HB 3751 expands Oklahoma's homestead property tax exemption to include mobile homes and site-built homes (whether on owned or rented/leased land) when occupied as a primary residence. It clarifies that owners must actually reside there to qualify, with special provisions for tornado victims (2013+ disasters with federal disaster declarations). The bill defines rural homesteads as up to 160 acres and urban homesteads as no more than 1 acre. It takes effect January 1, 2027.
HB 4318 allows Oklahoma businesses collecting sales and use tax to deduct a small amount for record-keeping and filing costs. Specifically, it authorizes a 1% deduction on the tax owed (capped at $1,000 per month per business account), but excludes deductions for direct payment permits or late filings (unless due to a declared natural disaster). The bill applies directly to businesses that collect and remit sales/use tax in Oklahoma, covering both the tax calculation process and monthly reporting requirements. It becomes effective November 1, 2026.
HB 1171 modifies Oklahoma's sales tax exemption rules for nonprofits by requiring organizations to have annual gross revenue under $500,000 to qualify for exemption on tangible personal property and services. It specifically excludes alcohol and tobacco sales from the exemption, meaning nonprofits selling these items cannot claim tax-free status. This change directly affects small nonprofits that previously qualified for full exemption but now must meet the revenue threshold to maintain tax-free status on other sales. The bill also updates existing exemption categories but does not alter the core tax treatment for qualifying nonprofits beyond the revenue limit and alcohol/tobacco exception.
HB 1834 creates the "Inhofe Disaster Savings Account Act" in Oklahoma, allowing homeowners to set up tax-advantaged savings accounts specifically for covering insurance deductibles or self-insured losses related to qualifying disasters (hurricanes, tornadoes, floods, etc.) at their primary residence. Homeowners can deduct contributions from state taxable income (with limits based on their insurance deductible: $2,000 max for deductibles ≤$1,000, up to $15,000 or twice the deductible for higher deductibles, or $350,000 for self-insured), and all interest earned in the account is exempt from state income tax. Withdrawals are tax-free if used for qualified disaster expenses (declared by federal/state authorities), but otherwise become taxable income with a 2.5% penalty, and accounts pass tax-free to surviving spouses upon death. The law takes effect January 1, 2026, targeting Oklahoma homeowners seeking disaster financial preparedness.
HB 2646 eliminates a limitation on taxpayers deducting wagering income when calculating Oklahoma taxable income, directly affecting individuals and businesses claiming such deductions. The bill amends Oklahoma Statute 68 O.S. § 2358 to allow full itemization of wagering income without prior restrictions. It also updates statutory references and adjusts tax year calculations for net operating losses. The bill was referred to the Governor but received a pocket veto on June 15, 2025, meaning it did not become law.
HB 1378 would have expanded Oklahoma's sales tax exemptions for agriculture by adding timber to the definition of "agricultural products." This change would have exempted sales of timber (including timber products used in farming) from sales tax, directly affecting Oklahoma agricultural businesses, farmers, and timber producers. The bill amended existing tax code provisions that already exempted farm products, livestock, feed, fertilizer, machinery, and other agricultural supplies. However, the bill was vetoed by the Governor on June 10, 2025, and did not become law.
HB 2610 increases Oklahoma's tax credit for nonrecurring adoption expenses from 10% to 15% of eligible costs, raising the maximum annual credit to $3,000 for single filers or married individuals filing separately, and $6,000 for married couples filing jointly. The credit applies to Oklahoma resident taxpayers who pay for adoption-related expenses such as fees, court costs, medical expenses, and travel, but excludes attorney fees in contested adoptions and home renovations. The Oklahoma Tax Commission will establish rules for verifying qualifying expenses. This change takes effect January 1, 2026.
HB 2758 creates the "Preserving and Advancing County Transportation Fund" (PACT Fund) to allocate oil and gas tax revenues directly to Oklahoma counties for road and bridge maintenance. The fund prioritizes counties with the lowest current road maintenance funding, directing two-thirds of its money to help all counties reach a $4,000 per road mile target for highway upkeep. The remaining one-third is split equally between funding road miles based on statewide totals and allocating funds for county bridges using the most recent ODOT bridge inventory data. This bill directly affects all Oklahoma counties by providing a dedicated, ongoing source of funding for their local road and bridge systems.
This bill requires owners of commercial solar energy facilities in Oklahoma to pay annual property taxes on their solar installations by December 31 each year. It directly affects commercial solar facility owners, who previously may have been exempt from such taxes. The key provision mandates that taxes and other assessments be paid to the county treasurer annually, aligning commercial solar facilities with standard property tax rules. This changes the tax treatment for commercial solar projects, making them subject to local property tax requirements effective immediately.
HB 2785 requires Oklahoma's Office of Management and Enterprise Services (OMES) to implement stricter budget oversight for the Department of Mental Health and Substance Abuse Services. It mandates OMES to review agency budgets against actual spending before releasing funds, prohibit contracts without clear cost limits, restrict multi-year contract encumbrances to current-year funds, and block payments for unapproved expenses. The bill also requires OMES to report monthly revenue and spending status to the Governor, legislature leadership, and relevant committees. This directly affects state budget management for mental health services by adding specific financial controls to prevent overspending. The law takes immediate effect due to an emergency declaration.
