{"data":{"id":"us-ok/okla.-stat.-tit.-68-68-2357.206","jurisdiction":"us-ok","citation":"Okla. Stat. tit. 68, § 68-2357.206","heading":"Oklahoma Equal Opportunity Education Scholarship Act","body":"- Tax credit - Definitions.\n\nA. This act shall be known and may be cited as the \"Oklahoma\n\nEqual Opportunity Education Scholarship Act\".\n\nB. 1. Except as provided in subsection G of this section,\n\nafter August 26, 2011, there shall be allowed a credit for any\n\ntaxpayer who makes a contribution to an eligible scholarship-\n\ngranting organization.\n\nThe credit shall be equal to fifty percent (50%) of the total\n\namount of contributions made during a taxable year, not to exceed\n\nOne Thousand Dollars ($1,000.00) for single individuals, Two\n\nThousand Dollars ($2,000.00) for married individuals filing jointly,\n\nor One Hundred Thousand Dollars ($100,000.00) for any taxpayer which\n\nis a legal business entity including limited and general\n\npartnerships, corporations, subchapter S corporations and limited\n\nliability companies, plus any suspended credits pursuant to\n\nsubparagraph d of paragraph 2 of subsection I of this section;\n\nprovided, if total credits claimed pursuant to this paragraph exceed\n\nthe cap amount established pursuant to paragraphs 1 and 2 of\n\nsubsection E of this section, the credit shall be equal to the\n\ntaxpayer's proportionate share of the cap for the taxable year, as\n\ndetermined pursuant to subsection I of this section.\n\n2. For any taxpayer who makes a contribution to an eligible\n\nscholarship-granting organization and makes a written commitment to\n\ncontribute the same amount for an additional year, the credit for\n\nthe first year and the additional year shall be equal to seventy-\n\nfive percent (75%) of the total amount of the contribution made\n\nduring a taxable year, not to exceed the amounts established in\n\nparagraph 1 of this subsection for the taxable year in which the\n\ncredit provided in this subsection is claimed. The taxpayer shall\n\nprovide evidence of the written commitment to the Oklahoma Tax\n\nCommission at the time of filing the refund claim.\n\n3. The credits authorized pursuant to the provisions of this\n\nsubsection shall be allocable to the partners, shareholders,\n\nmembers, or other equity owners of a taxpayer that is authorized to\n\nbe treated as a partnership for purposes of federal income tax\n\nreporting for the taxable year for which the tax credits authorized\n\nby this subsection are claimed on the applicable return, together\n\nwith required schedules, forms or reports of the partners,\n\nshareholders, members, or other equity owners of the taxpayer. Tax\n\ncredits which are allocated to such equity owners shall only be\n\nlimited in amount for the income tax return of a natural person or\n\npersons based upon the limitation of the total credit amount to the\n\nentity from which the tax credits have been allocated and shall not\n\nbe limited to One Thousand Dollars ($1,000.00) for single\n\nindividuals or limited to Two Thousand Dollars ($2,000.00) for\n\nmarried persons filing a joint return.\n\n4. On or before April 30, 2024, and once every two (2) years\n\nthereafter, such scholarship-granting organization and educational\n\nimprovement grant organization shall electronically submit to the\n\nOklahoma Tax Commission, the Governor, President Pro Tempore of the\n\nSenate, the Speaker of the House of Representatives, and the chairs\n\nand vice chairs of the education committees of the Senate and House\n\nof Representatives an audited financial statement for the\n\norganization along with information detailing the benefits,\n\nsuccesses, or failures of the program, and make publicly available\n\non its website the financial statement and information submitted\n\npursuant to this paragraph.\n\nC. 1. Except as provided in subsection G of this section,\n\nafter August 26, 2011, there shall be allowed a credit for any\n\ntaxpayer who makes a contribution to an eligible educational\n\nimprovement grant organization. Except as otherwise provided by\n\nparagraph 2 of this subsection, the credit shall be equal to fifty\n\npercent (50%) of the total amount of contributions made during a\nthis paragraph.