NOW, Plaintiff, the STATE OF OKLAHOMA, ex rel. OKLAHOMA TAX COMMISSION, by and through its Assistant General Counsel, Joseph Haulman, and for its cause of action against Defendants, Miranda Frey dba Miranda’s Cake Cafe, and Miranda Frey, INDIVIDUALLY AND AS SOLE PROPRIETOR OF MIRANDA’S CAKE CAFE, (hereinafter collectively referred to as “Defendants,” and separately as “Defendant Business” and “Defendant Individual,” respectively), alleges and states as follows: INTRODUCTION AND JURISDICTION 1. That the Oklahoma Tax Commission is an Agency of the State of Oklahoma. The Oklahoma Tax Commission is authorized and required to enforce the Oklahoma Tax Code. See 68 O.S. §§ 101, 102. 2. That this Petition is filed pursuant to the Oklahoma Tax Commission’s statutory authority to collect unpaid taxes, namely: a. When a taxpayer fails to make state-required returns and/or reports, the Oklahoma Tax Commission may petition the District Court of the taxpayer’s county of residence for an order compelling the taxpayer to do so. See 68 O.S. § 222. b. That when state-imposed taxes go unpaid and/or corresponding returns are not filed, the Oklahoma Tax Commission may initiate injunction proceedings against the delinquent party until said obligations have been satisfied. See 68 O.S. § 232. c. That when unpaid taxes become delinquent, the Oklahoma Tax Commission may issue a warrant, which carries the same force as a court judgment, against the noncompliant party. See 68 O.S. § 231. 3. That Defendant Individual operates Defendant Business, a Sole Proprietorship NOT in good standing with the Oklahoma Secretary of State and currently doing business as Miranda’s Cake Café. 4. That Defendant Individual has had, and continues to have, direct control, supervision, and responsibility for withholding, collecting, remitting taxes, and filing returns on behalf of the business to the State of Oklahoma. 5. That tax warrants have been filed against Defendant in Wagoner County, Oklahoma. 6. That Defendant Business has its principal place of business in Wagoner County, Oklahoma. 7. That pursuant to the foregoing, jurisdiction and venue is proper with this Court. See 12 O.S. §§ 134, 731-942, 2020; 68 O.S. §§ 215(a), 222, 231(K). FACTS SALES TAX 8. That Defendants have a duty to collect and remit sales tax to the State of Oklahoma. See 68 O.S. §§ 1361, 1365. 9. That Defendants have collected sales tax on behalf of the State of Oklahoma and failed to remit those taxes to the State of Oklahoma. 10. That Defendants have failed to file its sales tax returns as required by law. RECOVERY OF INDEBTEDNESS 11. That tax warrants filed by the Oklahoma Tax Commission have the same force and effect as court judgments. See 68 O.S. § 230. Therefore, as a creditor, the Oklahoma Tax Commission requests all remedies to which it is lawfully entitled. 12. That the following tax warrants have been filed against Defendants: <table> <tr> <th>EXHIBIT</th> <th>WARRANT</th> <th>COUNTY</th> <th>PARTY</th> <th>TAX TYPE</th> <th>PERIODS</th> <th>FILED</th> <th>BALANCE</th> </tr> <tr> <td>1</td> <td>628355072</td> <td>WAGONER</td> <td>STATION WAGONER</td> <td>STS</td> <td>02/2023-04/2023</td> <td>05/18/2023</td> <td>$3,415.03</td> </tr> <tr> <td>2</td> <td>656197632</td> <td>WAGONER</td> <td>STATION WAGONER</td> <td>STS</td> <td>12/2023-06/2024</td> <td>10/31/2024</td> <td>$16,789.58</td> </tr> <tr> <th colspan="4">TOTAL = $20,204.61</th> <th></th> <th></th> <th></th> <th></th> </tr> </table> 13. That interest on the tax warrant balances has been calculated to October 30, 2025, and continues to accrue on the unpaid tax at the rate of (15%) per annum. 14. That the above-referenced tax warrants have been filed in accordance with the laws of the State of Oklahoma. See 68 O.S. § 231(K) (stating that “the Tax Commission shall have all of the remedies and may take all the proceedings thereon for the collection thereof which may be had or taken upon a judgment of the district court.”) 