SB1438 Summary

• Creates the "Oklahoma Affordable Housing Tax Credit" for qualified low-income housing projects placed in service after July 1, 2015, in counties with populations under 150,000.

• State tax credits equal the amount of federal low-income housing tax credits, with total allocations capped at $4,000,000 annually: $2,000,000 for projects placed in service before July 1, 2016; $1,500,000 for projects placed July 1, 2016 through December 31, 2016; and $3,000,000 for projects placed in service January 1, 2017 and thereafter.

• Taxpayers may claim credits for tax years beginning January 1, 2016, and carry forward unused credits to the five subsequent taxable years.

• Credits may be allocated among partners, members, or shareholders and can be assigned; credits cannot reduce tax liability below zero and must be recaptured proportionally if federal credits are recaptured.

• Bill becomes effective July 1, 2016, with an emergency clause for immediate effect upon passage and approval.