SB 85 - Oklahoma College Degree Encouragement Act Summary

• Creates an income tax credit for eligible businesses (corporations, partnerships, sole proprietorships, LLCs) equal to 100% of tuition payments for employees obtaining bachelor's degrees and 70% for advanced degrees.

• Allows 100% tax credit for donations to the Oklahoma College Degree Encouragement Act Endowment Fund and 70-100% credit for commitments to higher education scholarship funds serving low-income families.

• Limits individual taxpayer credits to $100,000 per year and total statewide credits to $25,000,000 per year, with Oklahoma Tax Commission administering applications on a first-come, first-served basis.

• Permits unused credits to carry forward up to four additional tax years following the year of qualification.

• Establishes the Oklahoma College Degree Encouragement Act Endowment Fund with 50% of donations directed to Oklahoma Higher Learning Access Trust Fund and 50% to Oklahoma Tuition Equalization Grant Trust Fund; effective January 1, 2012.