reglab/statecodes huggingface dataset:
2023 Oklahoma Statutes › Title 68. Revenue and Taxation › §68-2201. Definitions.

As used in this act the following terms shall be construed as follows:
(a) "Gross revenue" shall mean and include all earnings or revenue derived from the use or operation of freight cars, as hereinafter defined, upon or over the lines of any railroad company, as hereinafter defined.
(b) "Gross revenue in this state" shall mean and include (a) all gross revenue on intrastate business and (b) a portion of the gross revenue on all interstate business passing through or into or out of the state, based, in each instance, on the proportion of mileage over which such business is done within this state.
(c) "Freight cars" shall mean and include all stockcars, furniture cars, refrigerator cars, tank cars, or any other kind of cars used to transport any commodity over the lines of any railroad company in this state, as hereinafter defined. All such freight cars are hereby declared to have, and are hereby given a situs for taxation purposes in this state. This act does not include (1) cars owned by an express company, or (2) cars owned by a sleeping-car company, such as the Pullman Company, or (3) cars owned by a railroad company.
(d) "Company" shall mean and include all persons, firms, associations and corporations.
(e) "Freight line company" shall mean and include all companies engaged in the business of operating freight cars or engaged in the business of furnishing, renting or leasing freight cars for the transportation of freight (whether such cars be owned by such company or by any other person or company) over any line of railroad, in whole or in part, within this state, such line or lines not being owned, rented, leased or operated by such company.
(f) "Equipment company" shall mean and include every company engaged in the business of furnishing, renting or leasing freight cars to be used in the operation of any line of railroad wholly or partially within this state, such line or lines not being owned, leased or operated by such company.
(g) "Mercantile company" shall mean and include every company whose principal business is other than that of a freight line company or equipment company, as hereinbefore defined, but which owns, operates, leases, rents, or otherwise uses any freight cars in the operation of its business.
(h) "Railroad company" shall mean and include every steam railroad, street railway, or interurban railway company operating or doing business in this state as a common carrier.
Laws 1939, p. 416, § 1; Laws 1965, c. 215, § 1.
2023 Oklahoma Statutes › Title 68. Revenue and Taxation › §68-2202. Classification of freight cars - Percentage of gross revenue - In lieu of ad valorem tax - Application to public service and private corporations.

All freight cars owned, operated, rented, leased, or used by any freight line company, equipment company, or mercantile company which are moved over, or used in the operation of, the line of any railroad company, as hereinbefore defined, wholly or partially within this state, are hereby classified for the purpose of taxation; and a tax equivalent to four percent (4%) of the gross revenue in this state, is hereby levied on such freight cars; and such tax shall be in lieu of ad valorem taxes upon such freight cars.
Nothing in this act shall be construed to exempt from ad valorem taxation any real or personal property other than freight cars, or any freight cars which are not operated over the line of any common carrier railroad, as hereinbefore defined, upon which the gross revenue tax herein levied does not apply. It is hereby expressly provided that the provisions of this act shall apply to both public service and private corporations.
Added by Laws 1939, p. 417, § 2. Amended by Laws 1965, c. 215, § 1.
2023 Oklahoma Statutes › Title 68. Revenue and Taxation › §68-2203. Tax not to exceed what ad valorem tax would have been - Review by Oklahoma Tax Commission.

It is hereby declared to be the intention of the Legislature that the tax herein imposed be not greater than the amount of tax such freight line companies, equipment companies, and mercantile companies would pay if their cars were taxed on an ad valorem basis, including any value inuring to such cars by reason of being a part of a going concern.
The Oklahoma Tax Commission upon the complaint of any person who claims he is taxed too great a rate hereunder, shall take testimony to determine whether the taxes herein imposed are greater than the general ad valorem tax for all purposes would be on such freight cars, if taxed on an ad valorem basis. The Commission shall have the power and it shall be its duty to lower the rate herein imposed to conform to the facts disclosed at said hearing.
In order to determine the amount of tax such companies would pay, said Commission may value all cars of any company as a unit and allocate to Oklahoma that proportion of the total value which the Oklahoma car mileage bears to the total car mileage of the cars of any such company during the twelve-month period ending on December 31 of any year, and may then apply to such value so ascertained the average ad valorem tax rate applied to property throughout the state for that calendar year.
Added by Laws 1939, p. 417, § 3, emerg. eff. April 15, 1939. Renumbered from § 805b by Laws 1965, c. 215, § 1. Amended by Laws 1994, c. 278, § 19, eff. Sept. 1, 1994.
2023 Oklahoma Statutes › Title 68. Revenue and Taxation › §68-2204. Disposition of taxes collected.

