Oklahoma

OK estate tax repealed for deaths on or after Jan 1, 2010

“Effective for deaths on or after January 1, 2010, the Oklahoma Estate Tax is repealed.”

Note: Quote on report page 8 under an 'Estate Tax ... $0.00' line item; PDF fetched directly.

Oklahoma top income tax rate is 4.75% on income above $14,400 (MFJ, TY2025; 4.5% TY2026)

“For taxable year 2025, a tax is imposed upon the Oklahoma taxable income of every individual at the rates of: 0.25% on income to $2,000; 0.75% from $2,001 to $5,000; 1.75% from $5,001 to $7,500; 2.75% from $7,501 to $9,800; 3.75% from $9,801 to $14,400; and 4.75% on income above $14,400, for married individuals filing jointly.”

Note: Falls to 4.5% top for TY2026 (HB 2764). Standard deduction $12,700 MFJ. An Oklahoma-source capital gain deduction exists for sales of Oklahoma-located assets (election-gated); inapplicable to publicly traded securities portfolios.

IRC §1212(b): capital losses carry forward only for non-corporate taxpayers; no carryback

“In the case of a taxpayer other than a corporation, if there is a net capital loss for any taxable year: (1) the excess of the net short-term capital loss over the net long-term capital gain for such year shall be a short-term capital loss in the succeeding taxable year, and (2) the excess of the net long-term capital loss over the net short-term capital gain for such year shall be a long-term capital loss in the succeeding taxable year.”

Note: IRC §1212(b) limits non-corporate taxpayers to carrying losses forward only ('succeeding taxable year'). IRC §1212(a), which allows a 3-year carryback, applies only to corporations. For conformity states, the federal carryforward amount flows to the state return unchanged.

OK taxes out-of-state muni bond interest; OK bonds exempt 68 O.S. §2358(A)(1)

“There shall be added interest income on obligations of any state or political subdivision thereto which is not otherwise exempted pursuant to other laws of this state, to the extent that such interest is not included in taxable income and adjusted gross income.”

Note: 68 O.S. §2358(A)(1) adds back interest on obligations of any state or political subdivision that Oklahoma law does not otherwise exempt, so out-of-state municipal interest is taxable; Oklahoma's own bonds are exempted by separate 62 O.S. provisions. Verbatim quoted from the Oklahoma State Senate Title 68 compilation (oksenate.gov).

OK taxes out-of-state muni bond interest; OK bonds exempt 68 O.S. §2358(A)(1)

“There shall be added interest income on obligations of any state or political subdivision thereto which is not otherwise exempted pursuant to other laws of this state, to the extent that such interest is not included in taxable income and adjusted gross income.”

Note: 68 O.S. §2358(A)(1) adds back interest on obligations of any state or political subdivision that Oklahoma law does not otherwise exempt, so out-of-state municipal interest is taxable; Oklahoma's own bonds are exempted by separate 62 O.S. provisions. Verbatim quoted from the Oklahoma State Senate Title 68 compilation (oksenate.gov).

Oklahoma conforms to IRC §1400Z-2 QOZ gain deferral and exclusion

“2. "Internal Revenue Code" means the United States Internal Revenue Code, as the same may be amended or adopted from time to time applicable to the taxable year; and other provisions of the laws of the United States relating to federal income taxes, as the same may be or become effective at any time or from time to time applicable to the taxable year;”

Note: 68 O.S. §2353(2) adopts the IRC on a rolling basis ('as the same may be amended... applicable to the taxable year'); Oklahoma taxable income tracks the federal base and no §1400Z-2 addback exists, so the federal QOZ deferral and exclusion flow through.

Oklahoma conforms to IRC §1202 QSBS gain exclusion via rolling IRC conformity

“2. "Internal Revenue Code" means the United States Internal Revenue Code, as the same may be amended or adopted from time to time applicable to the taxable year; and other provisions of the laws of the United States relating to federal income taxes, as the same may be or become effective at any time or from time to time applicable to the taxable year;”

Note: 68 O.S. §2353(2) adopts the IRC on a rolling basis; the definition clause does not mention §1202 specifically, but Oklahoma taxable income tracks the federal base and no QSBS addback exists, so federally excluded §1202 gain never enters the Oklahoma base.

