Okla. Stat. tit. 68, § 68-2357.100

litter – Calculation – Qualification – Carry-forward period.

Oklahoma Statutes - Title 68. Revenue and Taxation Page 864

A. For taxable years beginning after December 31, 2004, and

ending on or before December 31, 2009, there shall be allowed a

credit against the tax imposed by Section 2355 of this title for the

purchase and transportation of poultry litter. Subject to the

limitations provided in subsection C of this section, the credit

shall be available to the purchaser of the poultry litter and shall

equal Five Dollars ($5.00) per ton purchased and transported.

B. Except as provided in subsection F of this section, for

taxable years beginning after December 31, 2009, and ending on or

before December 31, 2013, there shall be allowed a credit against

the tax imposed by Section 2355 of this title for the purchase and

transportation of poultry litter. Subject to the limitations

provided in subsection C of this section, the credit shall be

available to the purchaser of the poultry litter and shall equal Ten

Dollars ($10.00) per ton purchased and transported.

C. 1. The total of the credits authorized by this section

shall not exceed Three Hundred Seventy-five Thousand Dollars

($375,000.00) annually. The amount of the credit for each purchaser

shall be adjusted annually so that the total estimate of the credits

authorized by this section does not exceed Three Hundred Seventy-

five Thousand Dollars ($375,000.00). The formula to be used for the

percentage adjustment shall be Three Hundred Seventy-five Thousand

Dollars ($375,000.00) divided by the credits claimed in the

preceding year. In no event shall the credit be claimed more than

once by a taxpayer each taxable year.

2. In the event the total tax credits authorized by this

section exceed Three Hundred Seventy-five Thousand Dollars

($375,000.00) in any calendar year, the Oklahoma Tax Commission

shall permit any excess over Three Hundred Seventy-five Thousand

Dollars ($375,000.00) but shall factor such excess into the

percentage adjustment formula for subsequent years.

D. In order to qualify for the credit provided for in

subsections A and B of this section:

1. The poultry litter shall only be purchased from an Oklahoma-

based poultry operation registered with the State Board of

Agriculture and located within an environmentally sensitive and

nutrient-limited watershed area as defined in the most recent

Oklahoma Water Quality Standards;

2. The poultry litter shall be used or spread in a watershed

that is not environmentally sensitive and nutrient-limited as

defined in the most recent Oklahoma Water Quality Standards; and

3. The poultry litter shall be applied by a certified poultry

waste applicator as defined by Section 10-9.1 of Title 2 of the

Oklahoma Statutes and in accordance with the provisions of Sections

10-9.16 through 10-9.21 of Title 2 of the Oklahoma Statutes and any

rules promulgated by the Oklahoma Department of Agriculture, Food,

and Forestry.

Oklahoma Statutes - Title 68. Revenue and Taxation Page 865

E. The credit allowed by this section shall be available to the

taxpayer in the year in which the poultry litter was purchased and

transported, provided the taxpayer is found by the Oklahoma

Department of Agriculture, Food, and Forestry to have applied the

poultry litter in a manner consistent with an Animal Waste

Management Plan, as defined in Section 10-9.1 of Title 2 of the

Oklahoma Statutes, specifically designed to restore and protect

beneficial uses from impairment from nutrients. If the credit

exceeds the amount of income taxes due or if there are no state

income taxes due on the income of the taxpayer, the amount of the

credit not used as an offset against the income taxes for a year may

be carried forward as a credit against subsequent income tax

liability for a period not to exceed five (5) years.

F. No credit otherwise authorized by the provisions of this
rients. If the credit

exceeds the amount of income taxes due or if there are no state

income taxes due on the income of the taxpayer, the amount of the

credit not used as an offset against the income taxes for a year may

be carried forward as a credit against subsequent income tax

liability for a period not to exceed five (5) years.

F. No credit otherwise authorized by the provisions of this

section may be claimed for any event, transaction, investment,

expenditure or other act occurring on or after July 1, 2010, for

which the credit would otherwise be allowable. The provisions of

this subsection shall cease to be operative on July 1, 2012.

Beginning July 1, 2012, the credit authorized by this section may be

claimed for any event, transaction, investment, expenditure or other

act occurring on or after July 1, 2012, according to the provisions

of this section.