All revenues collected pursuant to the provisions of Section 2201 et seq. of this title shall be paid by the Tax Commission to the State Treasurer and placed to the credit of the Oklahoma Department of Transportation in the Railroad Maintenance Revolving Fund for the implementation of the Railroad Revitalization Act or for matching of available federal funds for at-grade railroad crossing protection projects. Such crossing projects must be authorized by the Transportation Commission.
Added by Laws 1939, p. 417, § 4, emerg. eff. April 15, 1939. Renumbered from § 805c by Laws 1965, c. 215, § 1. Amended by Laws 1978, c. 164, § 8, emerg. eff. April 10, 1978; Laws 1992, c. 17, § 1, emerg. eff. March 30, 1992; Laws 1994, c. 278, § 20, eff. Sept. 1, 1994.
2023 Oklahoma Statutes › Title 68. Revenue and Taxation › §68-2205. Statements to be filed with Oklahoma Tax Commission.

On or before April 1 of each year, every freight line company, equipment company, and mercantile company owning, operating, renting or leasing any freight car or cars which are moved over or used in the operation of the line of any railroad company wholly or partially within this state, shall prepare and file with the Oklahoma Tax Commission a true and accurate statement showing the gross earnings in this state on each freight car owned, operated, leased or rented by such company within the twelve-month period ending December 31 next preceding the date of the report; provided:
1. For the period from July 1, 1993, through June 30, 1994, such statement shall be due on or before October 1, 1994; and
2. For the period from July 1, 1994, through December 31, 1994, such statement shall be due on or before April 1, 1995.
Such statements shall be subscribed and sworn to by the president, secretary or general accounting officer of the company, and shall be made on forms prescribed and furnished by the Tax Commission, and shall contain such other information as the Commission shall deem necessary to enable it to correctly compute the taxes due upon all such freight cars.
Added by Laws 1939, p. 418, § 5, emerg. eff. April 15, 1939. Renumbered from § 805d by Laws 1965, c. 215, § 1. Amended by Laws 1994, c. 278, § 21, eff. Sept. 1, 1994.
2023 Oklahoma Statutes › Title 68. Revenue and Taxation › §68-2206. Railroads renting or leasing cars from taxpayers to withhold amount of tax - Statements by such railroads - Payment - Liability of taxpayers.

Every railroad company using, renting or leasing the freight cars of any freight line company, equipment company, or mercantile company shall, upon making payment to such company for the use, rental, or lease of such cars, withhold from such payment four percent (4%) of the amount constituting the gross revenue in this state from such source of each and every freight car so used, rented or leased.
On or before April 1 of each year, such railroad company shall prepare and file with the Tax Commission a statement under oath showing the amount of such payment for the next preceding twelve-month period ending December 31, and of the amount so withheld by it; provided:
1. For the period from July 1, 1993, through June 30, 1994, such statement shall be due on or before October 1, 1994; and
2. For the period from July 1, 1994, through December 31, 1994, such statement shall be due on or before April 1, 1995.
The statement shall be on forms prescribed and furnished by the Tax Commission, and shall contain such information as the Tax Commission may deem necessary.
Such statements shall be accompanied by remittance in full of all taxes withheld by the railroad company from freight line companies, equipment companies and mercantile companies during the next preceding twelve-month period ending December 31 or the period specified in paragraphs 1 and 2 of this section. Each railroad company shall be liable for the withholding and payment on or before April 1 of each year, of four percent (4%) of the gross revenue of each freight line company, equipment company and mercantile company, to the extent that such gross earnings were derived from payments or amounts due from such railroad company.
Each freight line company, equipment company and mercantile company shall be liable for the payment of four percent (4%) of all gross revenue in this state over and above payments and amounts due from railroads, and shall be liable for the payment of any additional taxes which the Commission may find due under its authority to raise or lower the rate to conform to the taxes which would be payable if the cars were taxed on an ad valorem basis.
Added by Laws 1939, p. 418, § 6, emerg. eff. April 15, 1939. Renumbered from § 805e by Laws 1965, c. 215, § 1. Amended by Laws 1994, c. 278, § 22, eff. Sept. 1, 1994.
2023 Oklahoma Statutes › Title 68. Revenue and Taxation › §68-2207. Examination of statements - Determination of tax - Monies paid by railroads to be segregated - Protests.

A. As soon as practicable after the date specified in Sections 2205 and 2206 of this title, the Tax Commission shall examine the statements required by Sections 2205 and 2206 of this title, and shall determine:
1. The amount of money which should have been withheld and remitted by each railroad company; and
2. The total amount of taxes due from each freight line company, equipment company and mercantile company, including the amounts remitted by railroad companies, and the amount of tax, if any, due from each such company in addition to amounts remitted by railroad companies.
B. The Commission shall thereupon make demand of each railroad for any additional amounts required to be remitted by railroad companies, and shall notify each freight line company, equipment company and mercantile company of:
1. The total amount of taxes due from each such company for the next preceding twelve-month period ending December 31 or the period specified in Sections 2205 and 2206 of this title;
2. The amount of money remitted by the various railroad companies for the account of such company; and
3. The amount of additional taxes, if any, due to be paid by such company, or the amount, if any, due to be refunded.
C. All monies paid to the Commission by railroads for the account of freight line companies, equipment companies and mercantile companies shall be segregated by the Commission and held in its depository account with the State Treasurer until the companies for whose account such monies are paid shall have had an opportunity to file protest as provided by Section 221 of this title, and if such protest is filed an opportunity to notify the Commission that the tax is paid under protest and the taxpayer intends to file suit for recovery, as provided by Section 226 of this title.
D. In any case where protest is not filed within thirty (30) days from the mailing of the notices herein required, the monies paid by railroad companies for the account of others shall be released and apportioned to the proper fund.
Added by Laws 1939, p. 419, § 7, emerg. eff. April 15, 1939. Renumbered from § 805f by Laws 1965, c. 215, § 1. Amended by Laws 1994, c. 278, § 23, eff. Sept. 1, 1994.
2023 Oklahoma Statutes › Title 68. Revenue and Taxation › §68-2208. Refusal of railroad to comply with act, liability - Taxpayer estopped to question Commission's determination, when.

