Budget & Taxes (Tax Credits)

in committee · Oklahoma · Senate Feb 4, 2025

SJR 2: Constitutional amendment; relating to tax credit protection.

This constitutional amendment (SJR 2) changes Oklahoma's budget procedures by establishing annual spending limits based on inflation and population growth. It requires the State Board of Equalization to certify revenue estimates and spending limits (capped at 95% of projected revenue), mandating voter approval for any appropriations exceeding these limits. The amendment also renames the "Constitutional Reserve Fund" as the "Constitutional Emergency Fund" and modifies how state funds are allocated and certified. It directly affects state budgeting processes and requires legislative action to adjust spending beyond certified limits.

Topics ✓ Budget & TaxesSupports Budget & TaxesSets spending caps at 95% of revenue with voter approval for overages, promoting fiscal responsibility per bill summary.95% confidence

Sub-Topics State Budget Tax Credits

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in committee · Oklahoma · House Feb 4, 2025

HB 1469: Schools; Oklahoma Parental Choice Tax Credit Act; website requirements; effective date.

HB 1469 creates an income tax credit program for Oklahoma taxpayers covering qualified education expenses for eligible students. It directly affects parents, guardians, or legal custodians who pay for private school tuition or approved educational services (like tutoring, materials, or assessments) for children in Oklahoma. The credit amount varies by family income (ranging from $5,000 to $7,500 annually) and includes special provisions for schools serving homeless students or financially disadvantaged students (90% of enrollment below 250% of federal poverty level). The bill requires taxpayers to submit receipts to the Oklahoma Tax Commission and limits credits to expenses not covered by scholarships or discounts.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates income tax credit for education expenses, providing tax relief for eligible families with varying credit amounts based on income.95% confidence ✓ EducationSupports EducationCreates tax credits for private school tuition and approved educational services, expanding family access to education funding through direct financial support.95% confidence

Sub-Topics Income Tax Tax Credits Higher Education School Choice

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vetoed · Oklahoma · House May 30, 2025

HB 2645: Revenue and taxation; practice of medicine; tax credit; time period; effective date.

HB 2645 creates a tax credit for qualifying doctors practicing medicine in rural Oklahoma, directly affecting licensed physicians who meet specific residency and education criteria. The credit, capped at $20,000 per year per doctor, applies to taxable income from medical practice in designated rural areas (population under 25,000 and at least 25 miles from larger cities). The bill includes an annual $1 million total credit limit, with adjustments to prevent exceeding this cap. The bill was pocket-vetoed by the governor on June 15, 2025, and never became law.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates tax credit for rural doctors, reducing taxable income and incentivizing medical practice in underserved areas, aligning with tax relief indicators.95% confidence ✓ HealthcareSupports HealthcareBill provides tax credit to attract doctors to rural areas, improving healthcare access for underserved populations and directly supporting medical professionals in healthcare delivery.95% confidence

Sub-Topics Tax Credits

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in committee · Oklahoma · Senate Feb 4, 2025

SB 296: Income tax; expanding credit to include instructor pilots. Effective date.

SB 296 expands Oklahoma's existing income tax credit program to include instructor pilots working for aerospace employers. It defines "instructor pilot" as FAA-licensed flight instructors employed in Oklahoma under federal government contracts, who were not previously working in the aerospace sector. Employers can claim a tax credit equal to 5-10% of an instructor pilot's compensation (depending on where they earned their degree), capped at $12,500 annually for up to five years. This affects aerospace employers hiring qualifying instructor pilots and provides a direct tax benefit to those employers, not the pilots themselves.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill expands income tax credit for instructor pilots, providing tax relief through a targeted credit program that reduces taxable income for eligible employers, aligning with tax relief indicators.95% confidence

Sub-Topics Income Tax Tax Credits

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died · Oklahoma · House Feb 17, 2025

HB 2366: Revenue and taxation; income tax credit; biomanufacturing; effective date.

HB 2366 creates a $5,000 annual income tax credit for qualified employees working in Oklahoma's biomanufacturing sector, available for up to five years total per employee. It directly affects new employees (not previously working in the sector) who hold relevant engineering degrees from ABET-accredited programs or hold a Professional Engineer license. The credit applies to taxable years beginning after December 31, 2025, and cannot reduce tax liability below zero, with unused credits carryable to subsequent years. Employers must be "qualified" (engaged in biomanufacturing), and employees must meet specific education or licensing criteria to qualify.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates targeted income tax credit for biomanufacturing employees, providing tax relief as a fiscal incentive, aligning with support indicators for tax relief programs.95% confidence ✓ Labor & EmploymentSupports Labor & EmploymentProvides $5,000 annual income tax credit to biomanufacturing employees with specific qualifications, directly increasing disposable income and expanding targeted worker benefits.85% confidence ✓ TechnologySupports TechnologyBill creates tax credit for biomanufacturing sector employees, directly funding a technology industry (biotechnology) through financial incentives, aligning with 'fund' for technology growth.90% confidence

Sub-Topics Income Tax Tax Credits Tax Incentives

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in committee · Oklahoma · Senate Feb 4, 2025

SB 826: Income tax credit; providing tax credit for contributions to charitable organizations. Effective date.

