Tax breaks for businesses cause Oklahoma’s general fund collections to drop
OKLAHOMA CITY – State finance officials say tax breaks for businesses are eating into available revenue for the state and are partially to blame for collections last month to the General Revenue Fund falling more than 13 percent below the estimate.
Oklahoma Secretary of Finance, Administration and Technology Preston Doerflinger reported Tuesday the state’s general fund received no corporate income tax collections in May for the fourth time in the last year. He says corporate tax refunds of $14.8 million last month exceeded collections by $5 million, forcing officials to borrow money from personal income tax collections to help pay for the subsidies.
Doerflinger says $3.3 million of those payments last month were made to wind companies under a program where the state pays producers of wind power.