If any railroad company shall fail or refuse to make any report required by this act, or shall fail or refuse to withhold and pay the tax due from any such company within the time hereinbefore provided, it shall be liable for the full amount of such tax, penalty and costs of collection.
If any freight line company, equipment company or mercantile company as hereinbefore defined, shall refuse or neglect to make any reports required by this act, or shall refuse or neglect to permit an examination of its books, records, accounts and papers upon demand of the Tax Commission, or shall refuse or neglect to appear before the said Commission in obedience to its citation or summons; it shall be estopped to question or impeach the action or determination of the said Commission or the validity of the tax imposed hereunder.
Laws 1939, p. 419, § 8; Laws 1965, c. 215, § 1.
2023 Oklahoma Statutes › Title 68. Revenue and Taxation › §68-2355.1B. Determination of initial baseline amount of revenue apportioned to teachers' retirement revolving fund - Annual review.

In addition to any other duties prescribed by law, at the meeting required by paragraph 3 of Section 23 of Article X of the Oklahoma Constitution to be held in February of the first calendar year after an income tax rate reduction implemented pursuant to Section 2355.1A of Title 68 of the Oklahoma Statutes has been in place for twelve (12) months, the State Board of Equalization shall:
1. Determine an initial baseline amount of revenue which was finally apportioned to the credit of the Teachers’ Retirement System Dedicated Revenue Revolving Fund pursuant to Sections 1353, 1403 and 2352 of Title 68 of the Oklahoma Statutes for the most recent twelve (12) months;
2. Beginning with the February meeting in the sixth year after the Board determines an initial baseline amount, annually review such amount to determine if it differs from the average annual amount of revenue which was finally apportioned to the credit of the Teachers’ Retirement System Dedicated Revenue Revolving Fund pursuant to Sections 1353, 1403 and 2352 of Title 68 of the Oklahoma Statutes over the most recent five (5) fiscal years. If the Board determines that the initial baseline amount is less than the five-year average annual amount, a new baseline equal to the five-year average annual amount shall be determined and applied as provided in paragraph 5 of Section 1353, paragraph 5 of Section 1403 and paragraph 3 of Section 2352 of Title 68 of the Oklahoma Statutes; and
3. Determine the proportion of the baseline amount attributable to each revenue source specified in paragraph 2 of this section whenever the Board determines a baseline amount.
Added by Laws 2007, c. 105, § 2, eff. Nov. 1, 2007. Amended by Laws 2007, c. 366, § 2, eff. Nov. 1, 2007.
2023 Oklahoma Statutes › Title 68. Revenue and Taxation › §68-2355.1P-1. Short title - Pass-Through Entity Tax Equity Act of 2019.

Sections 1 through 9 of this act shall be known and may be cited as the "Pass-Through Entity Tax Equity Act of 2019".
Added by Laws 2019, c. 201, § 1, emerg. eff. April 29, 2019.
2023 Oklahoma Statutes › Title 68. Revenue and Taxation › §68-2355.1P-2. Definitions.

As used in this act:
1. "Distributive share" means a member's percentage share of Oklahoma net entity income or net entity loss;
2. "Electing pass-through entity" means any pass-through entity as defined in paragraph 6 of this section that has made an election pursuant to subsection F of Section 4 of this act to pay income tax as computed pursuant to Section 2358 of Title 68 of the Oklahoma Statutes;
3. "Indirect member" means, with respect to any particular electing pass-through entity, an individual, fiduciary, or entity that (i) owns an interest in a pass-through entity other than the electing pass-through entity and (ii) has been allocated items of Oklahoma income, gain, loss or deduction that the electing pass-through entity included in computing its tax pursuant to the provisions of the Pass-Through Entity Tax Equity Act of 2019;
4. "Member" means any individual, fiduciary, or entity holding an ownership interest in an electing pass-through entity;
5. "Oklahoma net entity income" or "Oklahoma net entity loss" means the positive or negative sum of an electing pass-through entity's items of Oklahoma income, gain, loss, and deduction determined under Section 2351 et seq. of Title 68 of the Oklahoma Statutes, regardless of whether any such items are required for federal income tax purposes to be separately stated; and
6. "Pass-through entity" means a general partnership, a limited partnership, a limited liability partnership, a limited liability limited partnership, a limited liability company, or a corporation, if any of the enumerated entity's items of income, gain, loss, and deduction, as applicable, are subject to being included on another person's return for federal income tax purposes under Subchapter K or Subchapter S of the Internal Revenue Code.
Added by Laws 2019, c. 201, § 2, emerg. eff. April 29, 2019.
2023 Oklahoma Statutes › Title 68. Revenue and Taxation › §68-2355.1P-3. Purpose - Apportionment.

