Oklahoma's tax revenues have grown steadily over the last 12 months, reflecting another 0.12% increase, after the previous month receiving the same percentage increase, according to the Gross Receipts Report. With three consecutive growth months in revenue, the state is experiencing a period of financial stability, driven by consistent income tax growth and steady consumer spending. This upward trend signals strong economic health and positions Oklahoma to continue investing in critical areas such as education, infrastructure, and public services. The state's ability to maintain revenue growth despite challenges in sectors like energy reflects a diversified and resilient economy, benefiting both taxpayers and the broader community.
The largest amounts of growth coming from a few key areas month over month.
· Total Revenue: Grew by a significant $218.3 million, or 17.1%, signaling robust overall growth in state finances.
· Total Income Tax: The largest contributor to this increase, growing by $233.5 million or 63.6%, driven by stronger earnings across the state.
· Individual Income Tax: Rose by $86.9 million, or 24.9%, reflecting improved employment rates and higher wages for residents, which contribute directly to public funds.
· Corporate Income Tax: The most dramatic rise came from corporate income taxes, which jumped by $146.6 million, or an astonishing 820%. This spike suggests thriving business profits, new investments, or possibly deferred tax payments adding to the large increase.
· Gross Production Tax: Increased by $1.5 million, or 1.8%, showing steady, though modest, growth in Oklahoma’s oil and gas industry.
· Other Tax Sources: Up by $900 thousand or 0.7%, indicating small but consistent gains from diverse revenue streams such as motor vehicle taxes, fees, and smaller tax categories.
“Our state’s revenue growth over the past month reflects a strong and resilient economy, despite national and global uncertainties. With a 17.1% increase in total revenue, driven by robust income tax and corporate profits, Oklahoma is in a solid financial position to continue investing in our future.” State Treasurer Russ commented, "This is a critical time for Oklahoma to make sound financial decisions—ensuring we maintain a balanced budget while preparing for any economic shifts. Our priority is to safeguard the economic well-being of our citizens by supporting industries that keep our state strong and continuing to diversify our revenue sources for long-term stability."
Nationally, strong economic factors continue with the jobs report adding a surge of 254,000 new jobs according to the bureau of labor statistics, the largest monthly increase since March. The unemployment rate decreased to 4.1%, ticking down 0.1% for the second month in a row.
This national momentum, combined with Oklahoma’s steady revenue increases, positions the state for sustained economic growth. With strategic financial planning and investment in core industries, Oklahoma can continue to thrive and expand opportunities for its citizens.
For more information about the Oklahoma Gross Receipts Report for September and how it may affect Oklahoma, contact the Treasurer's Office at 405-522-4263.
*Other tax sources, includes more than 70 revenue streams
