OK HB1885

Increases the earned income tax credit (EITC) from 5% to 15% of the federal EITC for tax years beginning after December 31, 2011, but limits eligibility to individuals with income less than $35,000.

Creates a new deduction for Oklahoma residents' unreimbursed health care expenses beginning in 2012, including inpatient hospital care (capped at $50,000/year), doctor visits, prescription medications (capped at $2,000/year), and nursing/home health care (capped at $20,000/year each).

Modifies Section 2358 of the Oklahoma Income Tax Act to establish the health care expense deduction framework and adjust related tax provisions.

Makes the increased EITC and new health care deduction effective January 1, 2012.