This Oklahoma bill changes how lodging tax is calculated by excluding free rooms (comped) and discounted rooms where hotels receive no payment from taxable income. It applies to all counties and cities collecting lodging tax under existing law. Hotels will no longer owe tax on rooms provided at no cost to customers or employees, or discounted rooms without third-party reimbursement. The change takes effect January 1, 2026.
HB 1663 updates Oklahoma's procedures for selling property to recover unpaid property taxes. It allows counties to conduct tax sales online during the second week of June (instead of only in-person), requiring clear notice of sale details, including property descriptions, tax amounts due, and online auction links. The bill mandates that online sales follow the same rules as in-person sales, including requiring bids to meet at least two-thirds of the property's assessed value or the total unpaid taxes, whichever is lower. This directly affects property owners with delinquent taxes, county treasurers managing sales, and mortgagees who must receive notice of the sale.
This bill modifies the definition of "basic industry" for Oklahoma's Quality Jobs Program, specifically addressing the relationship between employers and leased or contracted employees. It amends Section 3603 of the Oklahoma Statutes to clarify how certain leased or contracted workers are counted toward program eligibility. The change affects businesses seeking tax incentives under the program by establishing clearer criteria for including leased or contracted employees in job-count calculations. The bill was enacted without the Governor's signature on May 12, 2025. (Note: The provided bill text excerpt focuses on industry classifications but does not explicitly show the modified employee relationship definition; the summary reflects the bill's stated purpose based on its title and context.)
SB 301 modifies Oklahoma's tax credit system for donations to biomedical and cancer research institutes. It reduces annual credit limits to $1.5 million for biomedical research donations and $500,000 for cancer research donations starting in 2026, down from $2 million previously. Donors to qualifying institutes (which must receive $20 million annually in NIH funding for biomedical or $4 million for cancer research) will face new caps: $25,000 for business donors to biomedical institutes, and $1,000-$2,000 for individual filers depending on filing status. The bill adjusts how credit percentages are calculated using the second preceding year's claims and ensures credits cannot exceed tax liability.
HB 1200 establishes a revenue stabilization mechanism for Oklahoma's state budget. It requires the State Board of Equalization to certify five-year average revenue from oil, natural gas, and corporate income taxes. If annual revenue exceeds these averages, specific percentages (25% to the Constitutional Reserve Fund, 75% to the Revenue Stabilization Fund) must be deposited - unless revenue growth exceeds $400 million (adjusted for inflation), which could trigger future tax rate reductions. The bill does not change tax rates directly but links fund deposits to revenue performance, affecting how state funds are managed rather than individual taxpayers. This procedural bill focuses on budget stability rules, not new tax policies.
HB 1372 temporarily lowers the gross production tax rate for oil and gas from existing wells (spudded before the law's effective date) to 5% for 36 months, instead of the standard 7%. It also creates two new tax exemptions: 1) 5 years of tax-free production for secondary/tertiary recovery projects approved after July 2022, and 2) a 24-month tax exemption for wells using recycled water (proportional to recycled water usage). For orphaned wells, producers must post a $25,000 surety bond per well to qualify for a 50% tax reduction for 36 months. The bill sets annual refund limits of $15 million for recovery projects and $10 million for recycled water exemptions, requiring producers to apply for refunds through the Tax Commission.
HB 2087 modifies Oklahoma's income tax credit for donations to qualified research institutes. It adjusts annual funding caps: for biomedical research institutes, the limit drops from $2 million to $1.5 million per year starting in 2026, while cancer research institute credits are capped at $500,000 annually. The credit percentage for each donation type is recalculated yearly based on prior-year claims, using specific formulas to stay within these new limits. Taxpayers donating to qualifying nonprofit biomedical or cancer research institutes (defined by NIH funding requirements) can claim the credit, with individual limits of $1,000-$25,000 depending on filing status or business type.
HB 1201 creates a 70% tax credit for Oklahoma taxpayers who donate to certified pregnancy resource centers, capping the credit at $50,000 per donor annually. To qualify, centers must provide free, non-abortion services (like prenatal care and counseling) without performing or referring for abortions, and must be certified by the state health director. The total annual tax credits for all donors are capped at $5 million, with annual adjustments to prevent exceeding this limit. The credit applies to donations of $100 or more and takes effect January 1, 2026.
HB 2754 establishes the Oklahoma Rural Hospitals Funding Assistance Grant Program to provide financial support to qualifying rural hospitals. It directly affects publicly owned hospitals in towns with fewer than 5,000 residents that meet federal critical access hospital standards. The program creates a revolving fund in the state treasury, administered by the State Department of Health, to award grants prioritizing areas with significant healthcare access barriers due to distance. Grants are limited to the total funds available in the revolving fund, and the program becomes effective July 1, 2025.
HB 1203, the Strategic Bitcoin Reserve Act, would allow Oklahoma's State Treasurer to invest up to 10% of specific state funds (General Fund, Revenue Stabilization Fund, and Constitutional Reserve Fund) in Bitcoin or digital assets with a $500 billion+ market cap, plus approved stablecoins. The bill requires all digital assets to be held through secure custody solutions meeting strict security standards, including multi-party governance and encrypted storage in geographically diverse facilities. It also mandates that taxes paid in Bitcoin be converted to U.S. currency and transferred to the State General Fund, and permits state retirement funds to hold digital assets under similar secure custody rules. The act applies directly to state treasury operations, retirement funds, and tax collection processes. The bill was introduced in 2025 but failed in committee in April 2025.
