Additions

State and Municiple Bond Interest
If you received income on bonds issued by any state or political subdivision thereof, exempt from Federal taxation but not exempt from taxation by the laws of the State of Oklahoma, the total of such income shall be added to Federal Adjusted Gross Income. Income from Oklahoma Municipal Bonds, issued prior to July 2, 2001, is exempt only if so provided by the statute authorizing their issuance. Interest on local Oklahoma governmental obligations issued after July 1, 2001 shall be exempt from Oklahoma income tax, except those issued for the purpose of providing financing for projects for nonprofit corporations. Local governmental obligations shall include bonds or notes issued by, or on behalf of, or for the benefit of Oklahoma educational institutions, cities, towns, or counties or by public trusts of which any of the foregoing is beneficiary. All out-of-state municipals are taxable. Enclose a schedule of all municipal interest received by source and amount.

If the income is from a mutual fund which invests in government obligations, enclose a detailed schedule from the mutual fund showing the amount of monies received from each government obligation or the percentage of funds received from each obligation.

Out-of-State Losses
If you incurred losses from the operation of an out-of-state business, or from the rental or sale of out-of-state property, any such losses must be added back to Federal Adjusted Gross Income. This includes partnership losses and losses sustained by Subchapter S Corporations attributable to other states.

Lump-Sum Distributions
Lump-sum distributions not included in the Federal Adjusted Gross Income (except any amount excluded on Federal Schedule D) shall be added to the Federal AGI. Rollovers are taxed in the same year as on the Federal return.

Recapture of Depletion Claimed on a Lease Bonus or Add Back of Excess Federal Depletion

Enter depletion claimed on a lease bonus if no income is received as a result of non-producing properties. Such depletion must be restored in the year the lease expires. A complete schedule by property must be furnished.
If the Oklahoma option for computing depletion was used in the previous year, you must add back any Federal depletion being carried over from such year due to the 65% limitation. The full 22% Oklahoma depletion would have been allowed in the previous year. For the Oklahoma option for computing depletion see the instructions funder Subtractions. A complete schedule by property must be furnished.

Expenses Incurred to Provide Child Care Programs
Employers incurring expenses to provide accredited child care programs for children of their employees may be allowed a credit. If the credit is allowed, the eligible expenses upon which the credit is based must be added back to arrive at Oklahoma taxable income. You may be able to claim an income exclusion.

Losses from the Sales of Exempt Government Obligations or Other Additions
If the interest is exempt, the capital gain/loss from the sale of the bond may also be exempt. The gain/loss from sale of a state or municipal bond is exempt only if so provided by the statute authorizing its issuance. Enter exempt losses here.

Back