Oklahoma |
Alternative Fuel Vehicle (AFV) Tax Credit |
State Incentives |
X
Type: State Incentives |
Jurisdiction: Oklahoma
For tax years beginning before December 31, 2028, a one-time income tax credit is available for up to $50,000 towards the cost of purchasing a new original equipment manufacturer AFV or converting a vehicle to operate on an alternative fuel. Tax credit amounts vary depending in the gross vehicle weight rating (GVWR) of the vehicle:
GVWR
|
Maximum Amount
|
6,000 pounds (lbs.) or below
|
$5,500
|
6,001 lbs. to 10,000 lbs.
|
$9,000
|
10,001 lbs. to 26,500 lbs.
|
$26,000
|
Greater than 26,501 lbs.
|
$100,000
|
The state also provides a tax credit of 10% of the total vehicle cost, up to $1,500, if the incremental cost of a new AFV cannot be determined or when an AFV is resold, as long as a tax credit has not been previously taken on the vehicle. Equipment used for conversions must be new, not previously used to modify or retrofit any vehicle, meet applicable federal and state safety standards, and must be installed by a state certified alternative fuels equipment technician. Eligible alternative fuels include natural gas, propane, and hydrogen. Tax credits may be carried forward for up to five years.
(Reference Senate Bill 1857, 2022 and Oklahoma Statutes 68-2357.22)
|
Oklahoma |
Alternative Fueling Infrastructure Tax Credit |
State Incentives |
X
Type: State Incentives |
Jurisdiction: Oklahoma
For tax years beginning before December 31, 2028, a tax credit is available for up to 45% of the cost of installing commercial alternative fueling infrastructure. Eligible alternative fuels include natural gas, propane, hydrogen, and electricity. The infrastructure must be new and not previously installed or used to fuel alternative fuel vehicles. A tax credit is also available for up to 50% of the cost of installing a residential propane, compressed natural gas, or liquefied natural gas fueling system for noncommercial purposes, up to $2,500. The tax credit may be carried forward for up to five years.
(Reference Senate Bill 1857, 2022 and Oklahoma Statutes 68-2357.22)
|
Oklahoma |
Ethanol Fuel Retailer Tax Credit |
State Incentives |
X
Type: State Incentives |
Jurisdiction: Oklahoma
Retailers that sell fuel blends of gasoline containing up to 15% ethanol by volume (E15) are eligible for a motor fuel tax credit of $0.016 per gallon of ethanol blended into gasoline and sold in Oklahoma, as long as the retailer provides a price reduction to the purchaser of the ethanol fuel in the same amount. This incentive is effective unless the federal government mandates the use of reformulated fuel in an area within Oklahoma that is in nonattainment with the National Ambient Air Quality Standards. (Reference Oklahoma Statutes 68-500.10-1)
|