Monday, February 3rd 2025, 10:48 pm
Among Gov. Kevin Stitt’s key goals for 2025, he promised sweeping income tax cuts. Stitt said he wants to keep money in the pockets of Oklahomans.
“We need to ask ourselves: how big should government be?” said Stitt, in front of lawmakers at the capitol on Monday. “Government is overspending. States like Texas and Florida spend less per person than any other state. They also have no income tax.”
Stitt has consistently advocated for eliminating the state’s income tax. However, News 9 political analyst Scott Mitchell said those efforts failed in the past due to inconsistent messaging and economic concerns. On Monday, Stitt called for a half-point cut to the individual and business income tax and a path to zero income tax.
“It simply stays in Oklahomans’ pockets and gets reinvested in our economy,” Stitt said.
Sen. Julia Kirt, (D-Oklahoma City), said tax cuts can be deceiving. “We’ve got a rigged system that benefits wealthy Oklahomans," Kirt said. “Basically, those costs come out somewhere else.”
Some states with no income tax raise costs in other revenue streams like property taxes. Mitchell said transparency for the public during this process is crucial.
“That’s gonna be a massive change in thinking about how we do things,” Mitchell said. “Look at what people pay in property taxes in Texas. It can be a big bill. The devil’s in the details ... including, ‘What are we gonna do away with?’”
Kirt said messaging is important when talking about tax changes for Oklahoma.
“We never hear, ‘reform.’ What we hear is, ‘Cut, cut, cut,’” Kirt said. “Let’s be realistic about where that money’s gonna come from.”
Sen. Carri Hicks, (D-Oklahoma City), pointed out what she said were inconsistencies in that message.
“The governor was talking about how we need to rain in government,” Hicks said. “And yet, he’s standing up an entirely new office to achieve those goals and that aim. His actions are not matching his words.”
Stitt said his new Division of Government Efficiency, or DOGE, will help cut wasteful spending in state government. He said this will make sure taxpayer dollars are used effectively.
Stitt's recommendations for DOGE will come by March 31st. Stitt said this is modeled after the federal DOGE department run by Elon Musk. Mitchell said responsible tax cuts by definition can set the state up for success.
“It modernizes the state and makes us more competitive,” Mitchell said.
However, Mitchell said budget cuts require caution and clarity. “Campaign promises and reality sometimes have head-on wrecks,” Mitchell said.
Mitchell said the likelihood of tax cuts will be determined when the board of equalization meets on Valentine's Day.
Jordan Fremstad proudly joined the News 9 team in December 2022 as a multimedia journalist. Jordan is a three-time Emmy-nominated multimedia journalist who began his broadcast journalism career in La Crosse, Wisconsin. Jordan grew up in De Soto, Wisconsin. Jordan comes to Oklahoma City after four years with La Crosse’s CBS affiliate WKBT News 8 Now.
February 11th, 2025
February 10th, 2025
February 6th, 2025
February 12th, 2025
February 12th, 2025
February 11th, 2025
February 11th, 2025