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Back to SB 223
Oklahoma Legislature· SB 223Coauthored by Representative Lowe (Jason) (principal House author)

An act relating to income tax, the official text

Shown verbatim: the complete text as captured from the official PDF posted by the Oklahoma Legislature, fetched 2026-07-23. Page and line markers are part of the official record; nothing is edited or removed. The official bill page.
1                  STATE OF OKLAHOMA

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2                  1st Session of the 60th Legislature (2025)

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3 SENATE BILL 223                 By: Nice
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6                               AS INTRODUCED

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7   An Act relating to income tax; amending 68 O.S. 2021,

7   Section 2357, which relates to credits against income

8   tax; updating statutory references; authorizing claim

8   for child tax credit in the tax year for which

9   certain stillborn birth certificates are issued;

9   prescribing calculation of credit amount; authorizing

10  the Oklahoma Tax Commission to promulgate rules; and

10  providing an effective date.

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13 BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
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14  SECTION 1.     AMENDATORY   68 O.S. 2021, Section 2357, is

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15 amended to read as follows:
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16  Section 2357. A. The withheld taxes and estimated taxes paid

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17 shall be allowed as credits as provided by law.
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18  B. 1. There shall be allowed as a credit against the tax

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19 imposed by Section 2355 of this title the amount of tax paid another
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20 state by a resident individual, as defined in paragraph 4 of Section
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21 2353 of this title, upon income received as compensation for
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22 personal services in such other state; provided, such credit shall
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23 not be allowed with respect to any income specified in Section 114
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24 of Title 4 of the United States Code, 4 U.S.C., Section 114, upon
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    Req. No. 1345                                              Page 1
1 which a state is prohibited from imposing an income tax. The credit
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2 shall not exceed such proportion of the tax payable under Section
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3 2355 of this title as the compensation for personal services subject
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4 to tax in the other state and also taxable under Section 2355 of
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5 this title bears to the Oklahoma adjusted gross income as defined in
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6 paragraph 13 of Section 2353 of this title.
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7   2. For tax years beginning after December 31, 2007, there shall

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8 be allowed to a resident individual or part-year resident individual
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9 or nonresident individual member of the Armed Forces as a credit
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10 against the tax imposed by Section 2355 of this title twenty percent
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11 (20%) of the credit for child care expenses allowed under the
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12 Internal Revenue Code of the United States 1986, as amended, or five
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13 percent (5%) of the child tax credit allowed under the Internal
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14 Revenue Code of 1986, as amended, whichever amount is greater.
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15 Neither credit authorized by this paragraph shall exceed the tax
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16 imposed by Section 2355 of this title. The maximum child care
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17 credit allowable on the Oklahoma income tax return shall be prorated
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18 on the ratio that Oklahoma adjusted gross income bears to the
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19 federal adjusted gross income. The credit authorized by this
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20 paragraph shall not be claimed by any taxpayer if the federal
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21 adjusted gross income reflected on the Oklahoma return for the
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22 taxpayer is in excess of One Hundred Thousand Dollars ($100,000.00).
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23  C. For tax year 2026 and subsequent tax years, a taxpayer may

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24 claim the child tax credit allowed pursuant to paragraph 2 of
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    Req. No. 1345                              Page 2
1 subsection B of this section for each birth that a certificate of
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2 birth resulting in stillbirth has been issued pursuant to Section 1-
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3 318.2 of Title 63 of the Oklahoma Statutes, if the child otherwise
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4 would have been a member of the household of the taxpayer. The
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5 taxpayer may claim the credit only in the tax year in which the
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6 stillbirth occurred. The credit authorized pursuant to this
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7 subsection shall be five percent (5%) of the child tax credit that
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8 would be allowed under the Internal Revenue Code of 1986, as
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9 amended, if the child were a dependent and a member of the
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10 household. The Oklahoma Tax Commission may promulgate rules to
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11 enforce the provisions of this subsection.
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12  SECTION 2. This act shall become effective November 1, 2025.

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14  60-1-1345      QD  12/30/2024 4:51:34 PM

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    Req. No. 1345                                             Page 3
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