Okla. Stat. tit. 46, § 46-317: Withdrawal of funds for other purposes - Penalty

Except as otherwise authorized by subsection B of Section 4 of

this act, if the account holder withdraws any funds from a home

buyer savings account for a purpose other than eligible costs for

the purchase of a single-family residence, such funds shall be

included in the account holder's taxable income and the account

holder shall pay a penalty to the Oklahoma Tax Commission equal to

ten percent (10%) of the amount withdrawn. Such penalty shall not

apply to funds withdrawn from an account that were:

1. Withdrawn by reason of the account holder's death or

disability;

2. A disbursement of assets of the account pursuant to a filing

for protection under the United States Bankruptcy Code, 11 U.S.C. §

101 et seq.; or

3. Transferred from an account established under this act into

another account established under this act in accordance with

subsection B of Section 4 of this act.