Senate Passes Bill to Provide Military with State Income Tax Exemption

Under legislation passed Tuesday by the Senate Finance Committee, Oklahoma military personnel could soon get some tax relief. Senate Bill 881 by Sen. Steve Russell would exempt state military pay from state income taxes.

“Our military service men and women are grossly underpaid and this is one thing we can do to help ease their financial burden,” said Russell, R-Oklahoma City. “They sacrifice so much for our country and for those around the world that can’t fight for themselves. This would be just a small token of our appreciation for their hard work and dedication.”

Oklahoma has the second highest military recruitment in the nation per capita, but Russell points out that a great many military personnel change their citizenship at the first opportunity because of the state’s tax rates.

There are currently 16 states including Nevada, Illinois and New York that exempt their military from paying income taxes.

“We can do more for our military. We often say that nothing is too good for our troops in Oklahoma and now we have the opportunity not just to talk a good talk about our soldiers, but actually do something for them.”

SB 881 will now go before the full Senate.