\n\nC. 1. Except as provided in subsection G of this section,\n\nafter August 26, 2011, there shall be allowed a credit for any\n\ntaxpayer who makes a contribution to an eligible educational\n\nimprovement grant organization. Except as otherwise provided by\n\nparagraph 2 of this subsection, the credit shall be equal to fifty\n\npercent (50%) of the total amount of contributions made during a\n\ntaxable year, not to exceed One Thousand Dollars ($1,000.00) for\n\nsingle individuals, Two Thousand Dollars ($2,000.00) for married\n\nindividuals filing jointly, or One Hundred Thousand Dollars\n\n($100,000.00) for any taxpayer which is a legal business entity\n\nincluding limited and general partnerships, corporations, subchapter\n\nS corporations and limited liability companies, plus any suspended\n\ncredits pursuant to subparagraph d of paragraph 2 of subsection I of\n\nthis section; provided, if total credits claimed pursuant to this\n\nparagraph exceed the cap amount established pursuant to paragraphs 3\n\nand 4 of subsection E of this section, the credit shall be equal to\n\nthe taxpayer's proportionate share of the cap for the taxable year,\n\nas determined pursuant to subsection I of this section.\n\n2. For any taxpayer who makes a contribution to an eligible\n\neducational improvement grant organization and makes a written\n\ncommitment to contribute the same amount for an additional year, the\n\ncredit for the first year and the additional year shall be equal to\n\nseventy-five percent (75%) of the total amount of the contribution\n\nmade during a taxable year, not to exceed the cap amount established\n\nin paragraphs 3 and 4 of subsection E of this section for the\n\ntaxable year in which the credit provided in this paragraph is\n\nclaimed; provided, if total credits claimed pursuant to this\n\nparagraph exceed the cap established pursuant to paragraphs 3 and 4\n\nof subsection E of this section, the credit shall be equal to the\n\ntaxpayer's proportionate share of the cap for the taxable year, as\n\ndetermined pursuant to subsection I of this section. The taxpayer\n\nshall provide evidence of the written commitment to the Oklahoma Tax\n\nCommission at the time of filing the refund claim.\n\n3. The credits authorized pursuant to the provisions of this\n\nsubsection shall be allocable to the partners, shareholders,\n\nmembers, or other equity owners of a taxpayer that is authorized to\n\nbe treated as a partnership for purposes of federal income tax\n\nreporting for the taxable year for which the tax credits authorized\n\nby this subsection are claimed on the applicable return, together\n\nwith required schedules, forms, or reports of the partners,\n\nshareholders, members, or other equity owners of the taxpayer. Tax\n\ncredits which are allocated to such equity owners shall only be\n\nlimited in amount for the income tax return of a natural person or\n\npersons based upon the limitation of the total credit amount to the\n\nentity from which the tax credits have been allocated and shall not\n\nbe limited to One Thousand Dollars ($1,000.00) for single\n\nindividuals or limited to Two Thousand Dollars ($2,000.00) for\n\nmarried persons filing a joint return.\n\nD. 1. For contributions made on or after January 1, 2022,\n\nthere shall be allowed a credit for any taxpayer who makes a\n\ncontribution to an eligible public school foundation or public\n\nschool district. Except as otherwise provided by paragraph 2 of\n\nthis subsection, the credit shall be equal to fifty percent (50%) of\n\nthe total amount of contributions made during a taxable year, not to\n\nexceed One Thousand Dollars ($1,000.00) for single individuals, Two\n\nThousand Dollars ($2,000.00) for married individuals filing jointly,\n\nor One Hundred Thousand Dollars ($100,000.00) for any taxpayer which\n\nis a legal business entity including limited and general\n\npartnerships, corporations, subchapter S corporations and limited\not to\n\nexceed One Thousand Dollars ($1,000.00) for single individuals, Two\n\nThousand Dollars ($2,000.00) for married individuals filing jointly,\n\nor One Hundred Thousand Dollars ($100,000.00) for any taxpayer which\n\nis a legal business entity including limited and general\n\npartnerships, corporations, subchapter S corporations and limited\n\nliability companies; provided, if total credits claimed pursuant to\n\nthis paragraph exceed the cap amount established pursuant to\n\nparagraph 4 of subsection E of this section, the credit shall be\n\nequal to the taxpayer's proportionate share of the cap for the\n\ntaxable year, as determined pursuant to subsection I of this\n\nsection.