A. It is hereby declared to be the purpose of the Pass-Through Entity Tax Equity Act of 2019 to establish a revenue-neutral mechanism to provide a more fair and simplified taxation of pass-through entities and their members in this state while maintaining revenue levels for support of general governmental functions of the State of Oklahoma.
B. All monies collected pursuant to the provisions of subsection A of Section 2358 of Title 68 of the Oklahoma Statutes shall be apportioned in the same manner as provided in paragraph 1 of Section 2352 of Title 68 of the Oklahoma Statutes if the tax is computed based upon a distribution made to one or more individuals, trusts and estates and shall be apportioned in the same manner as provided in paragraph 2 of Section 2352 of Title 68 of the Oklahoma Statutes if the tax is computed based upon a distribution to a corporation or to a pass-through entity as such term is defined in Section 2 of this act.
Added by Laws 2019, c. 201, § 3, emerg. eff. April 29, 2019.
2023 Oklahoma Statutes › Title 68. Revenue and Taxation › §68-2355.2. Oklahoma Taxpayer Relief Revolving Fund.

A. There is hereby created in the State Treasury a revolving fund for the State Treasurer to be designated the "Oklahoma Taxpayer Relief Revolving Fund". The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of the monies transferred to such fund pursuant to paragraph 2 of subsection A of Section 46.1 of Title 62 of the Oklahoma Statutes. All monies accruing to the credit of said fund are hereby appropriated and may be budgeted and expended by the State Treasurer for the purpose of providing payments to Oklahoma residents who have filed an income tax return pursuant to Section 2355 of this title for the preceding tax year, except for those residents who were inmates in the custody of the Department of Corrections, and for the purpose of administrative costs incurred by the State Treasurer in making payments provided by this section. The payments to taxpayers filing as married filing jointly, surviving spouse or head of household shall be equal to two times the payment to taxpayers filing as an individual or married filing separately. No taxpayer filing as an individual who claims zero personal exemptions shall receive a payment. During each year funds accrue pursuant to Section 46.1 of Title 62 of the Oklahoma Statutes, the Oklahoma Tax Commission shall provide the State Treasurer with information necessary for such payments to be issued. Expenditures from said fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of the Office of Management and Enterprise Services for approval and payment.
B. The State Treasurer shall promulgate any necessary rules in order to administer the provisions of this section.
C. The Oklahoma Taxpayer Relief Revolving Fund shall be abolished and all monies remaining in such fund transferred to the Special Cash Fund on June 30, 2012. Any liabilities payable from the Oklahoma Taxpayer Relief Revolving Fund shall be extinguished upon its abolishment and shall not be transferred to the Special Cash Fund. The Special Cash Fund refers to the fund created by Section 253 of Title 62 of the Oklahoma Statutes.
Added by Laws 2005, c. 446, § 3, eff. July 1, 2005. Amended by Laws 2011, c. 261, § 2, eff. Nov. 1, 2011; Laws 2012, c. 304, § 544.
2023 Oklahoma Statutes › Title 68. Revenue and Taxation › §68-2357. Credits against tax.

A. The withheld taxes and estimated taxes paid shall be allowed as credits as provided by law.
B. 1. There shall be allowed as a credit against the tax imposed by Section 2355 of this title the amount of tax paid another state by a resident individual, as defined in paragraph 4 of Section 2353 of this title, upon income received as compensation for personal services in such other state; provided, such credit shall not be allowed with respect to any income specified in Section 114 of Title 4 of the United States Code, 4 U.S.C., Section 114, upon which a state is prohibited from imposing an income tax. The credit shall not exceed such proportion of the tax payable under Section 2355 of this title as the compensation for personal services subject to tax in the other state and also taxable under Section 2355 of this title bears to the Oklahoma adjusted gross income as defined in paragraph 13 of Section 2353 of this title.
2. For tax years beginning after December 31, 2007, there shall be allowed to a resident individual or part-year resident individual or nonresident individual member of the Armed Forces as a credit against the tax imposed by Section 2355 of this title twenty percent (20%) of the credit for child care expenses allowed under the Internal Revenue Code of the United States or five percent (5%) of the child tax credit allowed under the Internal Revenue Code, whichever amount is greater. Neither credit authorized by this paragraph shall exceed the tax imposed by Section 2355 of this title. The maximum child care credit allowable on the Oklahoma income tax return shall be prorated on the ratio that Oklahoma adjusted gross income bears to the federal adjusted gross income. The credit authorized by this paragraph shall not be claimed by any taxpayer if the federal adjusted gross income reflected on the Oklahoma return for the taxpayer is in excess of One Hundred Thousand Dollars ($100,000.00).
Added by Laws 1971, c. 137, § 7, emerg. eff. May 11, 1971. Amended by Laws 1971, p. 1042, H.J.R. No. 1026, §§ 2A7, 8, emerg. eff. June 22, 1971; Laws 1977, c. 3, § 1, emerg. eff. Feb. 8, 1977; Laws 1977, c. 47, § 1, emerg. eff. May 11, 1977; Laws 1978, c. 214, § 1, emerg. eff. April 19, 1978; Laws 1980, c. 224, § 1, eff. July 1, 1980; Laws 1987, c. 113, § 23, operative Jan. 1, 1987; Laws 1996, c. 289, § 8, eff. July 1, 1996; Laws 1997, c. 294, § 22, eff. July 1, 1997; Laws 2007, c. 136, § 8, eff. Jan. 1, 2008; Laws 2010, c. 327, § 3, eff. July 1, 2010; Laws 2013, c. 363, § 1, eff. Jan. 1, 2014; Laws 2015, c. 147, § 1, eff. Nov. 1, 2015.
2023 Oklahoma Statutes › Title 68. Revenue and Taxation › §68-2357.1. Solar energy system defined.