15. That the total amount due and owing will not be known until Defendants file all returns as required by law, or alternatively, the State elects to assess Defendants for the unfiled returns. The Oklahoma Tax Commission reserves its right to issue further tax warrants against Defendants for current and future indebtedness. 16. That the Oklahoma Tax Commission requests that all necessary actions be maintained against Defendants to collect the full amount of indebtedness, together with interest and penalties, and for the costs of this action. INJUNCTIVE RELIEF 17. That upon knowledge and belief, Defendants have continued business operations despite the tax violations described herein. See Exhibit 3. 18. That the Oklahoma Tax Commission requests an order enjoining Defendants from operating for failure to file and pay reports and/or returns as required by Oklahoma law. See 68 O.S. § 232. 19. That the Oklahoma Tax Commission further requests an order requiring Defendants to file all reports and returns required by Oklahoma law. See 68 O.S. § 222. 20. That the Oklahoma Tax Commission further requests that Defendants and all representatives be restrained and enjoined, whether acting directly or indirectly, from destroying, erasing, falsifying, writing over, mutilating, concealing, altering, transferring, or otherwise disposing of, in any manner, documents, including electronically stored materials that relate to: the business, business practices, assets, or business or personal finances of any Defendant unless expressly approved by this Court. See 12 O.S. § 1381. 21. That the Oklahoma Tax Commission further requests that the Court issue an order enjoining and restraining Defendants’ transfer, disposition, or concealment of any money or property belonging to Defendant or the State of Oklahoma without prior approval of this Court. See 12 O.S. § 852. 22. That the Oklahoma Tax Commission further requests that notice be affixed to Defendant Business’s entrance(s) upon being enjoined from operation. See 12 O.S. § 1381. 23. That the Oklahoma Tax Commission, if successful upon its Petition for Injunction, requests that bond be required and posted with the Oklahoma Tax Commission before this Court’s injunction is lifted. See 68 O.S. § 210. REQUEST FOR RELIEF WHEREFORE, premises considered, the Oklahoma Tax Commission respectfully requests that (a) Defendants and all agents, employees, successors, assigns, servants, attorneys and all others under Defendants’ control be enjoined from any and all business operations; (b) the Court order Defendants to file all delinquent reports and returns pursuant to 68 O.S. § 222; (c) the Court issue an order under 12 O.S. § 852 enjoining and restraining Defendants’ transfer, disposition, or concealment of any money or property belonging to any Defendant or the State of Oklahoma without prior approval of this Court; (d) Defendants be ordered to pay the costs of this action, together with the Oklahoma Tax Commission’s attorney fees as governed by 12 O.S. §§ 936(B), 942; (e) all necessary actions be maintained against Defendants to collect the full amount of indebtedness, together with interest and penalty as provided by 68 O.S. § 231(K) and other Oklahoma law; and (f) this Court grants Plaintiff all other relief permissible under Oklahoma law and deemed proper by this Court. Respectfully submitted, OKLAHOMA TAX COMMISSION [signature] Joseph Haulman, OBA #35798 201 W. 5th St. Ste. 400 Tulsa, OK 74103 Telephone: (918) 581-2979 Facsimile: (918) 303-0395 Email: [email protected] Attorneys for Plaintiff VERIFICATION STATE OF OKLAHOMA ) ) COUNTY OF TULSA ) ) Joseph Haulman, being duly sworn on oath, states that he is an attorney for the Oklahoma Tax Commission; that he has read the foregoing pleading and is familiar with the contents thereof; and that the matters and things stated therein are true and correct to the best of his knowledge. Joseph Haulman, OBA#35798 Assistant General Counsel Oklahoma Tax Commission 201 W. 5th St. Ste. 400 Tulsa, OK 74103 Telephone: (918) 581-2979 Facsimile: (918) 303-0395 Email: [email protected] Attorney for Plaintiff Subscribed and sworn to before me this 15th day of November 2025. Notary