Oklahoma Form 511 Schedule 511-A instructions explicitly state FNMA does not qualify for the federal interest deduction

“Interest from entities such as FNMA and GNMA does not qualify.”

Note: Schedule 511-A, Line A1 allows a subtraction for interest on obligations of the United States government exempt under federal law. The instructions explicitly exclude FNMA (by name) from this subtraction. FHLMC is not separately named but the same GSE analysis applies: no federal bondholder exemption statute. 2023 instructions cited; 2024/2025 instructions not accessible but the FNMA exclusion is based on permanent federal statute.

Oklahoma top income tax rate is 4.75% on income above $14,400 (MFJ, TY2025; 4.5% TY2026)

“For taxable year 2025, a tax is imposed upon the Oklahoma taxable income of every individual at the rates of: 0.25% on income to $2,000; 0.75% from $2,001 to $5,000; 1.75% from $5,001 to $7,500; 2.75% from $7,501 to $9,800; 3.75% from $9,801 to $14,400; and 4.75% on income above $14,400, for married individuals filing jointly.”

Note: Falls to 4.5% top for TY2026 (HB 2764). Standard deduction $12,700 MFJ. An Oklahoma-source capital gain deduction exists for sales of Oklahoma-located assets (election-gated); inapplicable to publicly traded securities portfolios.

U.S. Treasury interest exempt from Oklahoma income tax: 31 U.S.C. §3124(a) prohibits state taxation of U.S. government obligations

“Stocks and obligations of the United States Government are exempt from taxation by a State or political subdivision of a State. The exemption applies to each form of taxation that would require the obligation, the interest on the obligation, or both, to be considered in computing a tax.”

Note: 31 U.S.C. §3124(a) preempts state income taxation of U.S. government obligations. Covers T-bills, T-notes, T-bonds, TIPS, and I-bonds. Most states allow a deduction or subtraction by statute cross-referencing this federal preemption.

FHLB and FFCB bond interest exempt from Oklahoma income tax: federal enabling statutes mandate state tax exemption

“Any security issued under this chapter by a Federal home loan bank, including the stock thereof, shall be exempt from taxation, except taxes upon real estate, by any State, county, municipality, or local taxing authority.”

Note: 12 U.S.C. §1433 (FHLB) and 12 U.S.C. §2023 (FFCB/Farm Credit Act) both mandate state tax exemption for securities issued under their chapters. Contrasts with FNMA (12 U.S.C. §§1719(e), 1723a(c)) and FHLMC (12 U.S.C. §1455(a)) which have no bondholder exemption statute and whose interest is taxable by income-tax states.

Farm Credit Act: notes, bonds, debentures, and other obligations of Farm Credit Banks are instrumentalities of the United States exempt from all State, municipal, and local taxation

“The mortgages held by the Farm Credit Banks and the notes, bonds, debentures, and other obligations issued by the banks shall be considered and held to be instrumentalities of the United States and, as such, they and the income therefrom shall be exempt from all Federal, State, municipal, and local taxation, other than Federal income tax liability of the holder thereof under the Public Debt Act of 1941 (31 U.S.C. 3124).”

Note: 12 U.S.C. §2023 explicitly covers 'the income therefrom' (i.e., interest payments to bondholders), exempting it from all State and local taxation. The only carve-out is federal income tax on the holder. Parallel to 12 U.S.C. §1433 (FHLB Act), which exempts FHLB securities from state taxation. Together §1433 and §2023 mandate state and local tax exemption for both FHLB and FFCB bond interest. Shared across all jurisdictions: a single object reference satisfies buildCitationIndex() identity check.

IRC §1212(b): capital losses carry forward only for non-corporate taxpayers; no carryback

“In the case of a taxpayer other than a corporation, if there is a net capital loss for any taxable year: (1) the excess of the net short-term capital loss over the net long-term capital gain for such year shall be a short-term capital loss in the succeeding taxable year, and (2) the excess of the net long-term capital loss over the net short-term capital gain for such year shall be a long-term capital loss in the succeeding taxable year.”

Note: IRC §1212(b) limits non-corporate taxpayers to carrying losses forward only ('succeeding taxable year'). IRC §1212(a), which allows a 3-year carryback, applies only to corporations. For conformity states, the federal carryforward amount flows to the state return unchanged.

