Oklahoma individual income tax
Oklahoma levies an individual income tax on both residents and nonresidents, calculated using their federal-adjusted gross income, with rates ranging from 0.25% to 4.75%.
April 18
Return due in 2023
4.75%
Top marginal tax rate
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Pay income tax online
Visit the official state government’s website to pay individual income tax online.
Visit OKTAP
What is Oklahoma income tax?
Individual income tax
Individual income tax is a type of direct tax levied by Oklahoma on individuals that meet the taxable criteria.
Taxable incomes
Oklahoma taxes incomes from wages, dividends, interests and capital gains.
Tax brackets
Oklahoma has 6 individual income tax brackets from 0.25% to 4.75%.
Standard deduction
Standard deduction is $6,350 for singles and head of household and $12,700 for couples for the year 2022.
Personal exemption
There is no personal exemption in Oklahoma.
2022 tax rates
The following is the list of income tax rates for the tax year of 2022
| Oklahoma taxable income | Tax rate |
|---|---|
| $0 - $1,000 | 0.25% |
| $1,000 - $2,500 | 2.5% |
| $2,500 - $3,750 | 1.75% |
| $3,750-$4,900 | 2.75% |
| $4,900-$7,200 | 3.75% |
| $7,201+ | 4.75% |
Individual income tax
The State of Oklahoma requires you to pay taxes if you are a resident (regardless of the whether they were earned within the state or not) or a non-resident that earns income from Oklahoma
Types of taxable incomes
The income types on which tax is levied are:
In Oklahoma, all types of income are generally subject to personal income tax unless they are specifically exempt by state law. This includes, but is not limited to, wages and salary, dividends, capital gains, royalties, and other types of income.
File return
To file a tax return in Oklahoma, taxpayers must complete and submit a tax return form. The tax return form requires taxpayers to report their taxable income and any credits or deductions they are eligible to claim. Taxpayers must also calculate their tax liability and pay any taxes owed by the due date.
In Oklahoma, filing requirement is based on your gross income.
You do not need to file returns if your income is less than $7,350 for single filers, $10,350 for head of household and $14,700 for married filing jointly.
If you expect a refund on taxes withheld, then you must file returns.
File Form 504-I to request an extension in filing returns.
File Extension
Due
quarterly or annually
Pay taxes
Taxes in Oklahoma are due by 18 April, 2023. Go to the official Oklahoma Tax Commission website.
In Oklahoma, equal quarterly estimated tax payments must be made tax after withholding is more than $500.
Estimated taxes are to be made quarterly in instalments by the 15th of April, June, September, and January.
Estimated taxes should also be paid if tax withheld is lesser than 70% of the year's tax liability.
Type of tax
graduated tax
Due
quarterly or annually
Deductions
Tax deductions are a reduction in the amount of income that is subject to taxation. It allows taxpayers to lower the amount of taxable income they have, which in turn reduces the amount of tax they owe. Tax deductions are available for a wide range of expenses, such as charitable donations, mortgage interest, medical expenses, and business expenses.
For the year 2022, the standard deduction for individuals who are single or head of household is $6,350 and for married couples filing jointly, it is $12,700.
Credits
A tax credit allows taxpayers to reduce the amount of taxes they are required to pay. This is different from a tax deduction, which reduces the amount of income that is subject to taxation. Tax credits are applied directly to the tax liability, while deductions are applied to the taxable income.
Exclusions
Tax exclusions are an amount of money or income that is not subject to taxation. This means that taxpayers do not have to pay taxes on this income.
Residency
Residency in Oklahoma refers to an individual's permanent home or place of residence in the state.
Oklahoma resident
An Oklahoma resident is someone who is domiciled in Oklahoma, or who maintains a permanent place of residence in the state for the entire year.
Oklahoma part-year resident
An Oklahoma Part-Year Resident is someone who moved into or out of the state during the tax year, or someone who spent less than 12 months in the state.
Income earned while the individual was a resident of Oklahoma is subject to state taxes.
Oklahoma non-resident
An Oklahoma Nonresident is someone who does not have a permanent residence in the state.
Nonresidents who receive income from Oklahoma sources are required to pay Oklahoma taxes. This includes income from Oklahoma properties and personal services performed in the state.
Frequently asked questions
Business entities in Oklahoma
There are several business entities in Oklahoma
Oklahoma LLC
Page sponsorWhy we like StartGlobal?
My genuine thoughts
Willy Justin
Founder, Statepedia
StartGlobal: Legal + Taxes + Bookkeeping for solopreneurs
Product
For small businesses, managing taxes, accounting and everything legal is just a pain. Nobody wants to do it, but they have to. Instead of working with CPAs, attorneys and others separately, Start brings all of them under a single subscription. It’s just smooth.
Team
I know the team behind StartGlobal very well. It’s a very hardworking group of individuals who are genuinely passionate about small businesses. They are backed by successful founders like Balaji Srinivasan, Biz Stone(Twitter) and others.
Price
Getting a CPA or attorney is a matter of thousands of dollars. It’s just unfair to pay so much when you’re a small business. Start has a single subscription that covers it all. It is a definite money saver.
$599 one-time