\n\n2. Except as otherwise provided by paragraph 1 of this\n\nsubsection, for any taxpayer who makes a contribution to an eligible\n\npublic school foundation or public school district and makes a\n\nwritten commitment to contribute the same amount for an additional\n\nyear, the credit for the first year and the additional year shall be\n\nequal to seventy-five percent (75%) of the total amount of the\n\ncontribution made during a taxable year, not to exceed the cap\n\namount established in paragraph 4 of subsection E of this section\n\nfor the taxable year in which the credit provided in this paragraph\n\nis claimed. The taxpayer shall provide evidence of the written\n\ncommitment to the Oklahoma Tax Commission at the time of filing the\n\nrefund claim; provided, if total credits claimed pursuant to this\n\nparagraph exceed the cap amount established pursuant to paragraph 4\n\nof subsection E of this section, the credit shall be equal to the\n\ntaxpayer's proportionate share of the cap for the taxable year, as\n\ndetermined pursuant to subsection I of this section.\n\n3. The credits authorized pursuant to the provisions of this\n\nsubsection shall be allocable to the partners, shareholders,\n\nmembers, or other equity owners of a taxpayer that is authorized to\n\nbe treated as a partnership for purposes of federal income tax\n\nreporting for the taxable year for which the tax credits authorized\n\nby this subsection are claimed on the applicable return, together\n\nwith required schedules, forms, or reports of the partners,\n\nshareholders, members, or other equity owners of the taxpayer. Tax\n\ncredits which are allocated to such equity owners shall only be\n\nlimited in amount for the income tax return of a natural person or\n\npersons based upon the limitation of the total credit amount to the\n\nentity from which the tax credits have been allocated and shall not\n\nbe limited to One Thousand Dollars ($1,000.00) for single\n\nindividuals or limited to Two Thousand Dollars ($2,000.00) for\n\nmarried persons filing a joint return.\n\n4. On or before April 30, 2024, and once every four (4) years\n\nthereafter, such eligible public school foundation and public school\n\ndistrict shall submit to the Oklahoma Tax Commission, the Governor,\n\nPresident Pro Tempore of the Senate, and the Speaker of the House of\n\nRepresentatives an audited financial statement for the organization\n\nalong with information detailing the benefits, successes, or\n\nfailures of the programs.\n\nE. Except as otherwise provided pursuant to subsection I of\n\nthis section:\n\n1. The total credits authorized pursuant to subsection B of\n\nthis section for all taxpayers for tax years 2017 through 2021 shall\n\nnot exceed Three Million Five Hundred Thousand Dollars\n\n($3,500,000.00) annually;\n\n2. The total credits authorized pursuant to subsection B of\n\nthis section for all taxpayers for tax years 2022 and subsequent tax\n\nyears shall not exceed Twenty-five Million Dollars ($25,000,000.00)\n\nannually;\n\n3. The total credits authorized pursuant to subsection C of\n\nthis section for all taxpayers for tax years 2017 through 2021 shall\n\nnot exceed One Million Five Hundred Thousand Dollars ($1,500,000.00)\n\nannually;\nauthorized pursuant to subsection B of\n\nthis section for all taxpayers for tax years 2022 and subsequent tax\n\nyears shall not exceed Twenty-five Million Dollars ($25,000,000.00)\n\nannually;\n\n3. The total credits authorized pursuant to subsection C of\n\nthis section for all taxpayers for tax years 2017 through 2021 shall\n\nnot exceed One Million Five Hundred Thousand Dollars ($1,500,000.00)\n\nannually;\n\n4. The total credits authorized pursuant to subsections C and D\n\nof this section for all taxpayers for tax year 2022 and subsequent\n\ntax years shall not exceed Twenty-five Million Dollars\n\n($25,000,000.00) annually. In addition to the cap amount prescribed\n\nby this paragraph, the credit amount shall also be limited to Two\n\nHundred Thousand Dollars ($200,000.00) of credits per public school\n\ndistrict annually; and\n\n5. The cap on total credits provided for in this subsection\n\nshall be allocated by the Tax Commission as provided in subsection I\n\nof this section.\n\nF. For credits claimed for eligible contributions made during\n\ntax year 2014 and thereafter, a credit shall not be allowed by the\n\nOklahoma Tax Commission for contributions made to a scholarship-\n\ngranting organization or an educational improvement grant\n\norganization if that organization's percentage of funds actually\n\nawarded is less than ninety percent (90%). For purposes of this\n\nsection, the \"percentage of funds actually awarded\" shall be\n\ndetermined by dividing the total amount of funds actually awarded as\n\neducational scholarships or educational improvement grants over the\n\nmost recent twenty-four (24) months by the total amount available to\n\naward as educational scholarships or educational improvement grants\n\nover the most recent twenty-four (24) months.