Stitt calls for more tax cuts as revenues exceeded expectations again

(The Center Square) - Oklahoma Gov. Kevin Stitt praised the fiscal year 2024 revenue numbers released Wednesday and called for more tax cuts.

The Office of Management and Enterprise Services said General Reserve Fund collections were $8.5 billion for fiscal year 2024, up $177.7 million or 2.1% above this year’s estimate.

The state received more than $262.2 million in deposits for the Revenue Stabilization Fund and $91.3 million for the Constitutional Reserve or "Rainy Day" Fund, according to an OMES news release.

"Oklahoma's economy is strong, our fiscal policies are working, and I'm pleased that revenue exceeded expectations this year," Stitt said in a statement to The Center Square. "But to kick our economy into overdrive, we have to cut our corporate and personal income tax rates to encourage even more business growth and to put more money in the pockets of taxpayers. With our strong reserves and deposits into state savings, we're setting our state up for success. All boats rise when our economy is up and taxes are down."

The Oklahoma Legislature eliminated the state tax portion on food during the 2024 session. Stitt and members of the House of Representatives wanted an income tax cut but couldn't get it through the Senate.

Stitt's proposal would have eliminated income taxes for Oklahomans earning less than $27,100 a year, which Stitt said would return $300 million to the taxpayers.

During heated budget negotiations in May, Senate Pro Tem Greg Treat said lawmakers passed tax cuts and stood by their position not to enact more.

“Governor, two years ago we put up a tax cut for a quarter point. We put a reduction in the corporate income tax by 2%. We reduced the in lieu of tax for banks at 2%. We’ve eliminated the franchise tax. We’ve eliminated the marriage penalty tax. We’ve given parental choice and gave a huge tax break there. We have given the largest tax cut 75 days ago you signed into law. It will go effective at the end of August. Our record in the Senate is clear. So if my members go to the door and say they’re for less taxes, they have a record to prove it,” Treat said.

Treat, who is term-limited, will not return to the Senate for the 2025 session. Sen. Lonnie Paxton, R-Tuttle, was chosen by the Republican caucus after the initial designees, Sen. Greg McCortney, R-Ada, lost his primary election.