Revenue and Taxation

SB 1989 expands contribution options for Oklahoma's 529 College Savings Plan by explicitly permitting digital payments through peer-to-peer apps and digital networks, in addition to cash. This change directly affects anyone contributing to the plan, including parents, students, or others saving for qualified higher education expenses. The bill updates the statute (70 O.S. 2021, Section 3970.7) to clarify that contributions may now be made via these digital methods. The amendment does not alter savings limits, tax treatment, or other program rules, focusing solely on expanding how funds can be deposited.

SB 1832 reauthorizes Oklahoma taxpayers' ability to donate a portion of their state income tax refund to two veterans programs. It extends the option for donations to fund the Indigent Veteran Burial Program (reimbursing up to $500 per veteran, capped at $20,000 annually) and the Veterans Affairs Equipment and Capital Improvement Program (funding equipment purchases and facility projects). The bill updates the covered tax years (2017-2020 and 2026 onward for burial; 1994-2008 and 2026 onward for equipment) and establishes revolving funds administered by the Oklahoma Department of Veterans Affairs. These funds, held in the state treasury, are dedicated to specific veteran services with clear spending limits, and donations remain optional for taxpayers.

HB 2894 amends Oklahoma's Tourism Development Act to adjust sales tax credit rules for tourism projects. It provides up to 10% tax credits for projects costing $500,000-$1 million and up to 25% for projects over $1 million, but credits cannot exceed the state's potential sales tax revenue from the project. The bill allows tourism developers in Entertainment Districts to pass credits to tenants or receive incentive payments based on tenant sales tax collections, subject to a $30 million annual cap on all inducements. Developers must verify expenditures with independent audits, and credits cannot be transferred except as specified for Entertainment District tenants.

HB 3986 modernizes Oklahoma's gross production tax for oil, gas, and mineral production. It sets a 7% tax rate on most oil and gas production (increasing from previous rates), with a temporary 5% rate for wells spudded before the law's effective date for 36 months. The bill creates tax exemptions for 5 years for secondary/tertiary recovery projects (approved after July 2022) and offers a 50% tax reduction for 36 months on production from orphaned wells (requiring a $25,000 bond per well). Producers of oil/gas using recycled water for well completion also get a 24-month exemption proportional to recycled water use. Refunds for exempt production are capped annually at $15 million for recovery projects and $10 million for recycled water projects.

SB 2018 amends Oklahoma property tax law to establish a specific valuation method for large residential rental housing developments. It defines "residential rental housing" as properties with at least 60 rental units and prescribes how county assessors must value these properties for ad valorem tax purposes. The bill updates statutory definitions and requirements in Sections 2802 and 2817 of the Oklahoma Statutes, ensuring these properties are assessed using a method consistent with market value standards. This change directly affects county tax assessors and owners of large multi-unit rental properties across Oklahoma.