SB 826 creates Oklahoma income tax credits for donations to specific charitable organizations. Taxpayers can claim a credit of up to $400 (single/head of household) or $800 (married filing jointly) for contributions to organizations serving low-income households, people with chronic illnesses/disabilities, or up to $500/$1,000 for foster care-focused organizations. Credits cannot reduce tax liability below zero, must be claimed on a state form, and cannot be used if federal deductions for the same donations are claimed. Organizations must provide written certification to the Tax Commission verifying they meet eligibility requirements, including spending at least 50% of their budget on qualifying services. The credit is non-refundable but can be carried forward for up to five years if unused in a tax year.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides tax credits for charitable donations to low-income and foster care organizations, reducing taxpayer liability while supporting social services funding.90% confidence

Sub-Topics Income Tax Tax Credits

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in committee · Oklahoma · Senate Feb 4, 2025

SB 255: Revenue and taxation; authorizing a state income tax credit for expenditures made for purchase of feral swine removal equipment. Effective date.

SB 255 creates a 70% state income tax credit for Oklahoma taxpayers who purchase equipment to control feral swine, directly affecting agricultural landowners (individuals or businesses owning ≥20 acres). The credit covers 70% of qualified equipment costs - such as traps, cameras, or barriers - used to reduce crop damage, habitat destruction, or other harm caused by feral swine. The credit is capped at $15,000 total across all tax years and can be carried over for up to five years if unused. It requires proof of agricultural land ownership and excludes businesses that profit from removing feral swine for hire.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates 70% state income tax credit for agricultural equipment, providing direct tax relief to qualifying landowners under state tax system.95% confidence ✓ EnvironmentSupports EnvironmentBill reduces habitat destruction from invasive feral swine by funding removal equipment, directly protecting natural resources and conservation goals.90% confidence

Sub-Topics Income Tax Tax Credits

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in committee · Oklahoma · Senate Feb 4, 2025

SB 256: Income tax; providing credit for certain employer child care expenditures; providing refundability credit for qualified child care worker. Effective date.

This bill creates two income tax credits for Oklahoma taxpayers. Employers can claim a 30% credit (up to $30,000 annually) for qualifying child care expenses paid for employees, including costs for on-site facilities or contracted care. Additionally, qualified child care workers who meet specific criteria (like working 8+ months, providing classroom services, and completing 12+ credit hours) receive a $1,000 refundable credit (meaning it can be paid as cash if tax owed is low). The credits apply to tax years 2026-2030, with annual limits of $5 million for employer credits and $14 million for all credits combined, adjusted yearly by the Oklahoma Tax Commission.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates refundable tax credits for child care workers (lower/middle income) and employer child care expenses, providing direct tax relief and incentivizing workforce support.95% confidence ✓ Labor & EmploymentSupports Labor & EmploymentProvides direct financial benefit to child care workers via refundable tax credit and incentivizes employer child care support, expanding worker benefits.85% confidence

Sub-Topics Income Tax Tax Credits

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in committee · Oklahoma · Senate Feb 4, 2025

SB 328: Income tax; creating the Promote Child Thriving Act; providing credit for certain married individuals with dependents. Effective date.

SB 328 creates the "Promote Child Thriving Act," providing a state income tax credit for married biological parents. It offers $500 per child under 18 if parents are married and living together, or $1,000 per child if parents were married before the child's birth. To qualify, parents must be legally married, listed on the child's birth certificate or custodial, and reside together for at least six months (with limited exceptions). The credit is non-refundable, may be carried forward for up to 10 years if unused, and requires sworn attestation of biological relationship and marital status when claimed.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides tax credit reducing liability for married parents with dependents, offering relief to middle/lower income families through targeted tax benefit.95% confidence

Sub-Topics Income Tax Tax Credits

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in committee · Oklahoma · Senate Feb 4, 2025

SB 229: Parental Choice Tax Credit Act; modifying annual limit for certain years; modifying preference requirement; requiring certain credit reallocation. Effective date.

SB 229 modifies Oklahoma's Parental Choice Tax Credit Act, allowing taxpayers to claim credits for qualified education expenses for eligible students. It adjusts income-based credit limits (e.g., reducing the maximum credit from $7,500 to $5,000 for households earning over $250,000) and adds requirements for private schools serving disadvantaged students (requiring 90% of admissions to be based on income below 250% of the federal poverty level). The bill also mandates the Oklahoma Tax Commission to reallocate unused credits and removes certain notification requirements. It directly affects Oklahoma taxpayers with children enrolled in accredited private schools, homeschooling programs, or nonpublic educational settings.

Topics ✓ Budget & TaxesSupports Budget & TaxesModifies tax credits for high earners, closing loopholes for wealthy households and promoting fiscal responsibility by capping credits at $5,000.95% confidence ✓ EducationSupports EducationCreates tax credits for education expenses, expands access for disadvantaged students (90% income-based admissions requirement), and modifies credit limits to increase affordability.95% confidence

Sub-Topics Tax Credits School Choice

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