Bill > SB239

This bill amends Oklahoma's income tax law regarding tax credits for zero-emission electricity facilities by limiting the credit's availability to tax years 2003 through 2025. The bill modifies existing provisions that provide tax credits for electricity generated by zero-emission facilities, such as those using wind, moving water, solar, or geothermal energy. Specifically, the bill changes the carry-forward provisions for unused credits, stipulating that credits cannot be carried forward to tax year 2026 or subsequent years. For credits claimed after July 1, 2019, taxpayers can elect to not receive a direct refund and instead carry forward unused credits, but any remaining credits in the tenth year of carry-forward or by tax year 2025 (whichever comes first) will be refunded at 85%. The bill maintains the existing limitation that credits can only be claimed for a ten-year period following a facility's operation or through tax year 2025, whichever occurs earlier. Additionally, the bill continues to cap credits for certain renewable resources at $500,000 per year and requires the Oklahoma Tax Commission to annually calculate and publish a percentage adjustment to ensure this cap is not exceeded. The bill will become effective on November 1, 2025, providing clarity and certainty for taxpayers and renewable energy producers about the timeline for these tax credits.

Budget and Finance

http://www.oklegislature.gov/BillInfo.aspx?Bill=sb239&Session=2600