OKLAHOMA CITY – The state’s gross receipts for Calendar Year 2024 totaled $16.878 billion, a $79.89 million (0.5%) decrease from 2023, State Treasurer Todd Russ reported.
A comparison of major revenue sources showed:
• Combined individual and corporate income taxes in 2024 totaled $6.303 billion, compared to $6.037 billion in 2023. Individual income taxes increased $300.1 million to $5.388 billion, constituting 32% of total state revenue. However, corporate income tax receipts declined 3.6%, to $914.5 million, which represented 5% of total state revenue last year.
• Combined sales and use taxes in 2024 totaled $7 billion, down 1.7% from 2023. Sales taxes, which accounted for 34% of total state revenue, totaled $5.8 billion, a 3% drop. In contrast, use taxes received on out-of-state and internet purchases totaled $1.2 billion, an increase of 5%.
• Oil and natural gas production taxes fell by $286 million (22%), to $1 billion.
• Motor vehicle tax collections increased 5.5%, to $921.4 million.
• Other sources, which included more than 70 revenue streams, increased by $15.4 million, to $1.65 billion.
Gross production and motor vehicle taxes each accounted for 6% of total state revenue last year, while other sources constituted 10% of total state revenue.
The drop-off in Oklahoma’s gross production taxes was not unexpected. According to the Federal Reserve Bank of Kansas City, energy drilling and business activity in the Tenth District “fell at a steady pace” in Q4 of 2024 “for the eighth consecutive quarter.” Annual revenue decreased “substantially,” too.
However, the majority of firms contacted for the Kansas City Fed’s survey predict a rebound in activity during the next six months, with growth in employment levels and capital expenditures.
(The Tenth Federal Reserve District encompasses the states of Oklahoma, Colorado, Kansas, Nebraska, and Wyoming, plus 43 counties in western Missouri and 14 counties in northern New Mexico.)
Oklahoma’s revenue trend is “wobbly, and will remain so and typical for our current economic conditions,” Russ said.
“Recent Federal Reserve policies, including interest rate adjustments to combat inflation, have influenced consumer spending, investment activity, and business growth across the country,” the treasurer said. “Higher borrowing costs have affected markets, but … parts of the economy remain resilient. The state’s ability to sustain revenue growth despite these financial conditions reflects its diversified economy and steady employment levels.