Oklahoma City (March 20, 2018) – The State Chamber of Oklahoma President and CEO, Fred Morgan, released the following statement concerning SB 1086:
“Eliminating the capital gains tax deduction is not a reliable way to fund core services of state government. SB 1086 will discourage investment in Oklahoma-based businesses, at a time when investment in our state is desperately needed. This measure, if passed, will negatively impact small businesses and family-owned farms.
Taxing capital gains will also make Oklahoma less competitive economically for capital investment. The Incentive Evaluation Commission rejected a recommendation to eliminate the deduction for this very reason. In 2004, the people of Oklahoma made their voices heard with SQ 713 and eliminated the taxes on capital gains.
SB 1086 is short-sighted and bad public policy through and through. It will create a highly volatile funding source and will not achieve what is being promised, all while punishing small businesses and their families in the interim. The State Chamber acknowledges that additional revenue is needed for our state, which is why we supported the Step Up plan. But passing legislation haphazardly will not benefit us in the long-run and will not provide the budget stabilization that is desperately needed.”