This bill establishes a new income tax credit for individuals who pay rent for their primary residence, effective for tax year 2026 and beyond. The credit will be capped at $110 for the first year, with annual adjustments based on inflation as measured by the Consumer Price Index. Additionally, if the credit amount exceeds the taxpayer's liability under the existing tax law, the excess will be refunded to the taxpayer.

The Oklahoma Tax Commission is tasked with creating a form for individuals to claim this credit, which will require specific information such as the individual's address, landlord's name, monthly rent, and total rent paid during the tax year. The bill is set to take effect on November 1, 2025.