Bill > SB291

This bill modifies Oklahoma's tax laws by establishing a new income tax credit mechanism tied to state revenue growth. Specifically, if the State Board of Equalization certifies that state revenue has grown by more than 10% in a given fiscal year, the Oklahoma Tax Commission will calculate a refundable tax credit for individual income taxpayers. The credit amount will be calculated by dividing the excess revenue growth by a formula that considers the number of tax returns filed, with different multipliers for individual and married filing jointly returns. The credit will be published on the Tax Commission's website within 45 days of certification, and married filing jointly taxpayers will receive double the credit amount. However, if a revenue failure is declared before November 1 of the corresponding calendar year, the tax credit will not be provided. The bill includes provisions for how the State Board of Equalization should calculate and certify revenue growth, focusing on revenues from oil, natural gas, and corporate income taxes. The new tax credit provisions will become effective on November 1, 2025, providing a potential financial benefit to Oklahoma taxpayers in years of significant state revenue growth.

Budget and Finance

http://www.oklegislature.gov/BillInfo.aspx?Bill=sb291&Session=2600