Oklahoma Business Incentives and Tax Information Guide 2006

Excerpts from Oklahoma Department of Commerce Tax Guide

Investment/New Jobs Income Tax Credit

For manufacturers

May be as high as 10% of investment or $5,000 per employee

DOUBLES as Enterprise Zones

All of Tillman and southern half of Cotton are Enterprise Zones

Former Indian Lands—FEDERAL

All of Comanche, Cotton & Tillman Counties

5yr—3yr: autos, computers, copiers, furniture, gas pump canopies, breeding stock

7yr—4yr: desks, file cabinets, agriculture machinery

10yr—6yr: fruit & nut plants, single-purpose agriculture or horticulture buildings

15yr—9yr: fuel retailers, restaurant building improvements

20yr—12yr: farm buildings

Non-residential real property (39yr)—22yr: COMMERCIAL BUILDINGS

20% of $20,000 wage & health benefits = $4,000 per employee per year

Tax Credit for Provision of Childcare

Recycling, Reuse and Source Reduction Incentive Act

SBA Guarantee Fee Tax Credit (for borrower)

Tourism—Sales/Income Tax Credit

For projects that result in more tourists to Oklahoma

Incentives for outside investors

New Markets Tax Credits—Federal 39%

Rural Small Business Capital Formation Tax Credit—Oklahoma 30%

Tax Credit for Banks Participating in the Oklahoma Rural Economic Development Loan Program (5% of new annual payroll)

Oklahoma Rural Venture Capital Formation Incentive Act—Investors receive a 30% credit which can be used against 4 different FEDERAL taxes

Oklahoma Finance Authority—for certain recreational/tourism facilities

Rural Economic Development Loan Program

Small Business Linked Deposit Program—provides below-market interest rates through local financing sources

Enterprise Zones—all of Cotton & Tillman Counties

Double Investment/New Jobs Tax Credit

Loans may be made available through enterprise district loan funds