As used in this section and Section 2357.2 of this title, "solar energy system" means a system primarily designed to provide heating or cooling, electrical or mechanical power, or any combination thereof by means of collecting, transferring or storing solar generated energy for such purposes. Such term shall include passive structural and nonstructural features which are designed to provide a calculated net energy gain to a structure from renewable energy sources, commonly referred to as "passive solar energy systems", but shall not include those parts of a structural system which would be required regardless of the energy source being utilized. Solar energy may be derived from either direct processes or indirect processes using wind energy systems.
Amended by Laws 1982, c. 322, § 1, operative July 1, 1982.
2023 Oklahoma Statutes › Title 68. Revenue and Taxation › §68-2357.7A. Commission to file annual report on qualified venture capital company investment credit.

On or before November 1 of each year subsequent to the effective date of this act, the Oklahoma Tax Commission shall file a report with the Speaker of the House of Representatives and the President Pro Tempore of the Senate. The report shall state the amount of credits actually claimed and allowed pursuant to the provisions of Section 2357.7 of Title 68 of the Oklahoma Statutes during the previous calendar year, statistical information on the qualified investments made by qualified venture capital companies during the previous year, an estimate of the number of jobs created in this state during the previous year pursuant to qualified investments made by qualified venture capital companies, and such other information as the Tax Commission may deem relevant.
Added by Laws 2006, c. 281, § 3, emerg. eff. June 7, 2006.
2023 Oklahoma Statutes › Title 68. Revenue and Taxation › §68-2357.25A. Credit for recreational activities groups that are Oklahoma producer-owned agricultural processing marketing associations.

No recreational activities group as described in Section 1 of this act can receive more than fifteen percent (15%) of the tax credits allowed pursuant to Section 1 of this act.
Added by Laws 2005, c. 299, § 2, eff. Jan. 1, 2006.
2023 Oklahoma Statutes › Title 68. Revenue and Taxation › §68-2357.27. Tax credits - Child care services - Definitions

A. Except as otherwise provided by subsection E or F of this section, for tax years beginning after December 31, 1998, and ending before January 1, 2016, there shall be allowed a credit against the tax imposed by Section 2355 of this title for eligible expenses incurred by entities primarily engaged in the business of providing child care services.
B. As used in this section, "eligible expenses" means amounts paid by an entity primarily engaged in the business of providing child care services for expenses incurred by the entity to comply with the standards promulgated by a national accrediting association recognized by the Department of Human Services and which would not have been incurred by the entity to comply with the Oklahoma Child Care Facilities Licensing Act.
C. The credit allowed by subsection A of this section shall be twenty percent (20%) of the amount of eligible expenses. Such credit shall not be allowed for any amounts for which the entity claims or receives an income tax credit, exemption or deduction.
D. Any credits allowed but not used in any tax year may be carried over in order to each of the four (4) tax years following the year of qualification.
E. No credit otherwise authorized by the provisions of this section may be claimed for any event, transaction, investment, expenditure or other act occurring on or after July 1, 2010, for which the credit would otherwise be allowable. The provisions of this subsection shall cease to be operative on July 1, 2012. Beginning July 1, 2012, the credit authorized by this section may be claimed for any event, transaction, investment, expenditure or other act occurring on or after July 1, 2012, according to the provisions of this section.
F. No credit otherwise authorized by the provisions of this section may be claimed for any event, transaction, investment, expenditure or other act occurring on or after January 1, 2016, for which the credit would otherwise be allowable.
Added by Laws 1998, c. 386, § 5, eff. Nov. 1, 1998. Amended by Laws 2004, c. 347, § 1, eff. Nov. 1, 2004; Laws 2010, c. 327, § 9, eff. July 1, 2010; Laws 2014, c. 33, § 1, eff. Nov. 1, 2014; Laws 2016, c. 333, § 1, eff. Nov. 1, 2016.
2023 Oklahoma Statutes › Title 68. Revenue and Taxation › §68-2357.43. State earned income tax credit.

