Oklahoma HB2968: Revenue and taxation; Oklahoma taxable income; Oklahoma adjusted gross income; effective date.

What the bill says

An Act relating to revenue and taxation; amending O.S. 2021, Section 2358, as last amended by Section 155, Chapter 452, O.S.L. 2024 (68 O.S. Supp. 2025, Section 2358), which relates to adjustments to arrive at Oklahoma taxable income and Oklahoma adjusted gross income; increasing the amount of retirement benefits exempt from taxable income; increasing certain combined total exemption cap; and providing an effective date.

From the introduced text, January 5, 2026:

An Act relating to revenue and taxation; amending O.S. 2021, Section 2358, as last amended by Section 155, Chapter 452, O.S.L. 2024 (68 O.S. Supp. 2025, Section 2358), which relates to adjustments to arrive at Oklahoma taxable income and Oklahoma adjusted gross income; increasing the amount of retirement benefits exempt from taxable income; increasing certain combined total exemption cap; and providing an effective date. BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: SECTION 1. AMENDATORY 68 O.S. 2021, Section 2358, as last amended by Section 155, Chapter 452, O.S.L. 2024 (68 O.S. Supp. 2025, Section 2358), is amended to read as follows: Section 2358. For all tax years beginning after December 31, 1981, taxable income and adjusted gross income shall be adjusted to arrive at Oklahoma taxable income and Oklahoma adjusted gross income as required by this section. Req. No. 13983 Page A. The taxable income of any taxpayer shall be adjusted to arrive at Oklahoma taxable income for corporations and Oklahoma adjusted gross income for individuals, as follows: 1. There shall be added interest income on obligations of any state or political subdivision thereto which is not otherwise exempted pursuant to other laws of this state, to the extent that such interest is not included in taxable income and adjusted gross income. 2. There shall be …

Read the full official text

Sponsors

• Jim Grego (R, HD-017) · primary sponsor

Latest actions

1. February 19, 2026: Recommendation to the full committee; Do Pass Appropriations and Budget Finance Subcommittee
2. February 3, 2026: Referred to Appropriations and Budget Finance Subcommittee
3. February 3, 2026: Second Reading referred to Appropriations and Budget
4. February 2, 2026: Authored by Representative Grego
5. February 2, 2026: First Reading

Votes

• Floor Vote (February 18, 2026): 9 yea, 1 nay, passed

Common questions

What is HB2968?

HB2968 is a bill in the Oklahoma Legislature (2026 Regular Session): Revenue and taxation; Oklahoma taxable income; Oklahoma adjusted gross income; effective date.

What does HB2968 do?

In its own words: An Act relating to revenue and taxation; amending O.S. 2021, Section 2358, as last amended by Section 155, Chapter 452, O.S.L. 2024 (68 O.S. Supp. 2025, Section 2358), which relates to adjustments to arrive at Oklahoma taxable income and Oklahoma adjusted gross income; increasing the amount of retirement benefits exempt from taxable income; increasing certain combined total exemption cap; and providing an effective date.

What is the status of HB2968?

In committee as of February 19, 2026. Latest action: Recommendation to the full committee; Do Pass Appropriations and Budget Finance Subcommittee (February 19, 2026).

Who sponsored HB2968?

Jim Grego (R, HD-017).

Where is the official record for HB2968?

On the Oklahoma Legislature website: https://www.oklegislature.gov/BillInfo.aspx?Bill=HB2968&Session=2600