Budget & Taxes (Income Tax)

in committee · Oklahoma · Senate Feb 16, 2026

SB 1776: Income tax; providing tax credit for certain teachers. Effective date.

SB 1776 creates a $10,000 annual income tax credit for Oklahoma teachers who have completed eight consecutive years teaching in the same school district. To qualify, teachers must continue teaching in that district for the remainder of their eighth year plus three additional years (with exceptions for layoffs, death, or medical hardship). The credit is refundable, meaning any amount exceeding a teacher's tax liability will be paid directly to them. The Oklahoma Tax Commission may audit claims and require repayment if eligibility is later found to be invalid. This bill would apply to tax years starting in 2027.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides $10k refundable tax credit to qualifying teachers, offering direct tax relief for middle-income educators and strengthening fiscal support for public school workforce.95% confidence ✓ EducationSupports EducationProvides direct financial support to teachers via refundable tax credit, incentivizing retention in K-12 schools.95% confidence

Sub-Topics Audits & Accountability Income Tax Tax Credits Teachers

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in committee · Oklahoma · Senate Feb 3, 2026

SB 1856: Income tax; requiring reduction of rate upon certification of excess collections. Effective date.

SB 1856 requires Oklahoma to automatically reduce the top individual income tax rate if state tax collections exceed the previous year's total by a specified threshold. It directly affects all Oklahoma residents and nonresidents who pay state income tax, as it triggers rate reductions based on certified excess collections. The bill amends tax code provisions to establish clear calculation methods for determining when and by how much the top marginal tax rate must decrease. This creates a concrete, automatic policy change tied to actual tax revenue performance, rather than legislative action.

Topics ✓ Budget & TaxesSupports Budget & TaxesAutomatically reduces top income tax rate upon excess collections, promoting fiscal responsibility by returning surplus revenue to taxpayers per tax code amendment.95% confidence

Sub-Topics Income Tax Revenue State Budget

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signed · Oklahoma · Senate May 13, 2026

SB 1832: Income tax; reauthorizing certain income tax refund donations. Effective date. Emergency.

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.

Topics ✓ Budget & TaxesSupports Budget & TaxesDirects tax refunds to fund veterans programs, using state tax revenue for specific public services without increasing tax rates.95% confidence ✓ VeteransSupports VeteransReauthorizes tax refund donations to fund two veterans programs: burial reimbursements and equipment/facility improvements for veterans.95% confidence

Sub-Topics Income Tax Memorials & Recognition Veteran Benefits

in committee · Oklahoma · House Feb 3, 2026

HJR 1072: Joint Resolution; referendum; income tax; National Board Certified Teachers; reading support; schools; ballot title; effective date; filing.

HJR 1072 proposes a referendum to add a 1-2% income tax on high earners (over $1 million for single filers or $2 million for married couples) starting in 2027. Revenue from this tax would fund the "Future Readers, Future Leaders Investment Revolving Fund," which would provide a $5,000 stipend to National Board Certified Teachers and allocate $100 million annually for statewide reading programs. Remaining funds would support schools designated as "Comprehensive Support and Improvement" (CSI) or "More Rigorous Intervention" (MRI) based on student enrollment, with a minimum $25,000 per school and adjusted funding for schools improving over time. The bill requires voter approval at the 2026 general election and is currently in committee referral.

Topics ✓ Budget & TaxesSupports Budget & TaxesProposes new 1-2% income tax on high earners ($1M+/single) to fund teacher stipends and school programs, directly advancing public education funding through targeted taxation.95% confidence ✓ EducationSupports EducationAllocates $5,000 teacher stipends for National Board Certified Teachers and $100M/year for statewide reading programs, directly funding K-12 education initiatives.95% confidence

Sub-Topics Income Tax

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in committee · Oklahoma · Senate Feb 3, 2026

SB 1996: Income tax; creating the Children's Promise Act; providing tax credit for charitable contributions to certain organizations. Effective date.

SB 1996, the Children's Promise Act, creates a tax credit for Oklahoma taxpayers who donate to qualifying charitable organizations focused on children's welfare. The credit equals 50% of the donation amount (up to the taxpayer's total income tax liability), but donations cannot be deducted from taxable income. Eligible organizations must be Oklahoma-based 501(c)(3) groups with missions like preventing child abuse, supporting adoption, or providing pregnancy assistance, and must certify they do not support or refer for abortions. Taxpayers claim the credit using a specific form, and organizations must verify compliance annually with the Oklahoma Tax Commission.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates 50% tax credit for charitable donations to children's welfare orgs, reducing taxpayer liability and incentivizing donations - direct tax relief supporting fiscal policy.95% confidence

Sub-Topics Income Tax Tax Credits

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in committee · Oklahoma · Senate Feb 3, 2026

SB 1802: Income tax deduction; creating the catastrophe savings account; authorizing income tax deduction for certain deposits. Effective date.