For tax years beginning on or after January 1, 2022, there shall be allowed to a resident individual or a part-year resident individual as a credit against the tax imposed by Section 2355 of this title five percent (5%) of the earned income tax credit allowed under Section 32 of the Internal Revenue Code of the United States, 26 U.S.C., Section 32, which for the taxable year beginning January 1, 2022, and the taxable year beginning each January 1 thereafter shall be computed using the same requirements, other than the five percent (5%) amount to compute the credit as prescribed by this section which shall remain constant, in effect for computation of the earned income tax credit for federal income tax purposes for the 2020 income tax year. However, this credit shall not be paid in advance pursuant to the provisions of Section 3507 of the Internal Revenue Code. For tax years which begin on or after January 1, 2022, if the credit exceeds the tax imposed by Section 2355 of this title, the excess amount shall be refunded to the taxpayer. The maximum earned income tax credit allowable on the Oklahoma income tax return shall be prorated on the ratio that Oklahoma adjusted gross income bears to the federal adjusted gross income.
Added by Laws 2001, c. 383, § 1, eff. July 1, 2001. Amended by Laws 2016, c. 341, § 1, eff. Nov. 1, 2016; Laws 2021, c. 493, § 2, eff. Jan. 1, 2022.
NOTE: Editorially renumbered from Section 2357.42 of this title to avoid a duplication in numbering.
2023 Oklahoma Statutes › Title 68. Revenue and Taxation › §68-2357.60. Short title.

Sections 2357.60 through 2357.65 of this title, including the provisions of Sections 10, 11, 12, 13 and 14 of this act, shall be known and may be cited as the "Small Business Capital Formation Incentive Act".
Added by Laws 1997, c. 167, § 1, eff. Jan. 1, 1998. Amended by Laws 2006, c. 281, § 6, emerg. eff. June 7, 2006.
2023 Oklahoma Statutes › Title 68. Revenue and Taxation › §68-2357.61a. Moratorium on certain tax credits.

The Legislature hereby establishes a moratorium on tax credits authorized pursuant to Sections 2357.62 and 2357.63 of Title 68 of the Oklahoma Statutes, subject to the provisions of subsection A of Section 2357.62 and subsection A of Section 2357.63 of Title 68 of the Oklahoma Statutes. Unless otherwise repealed or revoked by the Oklahoma Legislature, the moratorium shall be in effect for investments made on or after June 1, 2010, through December 31, 2011.
Added by Laws 2010, c. 433, § 1.
2023 Oklahoma Statutes › Title 68. Revenue and Taxation › §68-2357.63C. Required records to be prepared and maintained.

A. Each qualified small business capital company shall prepare and maintain on a current basis the following records and make them available to the Oklahoma Tax Commission upon request:
1. Files for each director and principal of the capital company including the name, address, social security number or federal identification number and such other identifying information as the Tax Commission may require;
2. Records concerning all securities and subordinated debt issued by the capital company which include:
a.
the type of the security and subordinated debt issued,
b.
the name, address and telephone number of the investor,
c.
the date of the transaction, and
d.
the total amount of the qualified investment;
3. Records relating to each person making a qualified investment which shall include the social security number or federal tax identification number of each investor;
4. Records relating to each Oklahoma small business venture in which the capital company made a qualified investment which includes:
a.
the name of the business,
b.
location of the headquarters and principal business operations of the business,
c.
a description of the type of business in which engaged,
d.
evidence that the venture meets the definition of an Oklahoma small business venture,
e.
a copy of any contractual agreement entered into between the capital company and the venture,
f.
the amount of qualified investment in the venture,
g.
the type of investment along with supporting documentation,
h.
the date of the investment, and
i.
the source of funds invested;
5. Organizational documents of the qualified small business capital company and any additional documents relating to the organization or operation of the capital company as requested by the Tax Commission;
6. Records relating to all capitalization of the capital company which is not invested in Oklahoma small business ventures;
7. Records relating to all distributions made by the capital company which includes the date of the distribution, the amount of the distribution, to whom the distribution was paid, and the purpose of the distribution; and
8. All other records that may be requested by the Tax Commission.
B. All records required by this section shall be preserved for a period of ten (10) years.
Added by Laws 2006, c. 281, § 12, emerg. eff. June 7, 2006.
2023 Oklahoma Statutes › Title 68. Revenue and Taxation › §68-2357.63D. Rules regarding determination letter procedures.

The Oklahoma Tax Commission shall promulgate rules establishing procedures under which:
1. A qualified small business capital company may, prior to making an investment in an Oklahoma small business venture, request a determination letter from the Tax Commission that a business in which it proposes to invest is an “Oklahoma small business venture”;
2. A person or entity may request a determination letter that a company meets the definition of a “qualified small business capital company”; and
3. A person or entity may request a determination letter that a transfer of funds meets the definition of a “qualified investment”.
Added by Laws 2006, c. 281, § 13, emerg. eff. June 7, 2006.
2023 Oklahoma Statutes › Title 68. Revenue and Taxation › §68-2357.63E. Effect of favorable determination letters issued prior to March 15, 2006 - Credit requirements.

