Oklahoma Lawmaker Proposes Changes to Personal, Corporate Income Taxes

Oklahoma State Rep. Jason Dunnington has filed legislation that he says would generate more than $500 million in recurring revenue.

Oklahoma is facing severe budget constraints, partly due to reduced energy industry activity in the state. Dunnington’s proposed measure would address both personal and corporate income tax structures.

Dunnington, a member of the House of Representative’s Appropriations & Budget Committee for the 56^thLegislature, said it’s time for the state to get serious about building a brighter future for our children and grandchildren.

“We can’t kick the can down the road any longer. It’s taken the state more than a decade to reach rock bottom, and it will likely take us many years to dig our way out, but the era of complacency of being last in most nationally ranked categories must end,” said Dunnington, D-Oklahoma City. “The middle class and working poor in Oklahoma are facing critical economic challenges, so we must act responsibly when proposing new revenue options.”

House Bill 1279 will return income tax rates to what they were more than a decade ago for the state’s highest earners according to personal or household income level. In addition, Dunnington’s bill will remove the Oklahoma Capital Gains Deduction. Enacted in 2004, the benefit goes almost entirely to Oklahoma’s wealthiest citizens.

House Bill 1279 will also require companies to combine profits from both the parent company and its subsidiaries in one report and pay taxes on all the profits earned in Oklahoma.

“For four of the last twelve months, the state has paid more in business tax credits than it received in corporate income tax. We can’t let this trend continue,” Dunnington said.

Source: Oklahoma House of Representatives

Topics Legislation Profit Loss Oklahoma