OK HB1200

For taxable years beginning on or after January 1, 2026, most corporations must use single sales factor apportionment (100% sales) rather than the traditional three-factor average of property, payroll, and sales to calculate Oklahoma taxable income

Qualifying corporations with cumulative investments of $100 million or more over three years (reduced from $200 million) may elect either single sales factor apportionment or the three-factor method with equal weighting

The investment threshold date for qualifying corporations is updated from July 1, 1997 to January 1, 2018, and qualifying investments now explicitly include intangible drilling costs, railroad track structure expenditures, and property received through corporate liquidations

The bill amends 68 O.S. 2021, Section 2358 and becomes effective November 1, 2025