A. Any person or entity that has obtained a favorable determination letter from the Oklahoma Tax Commission prior to March 15, 2006, regarding the ability to claim or otherwise utilize any of the tax credits authorized pursuant to the provisions of Section 2357.62 or 2357.63 of Title 68 of the Oklahoma Statutes shall not be subject to the amendments to the Small Business Venture Capital Formation Incentive Act made by this legislative measure to qualify for the tax credits authorized pursuant to the provisions of Section 2357.62 or 2357.63 of this title except as provided in this section. Notwithstanding any determination letter issued with respect to such investment, no credit shall be allowed unless:
1. Such qualified investment is made prior to November 1, 2006, to satisfy a legitimate business purpose of the entity receiving such investment which is consistent with its organizational instrument, bylaws or other agreement responsible for the governance of the business venture;
2. The investor’s funds were at risk; and
3. The investment was not made chiefly for the purpose of reducing tax liability.
B. Any investment in a qualified small business capital company or an Oklahoma small business venture that occurs on or after November 1, 2006, shall be subject to all of the provisions of the Small Business Capital Formation Incentive Act as amended by the provisions of this legislative measure.
Added by Laws 2006, c. 281, § 14, emerg. eff. June 7, 2006.
2023 Oklahoma Statutes › Title 68. Revenue and Taxation › §68-2357.65. Annual report to the Legislature.

On or before November 1 of each year subsequent to the effective date of this act, the Oklahoma Tax Commission shall file a report with the Speaker of the House of Representatives and the President Pro Tempore of the Senate. The report shall state the amount of credits actually claimed and allowed pursuant to the provisions of this act during the previous calendar year, statistical information on the qualified investments made by qualified small business capital companies during the previous year, an estimate of the number of jobs created in this state during the previous year, and such other information as the Tax Commission may deem relevant.
Added by Laws 1997, c. 167, § 6, eff. Jan. 1, 1998. Amended by Laws 2006, c. 281, § 16, emerg. eff. June 7, 2006.
2023 Oklahoma Statutes › Title 68. Revenue and Taxation › §68-2357.65A. Federally regulated investment company exemption.

A. As used in this section:
1. "Federally regulated investment company" means a qualified small business capital company as defined by Section 2357.61 of this title and that is licensed by the United States Small Business Administration or the United States Department of Agriculture and which qualifies as one of the following types of entities:
a.
a Small Business Investment Company, or
b.
a Specialized Small Business Investment Company, or
c.
a Rural Business Investment Company, or
d.
a Community Development Entity as defined by Section 45D of the Internal Revenue Code of 1986, as amended; and
2. "Qualified small business capital company" means an entity meeting the requirements of Section 2357.61 of this title.
B. Federally regulated investment companies shall be exempt from the reporting requirements of subsections C and G of Section 2357.64 of this title.
C. As a condition of the exemption authorized by this section, the federally regulated investment company shall provide to the Oklahoma Tax Commission not later than March 15 each year:
1. A copy of the federal license issued by the applicable federal regulatory entity;
2. A copy of all reports and compliance documents required by the federal regulators; and
3. A copy of the annual financial audit of the federally regulated investment company.
D. A federally regulated investment company shall also prepare an annual summary report that discloses:
1. All investments made in for-profit business entities during the preceding calendar year;
2. The primary business address of each for-profit business entity in which any investment was made;
3. A statement of the business activity of each of the for-profit business entities described in paragraphs 1 and 2 of this subsection;
4. The type of investment instrument used to make the investment; and
5. A status report of all investments made by the federally regulated investment company.
E. The federally regulated investment company shall transmit a copy of the annual summary prescribed by subsection D of this section to the committees or subcommittees of the Oklahoma House of Representatives and the Oklahoma State Senate having primary jurisdiction over the Small Business Capital Formation Incentive Act, the State Treasurer, the State Auditor and Inspector, the Director of the Office of Management and Enterprise Services and the Oklahoma Tax Commission.
F. The report required by subsection D of this section shall be prepared and submitted until all of the monies available to the federally regulated investment fund have been fully invested, all of the investments have been completed and the proceeds from the investment have been disbursed to the equity investors.
Added by Laws 2007, c. 353, § 8, eff. Nov. 1, 2007. Amended by Laws 2012, c. 304, § 547.
2023 Oklahoma Statutes › Title 68. Revenue and Taxation › §68-2357.71. Short title.

Sections 2357.71 through 2357.76 of this title, including Sections 20, 21, 22, 23, 24 and 25 of this act, shall be known and may be cited as the “Rural Venture Capital Formation Incentive Act”.
Added by Laws 2000, c. 339, § 1, eff. Jan. 1, 2001. Amended by Laws 2006, c. 281, § 17, emerg. eff. June 7, 2006.
2023 Oklahoma Statutes › Title 68. Revenue and Taxation › §68-2357.72a. Moratorium on certain tax credits.

