House OKs repeal of income tax cut trigger
OKLAHOMA CITY - The Oklahoma House has passed legislation to repeal the trigger that would lead to a cut in the state's individual income tax rate.
The House approved the measure Wednesday on 75-12 vote and sent the bill to the state Senate for final passage.
Legislation passed in 2014 provided a mechanism to reduce Oklahoma's top tax rate from 5 percent to 4.85 percent when tax collections increase by about $100 million annually, enough to cover the cost of the tax cut. Since then, state revenues have plummeted and the state faces a budget hole of $878 million next year.
State finance officials have encouraged lawmakers to repeal the income tax cut until state revenues stabilize. Officials say the cut would cost about $97 million a year.