In this paper we investigate the effects of external electric and magnetic fields on a three-dimensional harmonic oscillator with axial symmetry. The energy spectrum of such a system is non-degenerate due to the presence of the magnetic field. The degeneracy of the energy spectrum in the absence of a magnetic field is discussed. The influence of electric and magnetic fields, as well as the frequencies of the oscillator on the probability distribution function is analyzed. Optical transition probabilities are examined by deriving the selection rules in dipole approximation for the quantum numbers n
l and n
z. Employing stationary perturbation theory, the effects of deformations of the potential energy function on the oscillatory states are analyzed. Such models have been used in literature in analysis of spectra of axially symmetrical molecules and cylindrical quantum dots.