Oklahoma § 74-5064.7 - Incentives for inventors and businesses
Full text of Oklahoma Oklahoma Statutes § 74-5064.7 — Incentives for inventors and businesses, with citation guidance and answers to common questions.
§ 74-5064.7. Incentives for inventors and businesses
A. The following incentives shall be available to inventors for
products developed and manufactured in this state and to instate
manufacturers of said products; provided, to qualify for the
incentives, the product shall be patented or have patent pending
pursuant to federal law and shall be registered with the Oklahoma
Center for the Advancement of Science and Technology (OCAST):
1. Royalty earned by an inventor from a product developed and
manufactured in this state shall be exempt from state income tax for
a period of seven (7) years from January 1 of the first year in
which such royalty is received as long as the manufacturer remains
in the state; and
2. An instate manufacturer of a product developed in this state
by an inventor shall be eligible for a tax credit, as provided for
in Section 2357.4 of Title 68 of the Oklahoma Statutes. In addition
such manufacturer may exclude from Oklahoma taxable income, or in
the case of an individual, the Oklahoma adjusted gross income,
sixty-five percent (65%) of the cost of depreciable property
purchased and utilized directly in manufacturing the product. The
maximum exclusion shall not exceed Five Hundred Thousand Dollars
($500,000.00). If the exclusion allowed by this paragraph exceeds
the Oklahoma taxable income, or in the case of an individual, the
Oklahoma adjusted gross income, the amount of the exclusion that is
in excess of such income may be carried forward as an exclusion
against subsequent Oklahoma taxable income or in the case of an
individual, subsequent Oklahoma adjusted gross income, for a period
not to exceed four (4) years. For the purposes of this paragraph,
"depreciable property" means machinery, fixtures, equipment,
buildings, or substantial improvements thereto, placed in service in
this state during the taxable year.
Oklahoma Statutes - Title 74. State Government
B. The Oklahoma Tax Commission, in conjunction with the
Oklahoma Center for the Advancement of Science and Technology, shall
promulgate rules to implement the provisions of this section.
Added by Laws 1987, c. 121, § 7, eff. Nov. 1, 1987. Amended by Laws
1988, c. 313, § 4, emerg. eff. July 1, 1988; Laws 1998, c. 250, § 4,
eff. July 1, 1998.
Source: official Oklahoma text · Last verified 2026-08-27
Frequently Asked Questions About Oklahoma § 74-5064.7
What does Oklahoma Statutes § 74-5064.7 cover?
Section 74-5064.7 ("Incentives for inventors and businesses") is part of the Oklahoma Statutes, the codified statutory law of Oklahoma. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Oklahoma § 74-5064.7?
A common citation format is "Oklahoma Statutes § 74-5064.7" (Oklahoma). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Oklahoma law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Oklahoma official source linked on this page or consult a licensed Oklahoma attorney.
How does Oklahoma § 74-5064.7 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Oklahoma can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Oklahoma.