Public OKLAHOMA Tax Commission PO Box 269060 Oklahoma City Oklahoma 73126 Wagoner County FEIN/SSN: ***-**-0322 Taxpayer: FREY, MIRANDA Tax Warrant: 628355072 Date Assessed: May 18, 2023 THE STATE OF OKLAHOMA TO: The County Clerk of Wagoner County, Oklahoma Whereas, the above named taxpayer(s) is indebted to the State of Oklahoma for Sales Tax with penalties and interest thereon computed to date, for the period(s) and in the amount(s) as follows: STS-10345525-08 02/01/2023 - 04/30/2023 Total Tax: $ 5,992.99 Interest to Date of Issuance: $ 56.81 Penalties to Date of Issuance: $ 400.92 Tax Warrant Penalty: $ 200.00 Filing Fee: $ 36.00 Total Amount Due: $ 6,686.72 Interest continues to accrue on the total tax until paid and additional penalties may accrue as authorized by Oklahoma law. Now therefore, you are directed to record and index this warrant in the same manner as a judgment, using the name(s) of the delinquent taxpayer(s) shown above, name of the tax, the amount of the tax, interest and penalties for which the warrant is issued, and the date and time when filed. In witness whereof, the Oklahoma Tax Commission has caused this writ to be subscribed and duly attested, with the seal of said commission affixed this May 19, 2023. Oklahoma Tax Commission: [Signature] Assistant Secretary OKLAHOMA Tax Commission PO Box 26930 Oklahoma City Oklahoma 73126 Wagoner County FEIN/SSN: ***-**-0322 Taxpayer: FREY, MIRANDA Tax Warrant: 656197632 Date Assessed: October 31, 2024 THE STATE OF OKLAHOMA TO: The County Clerk of Wagoner County, Oklahoma Whereas, the above named taxpayer(s) is indebted to the State of Oklahoma for Sales Tax with penalties and interest thereon computed to date, for the period(s) and in the amount(s) as follows: STS-10345525-08 12/01/2023 - 06/30/2024 Total Tax: $ 12,562.85 Interest to Date of Issuance: $ 851.32 Penalties to Date of Issuance: $ 1,256.28 Tax Warrant Penalty: $ 200.00 Filing Fee: $ 36.00 Total Amount Due: $ 14,906.45 Interest continues to accrue on the total tax until paid and additional penalties may accrue as authorized by Oklahoma law. Now therefore, you are directed to record and index this warrant in the same manner as a judgment, using the name(s) of the delinquent taxpayer(s) shown above, name of the tax, the amount of the tax, interest and penalties for which the warrant is issued, and the date and time when filed. In witness whereof, the Oklahoma Tax Commission has caused this writ to be subscribed and duly attested, with the seal of said commission affixed this November 7, 2024. Oklahoma Tax Commission: [Signature] Assistant Secretary Miranda's Cake Cafe mirandascakecafe.com 4.5/5 (480 reviews) · Bakery · $$ 105 S Main St, Wagoner, OK 74467 · 37 mi Open · Closes 3 PM · More hours (918) 485-2253 Website Directions Facebook https://www.facebook.com/MirandasCakeHouse Miranda's Cake Cafe | Wagoner OK - Facebook Miranda's Cake Cafe, Wagoner. 7,199 likes · 42 talking about this · 1,581 were here. We are a locally owned Custom Bakery, Restaurant, and Coffee House... 4.5/5 ★★★★☆ (471) 28 likes Followers: 7.5K Miranda's Cake Cafe 7.7K followers • 38 following Intro We are a locally owned Custom Bakery, Restaurant, and Coffee House located in downtown Wagoner, Ok Page · Coffee shop 105 south Main street, Wagoner, OK, United States, Oklahoma (918) 485-2253 mirandascakes17 mirandascakes mirandascakehousecafe.my.canva.site/home Open now Delivery · Takeout · Dine-in... Price Range: $$ 94% recommend (478 Reviews) Photos · See all photos Miranda's Cake Cafe 2d TOMORROWS FLAVORS!! You don't want to miss these!! Click the link to order yours https://square.link/u/5JacZR93 $10/dozen FREE in town delivery! Thank you for your Crazy Cookie Tuesday purchase! TOMORROW'S FLAVORS ARE October 28th No Bake S'more Double Fudge Scan the code to Order View more comments Sally Steelmon Random ? Am I missing how to order more than one with different flavors? I want to order a variety pack and a dozen no bake. 2d Author Miranda's Cake Cafe Sally Steelmon sometimes it makes you put in 2 orders!! I am so sorry about that! 2d