Oklahoma Earned Income Tax Credit

Oklahoma’s EITC is the little sister of the federal EITC — a tax credit designed to benefit low- and moderate-income working families and individuals.

The state of Oklahoma once allowed the EITC to be both non-refundable and refundable. However, for the 2016 filing year, Oklahoma’s EITC has been made non-refundable. In 2021, Oklahoma reversed this decision and restored refundability of the credit. ¹

Qualifying taxpayers could now claim the credit to offset any taxes they owe, and use the credit to claim cash refund beyond their tax liability.

FAQ

How much is Oklahoma Earned Income Credit?

Oklahoma EITC is set at 5% for the federal EITC, making it one of the lowest rates in the nation among the over 30 states (plus D.C.) that offer the credit.

Can I get a refund if I owe no tax in Oklahoma?

If your Oklahoma EITC is $402 and you owe $0 in state income tax, and you receive the full $402 as a refund as illustrated in the table below:

Oklahoma taxpayers earning less than $100,000 may claim a non-refundable state child tax credit  equal to the greater of 5% of the federal Child Tax Credit or 20% of the federal Child and Dependent Care Credit.

How do I claim the Oklahoma EITC?

To claim the credit, file your Oklahoma income tax return (Form 511) and complete Form 511-EIC, the Oklahoma Earned Income Credit worksheet, then include a copy with your return.

Oklahoma Tax Commission 
(405) 521-3160