\n\nG. Any tax credits which are earned by a taxpayer pursuant to\n\nthis section during the time period beginning August 26, 2011,\n\nthrough December 31, 2012, may not be claimed for any period prior\n\nto the taxable year beginning January 1, 2013. No credits which\n\naccrue during the time period beginning August 26, 2011, through\n\nDecember 31, 2012, may be used to file an amended tax return for any\n\ntaxable year prior to the taxable year beginning January 1, 2013.\n\nH. As used in this section:\n\n1. \"Eligible student\" means a child of school age who is\n\nlawfully present in the United States and who is a member of a\n\nhousehold in which the total annual income during the preceding tax\n\nyear does not exceed an amount equal to three hundred percent (300%)\n\nof the income standard used to qualify for a free or reduced-price\n\nschool lunch or who, during the immediately preceding school year,\n\nattended or, by virtue of the location of such student's place of\n\nresidence, was eligible to attend a public school in this state\n\nwhich has been identified for school improvement as determined by\n\nthe State Board of Education pursuant to the requirements of the No\n\nChild Left Behind Act of 2001, P.L. No. 107-110. Once a student has\n\nreceived an educational scholarship, as defined in paragraph 3 of\n\nthis subsection, the student and any siblings who are members of the\n\nsame household shall remain eligible until they graduate from high\n\nschool or reach twenty-one (21) years of age, whichever occurs\n\nfirst;\n\n2. \"Eligible special needs student\" means a child who has been\n\nprovided services under an Individualized Family Service Plan\n\nthrough the SoonerStart program and during transition was evaluated\n\nand determined to be eligible for school district services, a child\n\nof school age who has attended public school in our state with an\n\nindividualized education program pursuant to the Individuals With\n\nDisabilities Education Act, 20 U.S.C.A., Section 1400 et seq., or a\n\nchild who has been diagnosed by a clinical professional as having a\n\nsignificant disability that will affect learning and who has been\n\napproved by the board of a scholarship-granting organization;\nof school age who has attended public school in our state with an\n\nindividualized education program pursuant to the Individuals With\n\nDisabilities Education Act, 20 U.S.C.A., Section 1400 et seq., or a\n\nchild who has been diagnosed by a clinical professional as having a\n\nsignificant disability that will affect learning and who has been\n\napproved by the board of a scholarship-granting organization;\n\n3. \"Educational scholarships\" means:\n\na. scholarships to an eligible student of up to Five\n\nThousand Dollars ($5,000.00) or eighty percent (80%)\n\nof the statewide annual average per-pupil expenditure\n\nas determined by the National Center for Education\n\nStatistics, U.S. Department of Education, whichever is\n\ngreater, to cover all or part of the tuition, fees,\n\nand transportation costs of a qualified school which\n\nis accredited by the State Board of Education or an\n\naccrediting association approved by the Board pursuant\n\nto Section 3-104 of Title 70 of the Oklahoma Statutes,\n\nb. scholarships to an eligible student of up to Five\n\nThousand Dollars ($5,000.00) or eighty percent (80%)\n\nof the statewide annual average per-pupil expenditure\n\nas determined by the National Center for Education\n\nStatistics, U.S. Department of Education, whichever is\n\ngreater, to cover the educational costs of a qualified\n\nschool which does not charge tuition, which enrolls\n\nspecial populations of students, and which is\n\naccredited by the State Board of Education or an\n\naccrediting association approved by the Board pursuant\n\nto Section 3-104 of Title 70 of the Oklahoma Statutes,\n\nor\n\nc. scholarships to an eligible special needs student of\n\nup to Twenty-five Thousand Dollars ($25,000.00) to\n\ncover all or part of the tuition, fees, and\n\ntransportation costs of a qualified school for\n\neligible special needs students which is accredited by\n\nthe State Board of