Quick facts:
-Oklahoma, businesses are assessed both an income tax and franchise tax.
-Their highest tax rate is 5.00%.
The state of Oklahoma does have an individual income tax. Like most states with income tax, it is calculated on a marginal scale with multiple brackets (6). The tax rates range from between 0.5% to 5.00%.
The state of Oklahoma has a flat Corporate income tax rate of 6.00% on all income regarding C Corporations. For other businesses that are flow-thru entities, such as S Corporations, Partnerships, LLCs, etc., they are taxed at the individual income tax rate which ranges from 0.5% to 5.00% of your Oklahoma income.
In addition to the Corporate income tax, Oklahoma has a Franchise tax assessed on capital of the C Corporation. The tax is 0.125% on capital assets, with a maximum tax of $20,000.
Like most states, Oklahoma has both a local and state sales tax rates. Their state sales tax rate is 4.50% and their local sales tax rate is 4.44% (which bring the total average sales tax rate to 8.94%). Which puts it at one of the top ten most expensive states for Sales Tax.
The average property tax rate for residential property in the state of Oklahoma is 0.88%. Which puts it slightly below the national average of 1.05%.
Unemployment taxes usually consist of three factors. They are the wage base, range of rates, number of schedules. Below is an outline of the three:
Oklahoma is one of the least expensive states in the country to open an LLC. Here are some important facts:
Sign up for Romeo’s monthly tips, tricks, and hacks to help you with your taxes!
You may unsubscribe at any time.
Copyright © 2020 Taxed Right LLC. TaxedRight, TaxTicker, illustrations such as pigs and coins, are all trademarks of Taxed Right LLC. All rights reserved.
