The House passed two measures Thursday that will grant tax relief to individual Oklahomans and businesses.
House Bill 2041 reduces the personal income tax by .25% through a credit. It results in tax reductions for all income levels.
HB 2083 phases out over the next five years the state’s duplicative, outdated corporate income tax, which is currently set at 6%. A deduction would be used to reduce the effective rate by 20% a year until it phases out in 2026.
As House budget chair, I’m incredibly excited to be able to put money back into pockets of taxpayers and to give businesses a greater incentive to choose Oklahoma as their home base. We’ve worked for years to strengthen Oklahoma’s economy and our state budget. Good fiscal management has resulted in record revenues, allowing significant investments in core services such as education, transportation, state pension plans and more. At the same time, we’ve built historic reserves – up to $1 billion at this point. And we’ve realized efficiencies and cut waste.
These bills will help us grow our economy, recruit new businesses, spur spending after the pandemic, and ultimately grow state revenues.
These measures were passed on the day of our third-reading deadline for bills in their chamber of origin.
This day was the culmination of two weeks of what seemed like almost non-stop floor work in the House, considering hundreds of pieces of legislation.
Of the 1,988 House bills, joint resolutions and concurrent resolutions filed this year, the House passed 503 out of committee and sent 416 to the state Senate.