Bill > SB285

This bill amends Oklahoma's tax code to create a new tax credit for contributions to higher education institution foundations, expanding an existing program that provides tax credits for donations to scholarship and educational improvement organizations. The bill allows taxpayers who contribute to eligible higher education institution foundations to claim a tax credit equal to 50% of their contribution, with caps of $1,000 for single filers, $2,000 for married couples filing jointly, and $100,000 for business entities. If a taxpayer commits to making the same contribution for two consecutive years, they can receive a 75% tax credit. The total statewide credits for these contributions are capped at $25 million annually, with an additional limit of $7.5 million per public higher education institution. To qualify, the foundations must be nonprofit entities supporting public higher education institutions and must be approved by the institution's governing board. The bill requires foundations to submit periodic reports detailing how the contributions were used and the impact of the scholarship programs. Eligible students must be lawfully present in the United States and from households with incomes not exceeding 300% of the free or reduced-price lunch income standard. The tax credits can be carried forward for up to three years if not fully used in a given tax year, and the Oklahoma Tax Commission will manage the allocation of credits to ensure the statewide and per-institution caps are not exceeded.

Budget and Finance

http://www.oklegislature.gov/BillInfo.aspx?Bill=sb285&Session=2600