Oklahoma § 46-316 - Deduction from taxable income – Exclusion from taxable

§ 46-316. Deduction from taxable income – Exclusion from taxable

income.

A. 1. Except as otherwise provided in and subject to the

limitations under this act, there shall be deducted from taxable

income of an account holder for Oklahoma income tax purposes the

amount contributed to a home buyer savings account during each tax

year, subject to the limitations of subsection B of this section,

not to exceed Five Thousand Dollars ($5,000.00) for an account

holder who files an individual tax return or Ten Thousand Dollars

($10,000.00) for joint account holders who file a joint tax return.

2. Except as otherwise provided in this act and subject to the

limitations under this section, there shall be excluded from taxable

income of an account holder for Oklahoma income tax purposes the

amount of earnings, including interest and other income on the

principal, from the home buyer savings account during the tax year.

3. An account holder may claim the deduction and exclusion

under this subsection:

a.

for an aggregate total amount of principal and

earnings, not to exceed Fifty Thousand Dollars

($50,000.00), and

b.

only if the principal and earnings of the account

remain in the account until a withdrawal is made for

eligible costs related to the purchase of a singlefamily residence by a qualified beneficiary, except as

otherwise provided in subsection B of Section 4 of

this act.

Oklahoma Statutes - Title 46. Mortgages

B. A person other than the account holder who deposits funds in

a home buyer savings account shall not be entitled to the deduction

and exclusion provided for under subsection A of this section.

C.

The deduction and exclusion from taxable income provided

for by this act shall apply to any alternative bases for calculating

taxable income for Oklahoma income tax purposes.

D. Any funds in a home buyer savings account not expended on

eligible costs by December 31 of the last year of a fifteen-year

period shall thereafter be included in the account holder's taxable

income.

Added by Laws 2019, c. 186, § 6, eff. Jan. 1, 2020.