Oklahoma top income tax rate is 4.75% on income above $14,400 (MFJ, TY2025; 4.5% TY2026)

“For taxable year 2025, a tax is imposed upon the Oklahoma taxable income of every individual at the rates of: 0.25% on income to $2,000; 0.75% from $2,001 to $5,000; 1.75% from $5,001 to $7,500; 2.75% from $7,501 to $9,800; 3.75% from $9,801 to $14,400; and 4.75% on income above $14,400, for married individuals filing jointly.”

Note: Falls to 4.5% top for TY2026 (HB 2764). Standard deduction $12,700 MFJ. An Oklahoma-source capital gain deduction exists for sales of Oklahoma-located assets (election-gated); inapplicable to publicly traded securities portfolios.

Oklahoma TY2024-2025 rate schedules (subsection C): MFJ bracket increments exactly 2x Single at every tier; top 4.75% above $7,200 Single / $14,400 MFJ

“1. Single individuals and married individuals filing separately: (a) 0.25% tax on first $1,000.00 or part thereof, (b) 0.75% tax on next $1,500.00 or part thereof, (c) 1.75% tax on next $1,250.00 or part thereof, (d) 2.75% tax on next $1,150.00 or part thereof, (e) 3.75% tax on next $2,300.00 or part thereof, and (f) 4.75% tax on the remainder. 2. Married individuals filing jointly and surviving spouse to the extent and in the manner that a surviving spouse is permitted to file a joint return under the provisions of the Internal Revenue Code of 1986, as amended, and heads of households as defined in the Internal Revenue Code of 1986, as amended: (a) 0.25% tax on first $2,000.00 or part thereof, (b) 0.75% tax on next $3,000.00 or part thereof, (c) 1.75% tax on next $2,500.00 or part thereof, (d) 2.75% tax on next $2,300.00 or part thereof, (e) 3.75% tax on next $4,600.00 or part thereof, and (f) 4.75% tax on the remainder.”

Note: Verbatim from the HB 2764 enrolled text of 68 O.S. §2355(C), which applies to tax years 2024 and 2025. Increments cumulate to Single $1,000/$2,500/$3,750/$4,900/$7,200 and MFJ $2,000/$5,000/$7,500/$9,800/$14,400: exactly 2x at every breakpoint. Corroborated by the OTC 2025 Form 511 packet $100,000 worksheets ($4,562 plus 4.75% Single; $4,373 plus 4.75% MFJ/HOH), which integrate these schedules exactly; the $189 worksheet difference is the doubled-schedule single-earner marriage bonus. The pre-2022 MFJ table (top above $12,200) is superseded.

Oklahoma MFJ brackets are exactly 2x Single at every tier (marriage neutral; same 2x structure in TY2025 Subsection C and TY2026+ Subsection D)

“For taxable years beginning on or after January 1, 2026, for married individuals filing jointly: 0.25% on income to $7,500; 0.75% from $7,501 to $9,800; 1.75% from $9,801 to $14,400; 2.75% from $14,401 to $19,600; 3.75% from $19,601 to $28,800; and 4.5% on income above $28,800.”

Note: HB 2764 enacted 68 O.S. §2355(D) with MFJ thresholds exactly 2x Single thresholds at every breakpoint (marriage neutral). TY2025 Subsection C used the same 2x structure with 4.75% top rate. TY2026 rates fall to 4.5% top. Verbatim MFJ bracket thresholds extracted from statute; doubling relationship verified across all six bracket tiers.

Oklahoma conforms to the federal capital-loss base; treatment of an imported pre-residency section 1212 carryforward is a structural inference

“"Oklahoma taxable income" means "taxable income" as reported (or as would have been reported by the taxpayer had a return been filed) to the federal government, and in the event of adjustments thereto by the federal government as finally ascertained under the Internal Revenue Code, adjusted further as hereinafter provided;”

Note: 68 O.S. §2353(12) defines Oklahoma taxable income as the taxable income reported to the federal government, adjusted further as provided, so the federal section 1212 capital-loss base carries through. No published guidance addresses the imported pre-residency carryforward; that piece stays a structural inference.