Education or an accrediting\n\nassociation approved by the Board pursuant to Section\n\n3-104 of Title 70 of the Oklahoma Statutes;\n\n4. \"Low-income eligible student\" means an eligible student or\n\neligible special needs student who qualifies for a free or reduced-\n\nprice lunch;\n\n5. \"Qualified school\" means an early childhood, elementary, or\n\nsecondary private school in this state including schools which\n\nprovide special educational programs for three-year-olds or\n\nprekindergarten educational programs for four-year-olds, which:\n\na. is accredited by the State Board of Education or an\n\naccrediting association approved by the Board pursuant\n\nto Section 3-104 of Title 70 of the Oklahoma Statutes,\n\nb. is in compliance with all applicable health and safety\n\nlaws and codes,\n\nc. has a stated policy against discrimination in\n\nadmissions on the basis of race, color, national\n\norigin, or disability, and\n\nd. ensures academic accountability to parents and\n\nguardians of students through regular progress\n\nreports;\n\n6. \"Qualified school for eligible special needs students\" means\n\nan early childhood, elementary, or secondary private school in a\n\ncounty in this state including schools which provide special\n\neducational programs for three-year-olds or prekindergarten\n\neducational programs for four-year-olds;\n\n7. \"Scholarship-granting organization\" means an organization\n\nwhich:\n\na. is a nonprofit entity exempt from taxation pursuant to\n\nthe provisions of the Internal Revenue Code, 26\n\nU.S.C., Section 501(c)(3),\n\nb. distributes periodic scholarship payments as checks\n\nmade out to an eligible student's or eligible special\n\nneeds student's parent or guardian and mailed to the\n\nqualified school where the student is enrolled,\n\nc. spends no more than ten percent (10%) of its annual\n\nrevenue on expenditures other than educational\n\nscholarships as defined in paragraph 3 of this\n\nsubsection,\n\nd. spends each year a portion of its expenditures on\n\neducational scholarships for low-income eligible\n\nstudents, as defined in paragraph 4 of this\nparent or guardian and mailed to the\n\nqualified school where the student is enrolled,\n\nc. spends no more than ten percent (10%) of its annual\n\nrevenue on expenditures other than educational\n\nscholarships as defined in paragraph 3 of this\n\nsubsection,\n\nd. spends each year a portion of its expenditures on\n\neducational scholarships for low-income eligible\n\nstudents, as defined in paragraph 4 of this\n\nsubsection, in an amount equal to or greater than the\n\npercentage of low-income eligible students in the\n\nstate,\n\ne. ensures that scholarships are portable during the\n\nschool year and can be used at any qualified school\n\nthat accepts the eligible student or at any qualified\n\nschool for special needs students that accepts the\n\neligible special needs student,\n\nf. registers with the Oklahoma Tax Commission as a\n\nscholarship-granting organization, and\n\ng. has policies in place to:\n\n(1) carry out criminal background checks on all\n\nemployees and board members to ensure that no\n\nindividual is involved with the organization who\n\nmight reasonably pose a risk to the appropriate\n\nuse of contributed funds, and\n\n(2) maintain full and accurate records with respect\n\nto the receipt of contributions and expenditures\n\nof those contributions and supply such records\n\nand any other documentation required by the Tax\n\nCommission to demonstrate financial\n\naccountability;\n\n8. \"Annual revenue\" means the total amount or value of\n\ncontributions received by an organization from taxpayers awarded\n\ncredits during the organization's fiscal year and all amounts earned\n\nfrom interest or investments;\n\n9. \"Public school\" means public schools as defined in Section\n\n1-106 of Title 70 of the Oklahoma Statutes;\n\n10. \"Eligible public school district\" means any public school;\n\n11. \"Early childhood education program\" means a special\n\neducational program for eligible special needs students who are\n\nthree (3) years of age or a prekindergarten educational program\n\nprovided to children who are at least four (4) years of age but not\n\nmore than five (5) years of age on or before September 1;\n\n12. \"Innovative educational program\" means an advanced academic\n\nor academic improvement program that is not part of the regular\n\ncoursework of a public school but that enhances the curriculum or\n\nacademic program of the school or