Bill > SB573

This bill amends Oklahoma state law regarding income tax exemptions for small business incubator tenants by introducing new reporting requirements starting in tax year 2026. Specifically, tenants who receive a state income tax exemption for up to ten years for business activities conducted in an incubator will now be required to submit an annual report to the Oklahoma Department of Commerce detailing various aspects of their business operations. The required information includes employment levels (full-time and part-time), number of interns, payments to subcontractors, estimated gross annual revenues, annual costs for property and services, any additional financial assistance or incentives received from the state or local governments, and a statement of taxable income previously exempted. The Oklahoma Tax Commission will be responsible for creating rules to implement these new reporting requirements. The bill will become effective on November 1, 2025, and maintains the existing provision that allows tenants to receive a state income tax exemption for up to ten years from their initial occupancy in an incubator, even after they are no longer physically located in the incubator.

Budget and Finance, Labor and Employment

http://www.oklegislature.gov/BillInfo.aspx?Bill=sb573&Session=2600