Oklahoma legislation · 2026 Regular Session
Oklahoma SB102: Income tax; excluding certain compensation to certain nonresidents; prohibiting requirement of employers to withhold taxes from certain compensation. Effective date.
Status: In committee, February 23, 2026
What the bill says
An Act relating to income tax; amending 68 O.S. 2021, Section 2362, which relates to nonresident taxable income; defining terms; excluding certain compensation of certain nonresidents; amending O.S. 2021, Sections 2385.2 and 2385.3, as amended by Section 11, Chapter 113, O.S.L. 2023 (68 O.S. Supp. 2025, Section 2385.3), which relate to withholding; prohibiting requirement of employers to withhold taxes from certain compensation; prohibiting imposition of penalty and interest if certain conditions are met; updating statutory language; updating statutory references…
From the engrossed text, February 23, 2026:
An Act relating to income tax; amending 68 O.S. 2021, Section 2362, which relates to nonresident taxable income; defining terms; excluding certain compensation of certain nonresidents; amending O.S. 2021, Sections 2385.2 and 2385.3, as amended by Section 11, Chapter 113, O.S.L. 2023 (68 O.S. Supp. 2025, Section 2385.3), which relate to withholding; prohibiting requirement of employers to withhold taxes from certain compensation; prohibiting imposition of penalty and interest if certain conditions are met; updating statutory language; updating statutory references; and providing an effective date. BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: SECTION 1. AMENDATORY 68 O.S. 2021, Section 2362, is amended to read as follows: Section 2362. A. As used in this section: Req. No. 2408 Page 1. "Professional athlete" means the same as the term is defined in 8 U.S.C., Section 1154(i)(2); 2. "Professional entertainer" means a person who performs services in the professional performing arts for compensation on a per-event basis; and 3. "Public figure" means a person of prominence who performs services at discrete events, including, but not limited to, speeches, public appearances, or similar events, for compensation on a per-event basis. The term does not include a member of a board of directors or similar governing body of a business. B. For tax years beginning on or after January 1, 1994 year …