provides early childhood education\n\nprograms to students;\n\n13. \"Educational improvement grant\" means a grant to an\n\neligible public school to implement an innovative educational\n\nprogram for students including the ability for multiple public\n\nschools to make an application and be awarded a grant to jointly\n\nprovide an innovative educational program;\n\n14. \"Educational improvement grant organization\" means an\n\norganization which:\n\na. is a nonprofit entity exempt from taxation pursuant to\n\nthe provisions of the Internal Revenue Code, 26\n\nU.S.C., Section 501(c)(3), and\n\nb. contributes at least ninety percent (90%) of its\n\nannual receipts as grants to eligible schools for\n\ninnovative educational programs. For purposes of this\n\nsubparagraph, an educational improvement grant\n\norganization contributes its annual cash receipts when\n\nit expends or otherwise irrevocably encumbers those\n\nfunds for expenditure during the then current fiscal\n\nyear of the organization or during the next succeeding\n\nfiscal year of the organization; and\n\n15. \"Eligible public school foundation\" means a nonprofit\n\nentity formed pursuant to the laws of this state and is exempt from\n\nfederal income taxation pursuant to either Section 501(c)(3) or\n\nSection 509(a) of the Internal Revenue Code of 1986, as amended.\n\nEach public school foundation must be approved by the local board of\n\neducation prior to accepting qualifying donations.\n\nI. Total credits authorized by this section shall be allocated\n\nas follows:\n\n1. By January 10 of the year immediately following each\ns exempt from\n\nfederal income taxation pursuant to either Section 501(c)(3) or\n\nSection 509(a) of the Internal Revenue Code of 1986, as amended.\n\nEach public school foundation must be approved by the local board of\n\neducation prior to accepting qualifying donations.\n\nI. Total credits authorized by this section shall be allocated\n\nas follows:\n\n1. By January 10 of the year immediately following each\n\ncalendar year, a scholarship-granting organization, an educational\n\nimprovement grant organization, an eligible public school\n\nfoundation, or public school district which accepts contributions\n\npursuant to this section shall provide electronically to the Tax\n\nCommission information on each contribution accepted during such\n\ntaxable year. At least once each taxable year, the entity making\n\nthe report shall notify each contributor that Oklahoma law provides\n\nfor a total, statewide cap on the amount of income tax credits\n\nallowed annually;\n\n2. a. If the Tax Commission determines the total combined\n\ncredits claimed for contributions made to scholarship-\n\ngranting organizations during the most recently\n\ncompleted calendar year by all taxpayers are in excess\n\nof the statewide cap amount provided in paragraphs 1\n\nand 2 of subsection E of this section, the Tax\n\nCommission shall first allocate any amount of credits\n\nnot claimed for contributions made to organizations\n\nauthorized pursuant to subsections C and D of this\n\nsection, then shall determine the percentage of the\n\ncontribution which establishes the proportionate share\n\nof the credit which may be claimed by any taxpayer so\n\nthat the total maximum credits authorized by this\n\nsection are not exceeded.\n\nb. If the Tax Commission determines the total combined\n\ncredits claimed for contributions made to\n\norganizations authorized pursuant to subsections C and\n\nD of this section during the most recently completed\n\ncalendar year by all taxpayers are in excess of the\n\nstatewide cap amount provided in paragraphs 3 and 4 of\n\nsubsection E of this section, the Tax Commission shall\n\nfirst allocate any amount of credits not claimed for\n\ncontributions made to scholarship-granting\n\norganizations, then shall determine the percentage of\n\nthe contribution which establishes the proportionate\n\nshare of the credit which may be claimed by any\n\ntaxpayer so that the maximum credits authorized by\n\nthis section are not exceeded.\n\nc. If the Tax Commission determines the total combined\n\ncredits claimed for contributions made to\n\norganizations authorized pursuant to subsections C and\n\nD of this section during the most recently completed\n\ncalendar year by all taxpayers are in excess of the\n\nper public school district cap pursuant to paragraph 4\n\nof subsection E of this section, the Tax Commission\n\nshall first allocate any amount of credits not claimed\n\nfor contributions made to other organizations\n\nauthorized pursuant to subsections C and D of this\n\nsection, then shall determine the percentage of the\n\ncontribution which establishes the proportionate share\n\nof the credit which may be claimed by any taxpayer so\n\nthat the maximum credits authorized by this section\n\nare not exceeded.