OklahomaOklahoma law sets credit limits and deadlines for rural funds
Oklahoma law sets yearly tax-credit limits for rural fund applications and requires certified funds to meet investment deadlines, while letting them ask whether a business qualifies.
What it does
The law sets separate yearly $15 million limits on credits for rural fund applications approved before and on or after its effective date. Carried-forward credits are excluded.
A certified rural fund must issue the investment and receive the investor's cash within 90 days after notice. It must show the Department proof within 95 days, and at least 10% must come from the investor's own fundraising sources.
Before investing, a rural fund may ask the Department whether a business qualifies. The Department must respond within 15 business days; without notice by day 20, the business is treated as eligible.
Argument forA fund could learn sooner whether a business qualifies, and a missed response deadline may let it proceed with that investment.
Argument againstThe funding share and short deadlines could make it harder for some rural funds to complete an investment after receiving certification.
More detail
The law sets a $15 million yearly limit on credits for applications approved before its effective date and a separate $15 million limit for applications approved on or after that date. The limits apply to state tax credits claimed in each calendar year for approved rural fund applications. Credit amounts carried forward under the cited law do not count toward these limits. The two limits apply according to whether an application was approved before or on or after the law's effective date.
A rural fund must issue the certified investment and receive cash from a rural investor within 90 days after notice of certification, then give the Department evidence of the cash within 95 days after the notice. These requirements apply to a rural fund that receives certification for an application submitted after the law's effective date. At least 10% of the investor's investment must come from sources raised directly or indirectly by the investor, such as its directors, members, employees, officers, or affiliates. Money invested by the person claiming tax credits in exchange for allocating those credits does not count toward that 10%. Both deadlines run from the applicant's notice of certification: 90 days to issue the investment and receive cash, and 95 days to provide evidence.
A rural fund may ask the Department in writing whether a business qualifies; if the Department has not notified the fund of its decision by the 20th business day, the business is treated as eligible. This process applies to a business a rural fund proposes to invest in. The fund may request an opinion before making a qualified investment. The Department must notify the fund of its decision within 15 business days. The 15-business-day response period and 20-business-day eligibility deadline begin when the Department receives the fund's request.
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Where it stands
- Introduced
- Passed House
- Passed Senate
- To Governor
- Became Law
Looking ahead
No hearings or votes scheduled.
History
- 2026
- May 13Becomes law without Governor's signature 05/13/2026Latest
- May 6Sent to GovernorTo Governor
- Vote recorded Fourth Reading. Result: pass.Lower
- May 6Enrolled measure signed, returned to House
- May 6Enrolled, signed, to Senate
- May 6Referred for enrollment
- May 6Fourth Reading, Measure passed: Ayes: 59 Nays: 33Major
- May 6SA's read, adoptedMajor
- Apr 28SA's received
- Vote recorded Third Reading. Result: pass.Upper
- Apr 28Engrossed to HouseMajor
- Apr 28Referred for engrossment
- Apr 28Measure passed: Ayes: 34 Nays: 10Major
- Apr 28General Order, Amended by Floor Substitute
- Apr 7Coauthored by Representative Townley
- Apr 7remove as principal author Representative Townley and substitute with Representative Caldwell (Trey)
- Apr 2Remove as author Senator Thompson; authored by Senator Howard
- 2025
- Apr 16Placed on General Order
- Apr 14Reported Do Pass Revenue and Taxation committee; CR filedMinor
- Vote recorded Do Pass. Result: pass.Upper
- Apr 8Referred to Revenue and TaxationMinor
- Vote recorded Do Pass. Result: pass.Upper
- Apr 8Reported Do Pass Economic Development, Workforce and Tourism committee; CR filedMinor
- Apr 1Second Reading referred to Economic Development, Workforce and Tourism Committee then to Revenue and Taxation CommitteeMinor
- Mar 27First ReadingMinor
- Mar 27Engrossed, signed, to SenatePassed Senate
- Mar 26Referred for engrossment
- Vote recorded Third Reading. Result: pass.Lower
- Mar 26Third Reading, Measure passed: Ayes: 63 Nays: 31Passed House
- Mar 26General Order
- Mar 6Authored by Senator Thompson (principal Senate author)
- Mar 6CR; Do Pass, amended by committee substitute Appropriations and Budget CommitteeMinor
- Mar 5
- Vote recorded Appropriations And Budget Committee: Do Pass As Amended By Cs. Result: pass.Lower
- Feb 27Recommendation to the full committee; Do Pass, amended by committee substitute Appropriations and Budget Finance SubcommitteeMinor
- Feb 20
- Vote recorded Appropriations And Budget Finance Subcommittee: Do Pass As Amended By Cs. Result: pass.Lower
- Feb 4Referred to Appropriations and Budget Finance SubcommitteeMinor
- Feb 4Second Reading referred to Appropriations and BudgetMinor
- Feb 3Authored by Representative Townley
- Feb 3First ReadingIntroduced
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