Bill > SB1856

This bill amends Oklahoma's income tax law to require a reduction in income tax rates if state tax collections exceed a certain threshold compared to the previous year. Specifically, starting with tax year 2027, if the total collections reported in December of the preceding year are at least $200 million more than the collections reported in the prior December, the top individual income tax rates, as outlined in subsection D of Section 2355, will be reduced by a tiered percentage, decreasing further as the excess collections increase, until the rate reaches zero percent. These reductions are contingent on certifications made by the State Board of Equalization, and any rate changes will take effect on January 1st following the final certification. The bill also introduces a new provision for tax year 2026 and subsequent years, allowing for further rate reductions based on excess collections, and clarifies that these reductions are tied to specific statutes related to revenue collection and tax rates.

Budget and Finance

http://www.oklegislature.gov/BillInfo.aspx?Bill=sb1856&Session=2600