\n\nd. Beginning for tax year 2016, credits earned, but not\n\nallowed due to the application of statewide caps\n\nprovided in subsection E of this section will be\n\nconsidered suspended and authorized to be used in the\n\nnext immediate tax year and applied to the next year's\n\nstatewide cap; and\n\n3. The Tax Commission shall publish the percentage of the\n\ncontribution which may be claimed as a credit by contributors for\n\nthe most recently completed calendar year on the Tax Commission\n\nwebsite no later than February 15 of each calendar year for\n\ncontributions made the previous year. Each organization authorized\n\npursuant to subsections B, C, and D of this section shall notify\n\ncontributors of that amount annually.\n\nJ. No tax credits authorized by this section shall be used to\nlaimed as a credit by contributors for\n\nthe most recently completed calendar year on the Tax Commission\n\nwebsite no later than February 15 of each calendar year for\n\ncontributions made the previous year. Each organization authorized\n\npursuant to subsections B, C, and D of this section shall notify\n\ncontributors of that amount annually.\n\nJ. No tax credits authorized by this section shall be used to\n\nreduce the tax liability of the taxpayer to less than zero (0).\n\nK. Any credits authorized by this section allowed but not used\n\nin any tax year may be carried over, in order, to each of the three\n\n(3) years following the year of qualification.\n\nL. 1. In order to qualify under this section, each\n\norganization authorized pursuant to subsections C and D of this\n\nsection shall submit an application with information to the Oklahoma\n\nTax Commission on a form prescribed by the Tax Commission that:\n\na. enables the Tax Commission to confirm that the\n\norganization is a nonprofit entity exempt from\n\ntaxation pursuant to the provisions of the Internal\n\nRevenue Code, 26 U.S.C., Section 501(c)(3) or Section\n\n509(a), and\n\nb. describes the proposed innovative educational program\n\nor programs supported by the organization.\n\n2. The Tax Commission shall review and approve or disapprove\n\nthe application, in consultation with the State Department of\n\nEducation.\n\n3. In order to maintain eligibility under this section, an\n\norganization authorized pursuant to subsections C and D of this\n\nsection shall annually report the following information to the Tax\n\nCommission and publish on its website by September 1 of each year:\n\na. the name of the innovative educational program or\n\nprograms and the total amount of the grant or grants\n\nmade to those programs during the immediately\n\npreceding school year,\n\nb. a description of how each grant was utilized during\n\nthe immediately preceding school year and a\n\ndescription of any demonstrated or expected innovative\n\neducational improvements,\n\nc. the names of the public school and school districts\n\nwhere innovative educational programs that received\n\ngrants during the immediately preceding school year\n\nwere implemented,\n\nd. where the organization collects information on a\n\ncounty-by-county basis, and\n\ne. the total number and total amount of grants made\n\nduring the immediately preceding school year for\n\ninnovative educational programs at public school by\n\neach county in which the organization made grants.\n\n4. The information required under paragraph 3 of this\n\nsubsection shall be submitted on a form provided by the Tax\n\nCommission. No later than May 1 of each year, the Tax Commission\n\nshall annually distribute sample forms together with the forms on\n\nwhich the reports are required to be made to each approved\n\norganization.\n\n5. The Tax Commission shall not require any other information\n\nbe provided by an organization, except as expressly authorized in\n\nthis section.