SB 1802 creates a new Oklahoma income tax deduction for contributions to "catastrophe savings accounts," designed to help residents cover repair costs after natural disasters like floods or tornadoes. It allows Oklahoma homeowners to set up one dedicated savings account for primary residence repairs, with contribution limits based on their insurance deductible (ranging from $2,000 for low deductibles to $250,000 for uninsured homes). Taxpayers can deduct contributions from their state income tax, and interest earned or distributions used for qualified disaster repairs are exempt from taxation. The law takes effect January 1, 2027, and applies only to primary residences.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates income tax deduction for disaster savings, providing tax relief to homeowners and aligning with tax relief indicators for middle-income households.92% confidence

Sub-Topics Income Tax

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in committee · Oklahoma · Senate Feb 3, 2026

SB 2075: Money transmissions; modifying fee amount. Effective date. Emergency.

SB 2075 reduces fees charged by money transmission businesses (like wire services and money transmitters) in Oklahoma. For transactions up to $500, the fee drops from $25 to $5, and for amounts over $500, the fee is now 1% instead of 5%. These fees must be paid quarterly to the Oklahoma Tax Commission and will fund a Drug Money Laundering and Wire Transmitter Revolving Fund. Businesses must also inform customers they can claim an income tax credit for the fee by filing a tax return with a valid Social Security number or tax ID.

Topics ✓ Budget & TaxesSupports Budget & TaxesReduces fees for money transmitters (from $25 to $5) and provides tax credit for customers, lowering financial burden and aligning with tax relief indicators.90% confidence

Sub-Topics Income Tax Tax Credits

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passed · Oklahoma · House Apr 20, 2026

HB 4273: Income tax; definition; employees; aerospace; higher education; effective date.

HB 4273 creates an income tax credit for Oklahoma employees working in the aerospace sector who hold ABET-accredited engineering degrees or are licensed Professional Engineers. It defines "qualified employees" as individuals with such credentials working for "qualified employers" (aerospace businesses or higher education institutions with dedicated aerospace research programs). The credit applies to tuition paid for qualifying engineering programs and is limited to five years per person. This policy directly affects aerospace workers and employers in Oklahoma's aerospace industry by reducing their state income tax liability. The bill takes effect January 1, 2027.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates income tax credit for aerospace employees with engineering credentials, reducing taxable income - direct tax relief aligning with fiscal support indicators.95% confidence ✓ EducationSupports EducationBill provides tax credit for tuition in ABET-accredited engineering programs, directly supporting higher education access and enrollment for aerospace sector employees.90% confidence

Sub-Topics Income Tax Tax Credits Higher Education

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in committee · Oklahoma · Senate Feb 24, 2026

SB 2158: Income tax; creating the Health Care Sharing Ministry Tax Parity Act; providing income tax deduction. Effective date.

This Oklahoma bill (SB 2158) allows residents who use health care sharing ministries to deduct membership fees and administrative costs from their state income tax starting in 2027. It also makes money received from these ministries for medical expenses tax-free. To qualify, individuals must have been active members for at least one month during the tax year. The law expires if Oklahoma stops collecting individual income tax.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates tax deduction for health care sharing ministry fees, providing tax relief by reducing taxable income for qualifying residents.90% confidence ✓ HealthcareSupports HealthcareEnables tax deductions for health care sharing ministries, expanding alternative coverage access and aligning with healthcare access support through tax parity85% confidence

Sub-Topics Income Tax

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in committee · Oklahoma · House Feb 3, 2026

HB 3230: Schools; Oklahoma Parental Choice Tax Credit Program; priority consideration; effective date.

HB 3230 amends Oklahoma's Parental Choice Tax Credit Program to adjust income-based tax credits for parents paying for private school education. It allows tax credits of up to $7,500 annually (reduced for higher-income households) for tuition at accredited private schools, with a $1,000 cap for students using other education options. Special provisions provide full $7,500 credits for students experiencing homelessness or attending schools primarily serving financially disadvantaged students. The credit is claimed against Oklahoma state income tax for tax years 2024 and beyond, subject to specific eligibility requirements.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill creates income-adjusted tax credits for private school tuition, providing tax relief for middle/lower-income families through targeted credits and special provisions for disadvantaged students.90% confidence ✓ EducationSupports EducationBill provides tax credits for private school tuition with special provisions for disadvantaged students, expanding educational access options through funding mechanisms.85% confidence

Sub-Topics Income Tax Tax Credits Higher Education School Choice

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