{"data":{"id":"us-ok/okla.-stat.-tit.-68-68-2357.63","jurisdiction":"us-ok","citation":"Okla. Stat. tit. 68, § 68-2357.63","heading":"Credit for qualified investment made in Oklahoma small","body":"business ventures in conjunction with investment made by qualified\n\nsmall business capital company.\n\nA. Except as provided in Section 1 of this act, for taxable\n\nyears beginning after December 31, 1997, and before January 1, 2012,\n\nthere shall be allowed a credit against the tax imposed by Section\n\n2355 or, effective January 1, 2001, Section 2370 of this title or,\n\neffective July 1, 2001, against the tax imposed by Section 624 or\n\n628 of Title 36 of the Oklahoma Statutes, for qualified investment\n\nmade in Oklahoma small business ventures in conjunction with\n\ninvestment in such ventures made by a qualified small business\n\ncapital company. No amount of a qualified investment made in\n\nconjunction with investment made by a qualified small business\n\ncapital company which has not been invested in one or more Oklahoma\n\nsmall business ventures prior to the effective date of the\n\nmoratorium provided for in Section 1 of this act shall be eligible\n\nfor any credit otherwise authorized pursuant to this section. No\n\nqualified investment made in conjunction with investment made by a\n\nqualified small business capital company in one or more Oklahoma\n\nsmall business ventures during the period of the moratorium pursuant\n\nto Section 1 of this act shall be eligible for any credit otherwise\n\nauthorized pursuant to this section.\n\nB. The credit provided for in this section shall be twenty\n\npercent (20%) of the qualified investment made in Oklahoma small\n\nbusiness ventures in conjunction with qualified investment in such\n\nventures made by a qualified small business capital company and\n\nshall be allowed for the taxable year during which the qualified\n\ninvestment is made in an Oklahoma small business venture. If the\n\ntax credit allowed pursuant to subsection A of this section exceeds\n\nthe amount of taxes due or if there are no state taxes due of the\n\ntaxpayer, the amount of the claim not used as an offset against the\n\ntaxes of a taxable year may be carried forward for a period not to\n\nexceed three (3) taxable years. To qualify for the credit\n\nauthorized by this section, a qualified investment shall be:\n\n1. Made by a shareholder, member or partner of a qualified\n\nsmall business capital company that has made a qualified investment\n\nin an Oklahoma small business venture;\n\n2. Invested in the purchase of equity or near-equity in an\n\nOklahoma small business venture;\n\n3. Made under the same terms and conditions as the qualified\n\ninvestment made by the qualified small business capital company; and\n\n4. Limited to the lesser of:\n\na. two hundred percent (200%) of any qualified investment\n\nby the taxpayer in the qualified small business\n\ncapital company, or\n\nb. two hundred percent (200%) of the qualified investment\n\nmade by the qualified small business capital company\n\nin the Oklahoma small business venture.\n\nC. No taxpayer may claim the credit provided for in this\n\nsection for a qualified investment made prior to January 1, 1998.\n\nD. No taxpayer may claim the credit authorized by this section\n\nfor the same qualified investment amount for which any credit is\n\nclaimed pursuant to either Section 2357.73 or 2357.74 of this title.\n\nE. If a pass-through entity is entitled to a credit under this\n\nsection, the pass-through entity shall allocate such credit to one\n\nor more of the shareholders, partners or members of the pass-through\n\nentity; provided, the total of all credits allocated shall not\n\nexceed the amount of the credit to which the pass-through entity is\n\nentitled. The credit may only be claimed for funds borrowed by the\n\npass-through entity to make a qualified investment if a shareholder,\n\npartner or member to whom the credit is allocated has an unlimited\n\nand continuing legal obligation to repay the borrowed funds but the\n\nallocation may not exceed such shareholder’s, partner’s or member’s\nitled. The credit may only be claimed for funds borrowed by the\n\npass-through entity to make a qualified investment if a shareholder,\n\npartner or member to whom the credit is allocated has an unlimited\n\nand continuing legal obligation to repay the borrowed funds but the\n\nallocation may not exceed such shareholder’s, partner’s or member’s\n\npro-rata equity share of the pass-through entity even if the\n\ntaxpayer’s legal obligation to repay the borrowed funds is in excess\n\nof such amount. For purposes of the Oklahoma Small Business Capital\n\nFormation Incentive Act, “pass-through entity” means a corporation\n\nthat for the applicable tax years is treated as an S corporation\n\nunder the Internal Revenue Code, general partnership, limited\n\npartnership, limited liability partnership, trust, or limited\n\nliability company that for the applicable tax year is not taxed as a\n\ncorporation for federal income tax purposes.","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":"796272a2e70588cf97d84cb8194a5c926ce567544c7cc2049b6de2873056c651","source_id":"us-ok","stale":false,"prev":"us-ok/okla.-stat.-tit.-68-68-2357.62","next":"us-ok/okla.-stat.-tit.-68-68-2357.63a"},"notice":"GroundRules: Original legal text. Not legal advice."}