{"data":{"id":"us-ok/okla.-stat.-tit.-68-68-2357.74","jurisdiction":"us-ok","citation":"Okla. Stat. tit. 68, § 68-2357.74","heading":"Credit for investment made in rural small business","body":"ventures in conjunction with investment made by qualified rural\n\nsmall business capital company.\n\nA. Except as provided in Section 4 of this act, for taxable\n\nyears beginning after December 31, 2000, 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 rural small business ventures in conjunction with\n\ninvestment in such ventures made by a qualified rural small business\n\ncapital company. No amount of a qualified investment made in\n\nconjunction with investment made by a qualified rural small business\n\ncapital company which has not been invested in one or more Oklahoma\n\nrural small business ventures prior to the effective date of the\n\nmoratorium provided for in Section 4 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 rural small business capital company in one or more\n\nOklahoma rural small business ventures during the period of the\n\nmoratorium pursuant to Section 4 of this act shall be eligible for\n\nany credit otherwise authorized pursuant to this section.\n\nB. The credit provided for in this section shall be thirty\n\npercent (30%) of the qualified investment made in Oklahoma rural\n\nsmall business ventures in conjunction with qualified investment in\n\nsuch ventures made by a qualified rural small business capital\n\ncompany and shall be allowed for the taxable year during which the\n\nqualified investment is made in an Oklahoma rural small business\n\nventure. If the tax credit allowed pursuant to subsection A of this\n\nsection exceeds the amount of taxes due or if there are no state\n\ntaxes due of the taxpayer, the amount of the claim not used as an\n\noffset against the taxes of a taxable year may be carried forward\n\nfor a period not to exceed three (3) taxable years. To qualify for\n\nthe credit authorized by this section, a qualified investment shall\n\nbe:\n\n1. Made by a shareholder or partner of a qualified rural small\n\nbusiness capital company that has made a qualified investment in an\n\nOklahoma rural small business venture;\n\n2. Invested in the purchase of equity or near-equity in an\n\nOklahoma rural small business venture;\n\n3. Made under the same terms and conditions as the qualified\n\ninvestment made by the qualified rural small business capital\n\ncompany; 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 rural small business\n\ncapital company, or\n\nb. two hundred percent (200%) of the qualified investment\n\nmade by the qualified rural small business capital\n\ncompany in the Oklahoma rural small business venture.\n\nC. No taxpayer may claim the credit provided for in this\n\nsection for qualified investment made prior to January 1, 2001.\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 2357.62 or 2357.63 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 also 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; 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 also 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 Rural Venture Capital Formation\n\nIncentive Act, “pass-through entity” means a corporation that for\n\nthe applicable tax years is treated as an S corporation under the\n\nInternal Revenue Code, general partnership, limited partnership,\n\nlimited liability partnership, trust, or limited liability company\n\nthat for the applicable tax year is not taxed as a corporation for\n\nfederal 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":"671c99310ab4a4ac07453044f8f6d651f74b5c2450f45538dfe33c88ceaaf06c","source_id":"us-ok","stale":false,"prev":"us-ok/okla.-stat.-tit.-68-68-2357.73","next":"us-ok/okla.-stat.-tit.-68-68-2357.74a"},"notice":"GroundRules: Original legal text. Not legal advice."}