Budget & Taxes (Seniors)

HB 3347 would exempt Oklahoma homeowners aged 65 or older from all property taxes on their primary residence (homestead). Currently, homesteads receive a $1,000 tax exemption; this bill replaces that with full exemption for seniors. The change applies to all property taxes based on home value (ad valorem taxes) and takes effect January 1, 2027. It directly affects Oklahoma seniors living in their primary homes, reducing their property tax burden significantly. The bill amends Oklahoma Statutes Section 2889 to expand the existing homestead exemption for this age group.

This proposed constitutional amendment would change Oklahoma's property tax rules for seniors. It would allow homeowners aged 65+ who've lived in their homes for at least 10 years to freeze their property tax value at the level when they turned 65, without needing to meet current income limits. The freeze applies only to homes valued at $500,000 or less, and would eliminate the existing income threshold requirement. The change requires voter approval to take effect.

This constitutional amendment (SJR 16) would modify Oklahoma's property tax rules for seniors. It sets a uniform 3% annual cap on fair cash value increases for all real property (replacing previous tiered limits), and specifically prohibits adding the value of home improvements to the tax base for seniors aged 65+ who meet income thresholds based on local median income data. The change directly affects qualifying senior homeowners by preventing future tax increases tied to home renovations, while preserving existing frozen valuations for seniors who qualified before 1997.

HB 2887 creates the "Oklahoma Seniors Income Tax Relief Act of 2025," providing tax relief to Oklahoma seniors aged 65 or older with annual income under $25,000. The bill reduces their state income tax liability by eliminating tax on the first $25,000 of their income. It becomes effective November 1, 2025, and is structured as a noncodified act, meaning it operates as a standalone law rather than amending existing tax code sections. This directly affects qualifying senior residents by lowering their state tax burden.