Oklahoma State Income Tax Guide

Oklahoma’s state income tax uses a progressive system with six tax brackets, ranging from 0.25% to 4.75%. How much you owe depends on your taxable income, filing status, and eligibility for deductions or credits.

Oklahoma residents pay income taxes on income earned statewide, while nonresidents are taxed on income sourced from Oklahoma. Part-year residents are taxed on income earned while a resident of the state and any state sourced income earned while a nonresident. Understanding these details is important for managing your state taxes efficiently for the 2024 tax year (the taxes you’ll file in 2025).

*Note that you are still responsible for federal taxes if you meet the IRS income filing threshold. This article addresses state-specific taxes only.  

Oklahoma state income tax rates

Oklahoma features six income tax brackets, with rates ranging from 0.25% to 4.75%. The specific rate you pay depends on your taxable income and filing status. Taxes for the 2024 filing year are due by April 15, 2025, aligning with the federal tax deadline. Timely filing is important to avoid incurring any penalties.

The sections below provide charts detailing Oklahoma’s tax brackets and rates based upon your filing status. These tables can help you understand exactly where you fall within Oklahoma’s progressive tax system.

Single or Married Filing Separately

Taxable income Tax rate $0 to $1,000 0.25% $1,001 to $2,500 $2.50 plus 0.75% over $1,000 $2,501 to $3,750 $13.75 plus 1.75% over $2,500 $3,751 to $4,900 $35.63 plus 2.75% over $3,750 $4,901 to $7,200 $67.25 plus 3.75% over $4,900 More than $7,200 $153.50 plus 4.75% over $7,200

Head of Household, Married Filing Jointly, or Qualified Surviving Spouse

Taxable income Tax rate $0 to $2,000 $0 plus 0.25% over $0 $2,001 to $5,000 $5 plus 0.75% over $2,000 $5,001 to $7,500 $27.50 plus 1.75% over $5,000 $7,501 to $9,800 $71.25 plus 2.75% over $7,500 $9,801 to $14,400 $134.50 plus 3.75% over $9,800 More than $14,400 $307 plus 4.75% over $14,400

Source: Oklahoma Tax Commission

What is the standard deduction in Oklahoma?

The standard deduction reduces your taxable income, making filing without itemizing expenses easier for many taxpayers. Here are the standard deductions for Oklahoma in 2024 based on filing status:

Single or Married Filing Separately: $6,350

Head of Household: $9,350

Married Filing Jointly or Qualifying Surviving Spouse: $12,700

Who has to file Oklahoma state income tax?

Filing Oklahoma state income taxes depends on your residency status and source of income. Specific income thresholds determine your obligation to file, whether you’re a resident, part-year resident, or nonresident. Here’s a quick breakdown:

Residents: If your gross income (from all sources) exceeds the Oklahoma standard deduction plus personal exemption, you’re required to file a state income tax return.

Even if you’re not required to file a federal return, you must attach a completed federal return to your Oklahoma return if your gross income is more than your adjusted gross income (AGI).

If you don’t meet the filing requirements but had Oklahoma tax withheld, made estimated tax payments, or qualify for refundable credits (e.g., Natural Disaster Tax Credit), you could file a return to claim your refund.

Part-year residents: You must file as a resident for your period in Oklahoma. For the period you were a nonresident, filing is required if you have gross income of $1,000 or more from Oklahoma sources.

Nonresidents: Nonresidents with gross income of $1,000 or more from Oklahoma sources must file a state income tax return, with some exceptions under the Pass-Through Entity Act of 2019.

You must file an Oklahoma state income tax return if your Oklahoma-derived gross income exceeds the thresholds listed below for your filing status:

Filing status Gross income threshold Single $7,350 Married Filing Jointly $14,700 Married Filing Separately $7,350 Head of Household $10,350 Qualifying Surviving Spouse with a Dependent Child $13,700

Other income tax considerations in Oklahoma

Along with standard wages and salaries, Oklahoma taxes various types of income differently. Here’s a quick guide to how Oklahoma handles certain income categories.

Retirement and pension income tax: Oklahoma taxes most retirement income but provides exemptions for up to $10,000 of qualifying retirement benefits.

Investment income tax: Investment income, including dividends and interest, is taxed at Oklahoma’s standard income tax rates.

Social Security income tax: Social Security benefits are fully exempt from Oklahoma state income tax.

Military income tax: Active-duty military pay is fully exempt from Oklahoma state income tax. Military retirees may exclude the greater of $10,000 or 75% of retirement income.

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Common Oklahoma state tax credits

Here’s a breakdown of common Oklahoma-specific tax deductions and credits, including their descriptions and amounts.

Tax credit Description Amount Earned Income Tax Credit (EITC) Provides additional tax relief for low- to moderate-income workers. 5% of federal EITC; maximum federal EITC for 2024 tax year is $7,830. Child Care/Child Tax Credit Reduces taxes for families with qualifying children or childcare expenses. Greater of 5% of the Federal Child Tax Credit or 20% of the Federal Child Care Tax Credit. No credit is allowed if your Federal AGI is greater than $100,000.Adoption Tax Credit Helps families offset adoption expenses. 10% for nonrecurring adoption expenses up to $4,000 per year. Oklahoma Investment/New Jobs Credit Offers a five-year credit based on new property investment or job creation. Enhanced benefits in Enterprise Zones or Priority Enterprise Zones. Greater of 1% per year of investment or $500 per new job; doubled in Enterprise Zones or for investments over $40 million. Volunteer Firefighter Credit Acknowledges service as a volunteer firefighter. Up to $600. Disabled Veteran Property Tax Credit Reduces property tax for disabled veterans. Full exemption for qualifying veterans. Parental Choice Tax Credit Supports parents choosing eligible private school tuition. $5,000 to $7,500. Credit for Taxes Paid to Another State Prevents double taxation for income earned in other states. Equal to tax paid to another state. 529 College Savings Plan Contributions Encourages contributions to college savings plans. Up to $10,000 per year for individual taxpayers. Up to $20,000 for taxpayers filing jointly.

How to file Oklahoma state income tax

Navigating Oklahoma’s state income tax system is straightforward with TurboTax by your side. Whether you prefer a hands-on DIY approach or want a tax expert to take care of everything, we’ve got you covered. TurboTax helps identify every deduction and credit you’re eligible for, ensuring you get the largest refund possible under Oklahoma’s tax laws.

TurboTax provides a smooth, step-by-step process for all taxpayers—residents, part-year residents, and non-residents alike. If you need personalized guidance, a local tax expert in Oklahoma can provide expert advice or handle your filing entirely.

Trust TurboTax to make filing stress-free while helping you keep more of your hard-earned money.

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