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STATE OF OKLAHOMA
1st Session of the 59th Legislature (2023)
SENATE BILL 1071 By: Montgomery
AS INTRODUCED
An Act relating to income tax; providing exemption
for certain hydrogen manufacturing facilities;
providing period for eligibility; stating
qualifications; requiring the Oklahoma Tax Commission
to determine eligibility on an annual basis;
requiring the Commission to provide application;
authorizing the Commission to re quire certain
information; providing for codification; and
providing an effective date.
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
SECTION 1. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Sec tion 2357.91 of Title 68, unless
there is created a duplicati on in numbering, reads as follows:
A. For tax years 2024 through 2034, revenues generated from the
operation of a newly constructed establishment in this state placed
in service after the effective date of this act, primarily engaged
in the manufacture of hydrogen classified in the NAICS Manual under
U.S. Industry No. 325120 , shall be exempt from the tax imp osed by
Section 2355 of Title 68 of the Oklahoma Statutes for the first five
(5) years of operations.
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B. To qualify for the exemption provided in subs ection A of
this section, an establishment sha ll meet the following
requirements:
1. The natural gas used in the production of the hydrogen shall
be produced in this state ; and
2. Payment of wages or salaries at a wage that equals or
exceeds the average wage requirements in the Oklahoma Quality Jobs
Program Act, Section 3601 et seq. of Title 68 of the Oklahoma
Statutes.
C. Eligibility for an establishment pursuant to this section
for each tax year shall be determined by the Oklahoma Tax
Commission, upon the annual filing of an application provided by the
Commission stating that the establishment qualifies and contai ning
information as may be required by Commission.
SECTION 2. This act shall become effective November 1, 2023.
59-1-657 QD 1/19/2023 1:35:22 PM