The Legislature hereby establishes a moratorium on tax credits authorized pursuant to Sections 2357.73 and 2357.74 of Title 68 of the Oklahoma Statutes, subject to the provisions of subsection A of Section 2357.73 and subsection A of Section 2357.74. Unless otherwise repealed or revoked by the Oklahoma Legislature, the moratorium shall be in effect for investments made on or after June 1, 2010, through December 31, 2011.
Added by Laws 2010, c. 433, § 4.
2023 Oklahoma Statutes › Title 68. Revenue and Taxation › §68-2357.74C. Required records to be prepared and maintained.

A. Each qualified rural small business capital company shall prepare and maintain on a current basis the following records and make them available to the Oklahoma Tax Commission upon request:
1. Files for each director and principal of the capital company including the name, address, social security number or federal identification number and such other identifying information as the Tax Commission may require;
2. Records concerning all securities issued by the capital company which include:
a.
the type of the security issued,
b.
the name, address and telephone number of the investor,
c.
the date of the transaction, and
d.
the total amount of the qualified investment;
3. Records relating to each person making a qualified investment which shall include the social security number or federal tax identification number of each investor;
4. Records relating to each Oklahoma rural small business venture in which the capital company made a qualified investment which includes:
a.
the name of the business,
b.
location of the headquarters and principal business operations of the business,
c.
a description of the type of business in which engaged,
d.
evidence that the venture meets the definition of an Oklahoma rural small business venture,
e.
a copy of any contractual agreement entered into between the capital company and the venture,
f.
the amount of qualified investment in the venture,
g.
the type of investment along with supporting documentation,
h.
the date of the investment, and
i.
the source of the funds invested;
5. Organizational documents of the qualified rural small business capital company and any additional documents relating to the organization or operation of the capital company as requested by the Tax Commission;
6. Records relating to all capitalization of the capital company which is not invested in Oklahoma rural small business ventures;
7. Records relating to all distributions made by the capital company which includes the date of the distribution, the amount of the distribution, to whom the distribution was paid, and the purpose of the distribution; and
8. All other records that may be requested by the Tax Commission.
B. All records required by this section shall be preserved for a period of ten (10) years.
Added by Laws 2006, c. 281, § 23, emerg. eff. June 7, 2006.
2023 Oklahoma Statutes › Title 68. Revenue and Taxation › §68-2357.74D. Rules regarding determination letter procedures.

A. The Oklahoma Tax Commission shall promulgate rules establishing procedures under which:
1. A qualified rural small business capital company may, prior to making an investment in an Oklahoma rural small business venture, request a determination letter from the Tax Commission that a business in which it proposes to invest is an “Oklahoma rural small business venture”;
2. A person or entity may request a determination letter that a company meets the definition of a “qualified rural small business capital company”; and
3. A person or entity may request a determination letter that a transfer of funds meets the definition of a “qualified investment”.
Added by Laws 2006, c. 281, § 24, emerg. eff. June 7, 2006.
2023 Oklahoma Statutes › Title 68. Revenue and Taxation › §68-2357.74E. Effect of favorable determination letters issued prior to March 15, 2006 - Credit requirements.

A. Any person or entity that has obtained a favorable determination letter from the Oklahoma Tax Commission prior to March 15, 2006, regarding the ability to claim or otherwise utilize any of the tax credits authorized pursuant to the provisions of Section 2357.73 or 2357.74 of Title 68 of the Oklahoma Statutes shall not be subject to the amendments to the Rural Capital Formation Incentive Act made by this legislative measure to qualify for the tax credits authorized pursuant to the provisions of Section 2357.73 or 2357.74 of this title except as provided in this section. Notwithstanding any determination letter issued with respect to such investment, no credit shall be allowed unless:
1. Such qualified investment is made prior to November 1, 2006, to satisfy a legitimate business purpose of the entity receiving such investment which is consistent with its organizational instrument, bylaws or other agreement responsible for the governance of the business venture;
2. The investor’s funds were at risk; and
3. The investment was not made chiefly for the purpose of reducing tax liability.
B. Any investment in a qualified rural small business capital company or an Oklahoma rural small business venture that occurs on or after November 1, 2006, shall be subject to all of the provisions of the Rural Venture Capital Formation Incentive Act as amended by the provisions of this legislative measure.
Added by Laws 2006, c. 281, § 25, emerg. eff. June 7, 2006.
2023 Oklahoma Statutes › Title 68. Revenue and Taxation › §68-2357.76. Annual reporting to legislature.

On or before November 1 of each year subsequent to the effective date of the Rural Venture Capital Formation Incentive Act, the Oklahoma Tax Commission shall file a report with the Speaker of the House of Representatives and the President Pro Tempore of the Senate. The report shall state the amount of credits actually claimed and allowed pursuant to the provisions of this act during the previous calendar year, statistical information on the qualified investments made by qualified rural small business capital companies during the previous year, an estimate of the number of jobs created in this state during the previous year and such other information as the Tax Commission may deem relevant to the effective administration of the Rural Venture Capital Formation Incentive Act.
Added by Laws 2000, c. 339, § 6, eff. Jan. 1, 2001. Amended by Laws 2006, c. 281, § 27, emerg. eff. June 7, 2006.