\n\nM. 1. Beginning in 2023 for the 2022-2023 academic year, in\n\norder to maintain registration, a scholarship-granting organization\n\nshall annually report to the Tax Commission by September 1 of each\n\nyear the following information regarding the educational\n\nscholarships funded by the organization in the previous academic\n\nyear:\n\na. the name and address of the scholarship-granting\n\norganization,\n\nb. the names of the qualifying schools that received\n\nfunding for educational scholarships, the total amount\n\nof funds paid to each qualifying school, and the total\n\nnumber of scholarship recipients enrolled in each\n\nqualifying school,\n\nc. the total number and total dollar amount of\n\ncontributions received during the previous academic\n\nyear,\n\nd. the total number and total dollar amount of\n\neducational scholarships awarded and funded during the\n\nprevious academic year,\n\ne. the total number, total dollar amount, and percentage\nh qualifying school, and the total\n\nnumber of scholarship recipients enrolled in each\n\nqualifying school,\n\nc. the total number and total dollar amount of\n\ncontributions received during the previous academic\n\nyear,\n\nd. the total number and total dollar amount of\n\neducational scholarships awarded and funded during the\n\nprevious academic year,\n\ne. the total number, total dollar amount, and percentage\n\nof educational scholarships awarded and funded during\n\nthe previous academic year disaggregated into the\n\nfollowing categories:\n\n(1) low-income eligible students,\n\n(2) students who during the immediately preceding\n\nschool year attended or who were eligible by\n\nvirtue of the residence of the student to attend\n\na public school in the state which was identified\n\nfor school improvement by the State Board of\n\nEducation,\n\n(3) eligible special needs students, and\n\n(4) students who were first-time recipients of a\n\nscholarship including information about the type\n\nof public or private school the student was\n\nenrolled in during the entire previous academic\n\nyear,\n\nf. the percentage of annual revenue received by the\n\norganization from donations which qualify for tax\n\ncredits pursuant to this section which was not\n\nexpended on scholarships,\n\ng. disaggregated data reported under this subsection\n\nshall be redacted if reporting would allow for\n\nidentification of specific children, and shall be\n\nreported in accordance with the Student Data\n\nAccessibility, Transparency and Accountability Act of\n\n2013, division b of subparagraph 2 of subsection C of\n\nSection 3-168 of Title 70 of the Oklahoma Statutes,\n\nand the Family Educational Rights and Privacy Act of\n\n1974 (FERPA), 20 U.S.C., Section 1232g, and\n\nh. the percentage of the total amount of education\n\nscholarship expenditures spent on low-income eligible\n\nstudents.\n\n2. The Tax Commission shall make available on its website:\n\na. the information submitted by the scholarship-granting\n\norganization pursuant to paragraph 1 of this\n\nsubsection,\n\nb. a list of participating schools, and\n\nc. all other application information submitted to the Tax\n\nCommission by a scholarship-granting organization,\n\nexcept that information which would violate the\n\nprivacy of an individual.\n\n3. A scholarship-granting organization shall annually submit\n\nverification to the Tax Commission that the organization still meets\n\nthe criteria set forth in paragraph 7 of subsection H of this\n\nsection.\n\nN. Contributions made pursuant to subsections B, C, and D of\n\nthis section shall not be used by the Legislature to reduce the\n\namount appropriated for the financial support of public schools.\n\nO. In consultation with the State Department of Education, the\n\nTax Commission shall promulgate rules necessary to implement the\n\nOklahoma Equal Opportunity Education Scholarship Act. The rules\n\nshall include procedures for the registration of a scholarship-\n\ngranting organization, an educational improvement grant\n\norganization, a public school foundation, or public school district\n\nfor purposes of determining if the organization meets the\n\nrequirements of the Oklahoma Equal Opportunity Education Scholarship\n\nAct or for the revocation of the registration of an organization, if\n\napplicable, and for notice as required in subsection I of this\n\nsection.","path":["OK Code","Title 68"],"source_url":"https://www.oklegislature.gov/OK_Statutes/CompleteTitles/os68.pdf","current_through":"2026-08-14","vintage":"open-us-law v2026.08, retrieved 2026-09-14","retrieved_at":"2026-09-14T18:32:36Z","sha256":"aea912682b26065239676698505543a4faf1cbea53462fb4624bb9a3e6ab08ca","source_id":"us-ok","stale":false,"prev":"us-ok/okla.-stat.-tit.-68-68-2357.205","next":"us-ok/okla.-stat.-tit.-68-68-2357.22"},"notice":"GroundRules: Original legal text. Not legal advice."}