Senator Steve Russell
State Capitol Room 428-B
Oklahoma City, Oklahoma 73105
For Immediate Release: June 3 2009
Sen. Steve Russell
Soldiers Relief Bill Approved
Legislation to exempt Oklahoma soldiers from state
income tax on federal pay has been signed into law. Senate Bill
881, authored by Sen. Steve Russell, R-Oklahoma City, and Rep.
Gary Banz, R-Midwest City, was signed by Gov. Brad Henry on
Tuesday. The tax exemption will apply to all troops, whether they
are National Guard, Reserve or active.
“On behalf of Oklahoma’s soldiers, Rep. Banz and I
want to express our gratitude to Governor Henry for signing this
measure,” Russell said. “Right now, we’re losing two out of three
soldiers when they relocate their residency to others states with
more favorable tax laws. Now, we can tell those soldiers, welcome
back home to Oklahoma.”
Russell pointed out that for every 10,000 soldiers
that change their residency, Oklahoma loses $6 million in just
motor vehicle fees alone. He said the positive effect of retaining
those soldiers would more than offset the cost of the tax break.
“According to the Department of Defense, Oklahoma
should have 54,000 soldiers. Instead there are approximately
21,000 Oklahomans in the service,” Russell said. “We estimate that
this action could persuade more than 30,000 Oklahomans to reclaim
their state residency.”
Russell also thanked Senate President Pro Tempore
Glenn Coffee and Speaker Chris Benge, along with fellow members
for their support. The measure will take effect on July 1, 2010.
For more information contact:
Sen. Russell's Office - 405-521-5618