Taxation; modifying and limiting certain credits, deductions, and exemptions; modifying income tax rate for certain years. Effective date. Emergency.

SB 227 modifies Oklahoma's tax code to limit certain tax exemptions and credits, primarily affecting oil and gas producers who qualify as having "economically at-risk" leases. It narrows the definition of such leases for 2022-2024 to require specific production volume and value thresholds (e.g., oil at under $50/barrel or gas at under $3.50/MMBtu) and caps annual refunds for these exemptions at $12.5 million for 2015-2016. The bill also sets a deadline for claiming refunds for 2022 and later (by its effective date) and adjusts income tax rates while restricting refundability of credits like the earned income tax credit to specified tax years.