SB305

Oklahoma SB305 modifies income tax rates and withholding requirements for certain tax years.

Oklahoma SB305 amends the Oklahoma Income Tax Act to modify income tax rates for nonresident aliens, certain foreign corporations, and individuals. It sets a new tax rate of eight percent (8%) for nonresident aliens, four percent (4%) for certain foreign corporations, and introduces a tiered tax rate system for individuals. The bill also updates withholding requirements for payers, mandating the deduction and withholding of taxes based on the new rates and the submission of written statements to payees and the Oklahoma Tax Commission. The changes are effective November 1, 2025.