Tax cut gets green light for 2016
by Randy Ellis
Most Oklahoman taxpayers will see a cut in their state income taxes beginning in 2016, state Secretary of Finance Preston Doerflinger announced Wednesday.
“The trigger was met and the income tax will drop to 5 percent on Jan. 1, 2016,” Doerflinger said during a media briefing Wednesday. “Congratulations Oklahoma taxpayers, your taxes go down in 379 days.”
Meanwhile, most state agencies should prepare for anticipated small cuts in their appropriations, Doerflinger said.
The state Board of Equalization will meet at 10 a.m. Thursday to certify revenue projection figures and make the upcoming tax cut official.
Under legislation enacted in April, the state’s top personal income tax rate will drop from 5.25 percent to 5 percent beginning Jan. 1, 2016, now that a revenue trigger has been satisfied.
A second cut in the state’s top personal income tax rate from 5 percent to 4.85 percent could take place as early as 2018 if revenues continue to prove sufficient, Doerflinger said.