Individual income tax revenues in Oklahoma grew slightly in fiscal 2008 despite reductions in the top rate to 5.5% from 6.65% since 2005, according to figures released last week by the Oklahoma Tax Commission.
The commission’s summary for fiscal 2008, which ended June 30, said individual income tax revenues totaled $2.78 billion.
Under state law, individual income taxes are automatically apportioned among a number of different funds. The commission’s report said $541.5 million was appropriated to seven funds with $2.24 billion deposited into the state’s general fund,
Sen. Mike Mazzei, R-Tulsa, co-chairman of the Senate finance committee, said the numbers belie criticism that income tax cuts would result in lower revenues.
“The facts tell a different story — revenues from individual income taxes continue to grow,” Mazzei said.
“The Legislature’s income tax relief program, along with Oklahoma’s strong energy and agriculture sectors, have helped keep our state’s economy afloat while the national economy has slowed down,” he said. “The growth in income tax revenues has been modest, but they’re still growing, and that’s a far cry from what the doom-and-gloomers predicted would happen.”