Bill > SB1394

This bill creates a new income tax credit for individuals who receive down payment or closing cost assistance through the Oklahoma Increased Housing Program (OHFA) starting in tax year 2027. The credit will be equal to the exact amount of assistance received by the individual during that tax year, which can be applied against state income taxes. If the credit amount exceeds the taxpayer's total tax liability, the excess will be refunded to the taxpayer, making this a fully refundable tax credit. The purpose appears to be providing additional financial support to individuals purchasing homes by offsetting the cost of down payments and closing expenses through a state tax mechanism. The bill will become effective on November 1, 2026, allowing time for implementation and preparation by state tax authorities and potential recipients of housing assistance.

Budget and Finance

http://www.oklegislature.gov/BillInfo.aspx?Bill=sb1394&Session=2600