This bill amends Section 2357.45 of Title 68 of the Oklahoma Statutes, which pertains to tax credits for donations made to independent biomedical and cancer research institutes. The bill modifies the applicability period for certain tax credit designs and introduces new calculations, amounts, and limitations for these credits. Specifically, it establishes that for tax years 2026 and beyond, the total estimated credits for donations to independent biomedical research institutes will not exceed $1,500,000 annually, while for cancer research institutes, it will be capped at $500,000 annually. The credit percentage for both types of donations will remain at a maximum of 50%, adjusted annually based on the credits claimed in the preceding year.

Additionally, the bill sets new limits on the amount of credit a taxpayer can claim for donations, specifying that for tax years 2026 and beyond, the credit for donations to either type of institute will not exceed $1,000 for single filers and married filing separately, and $2,000 for married filing jointly, head of household, or qualifying widow. Furthermore, it allows business entities to claim a credit of up to $25,000 for donations to independent biomedical research institutes. The bill also updates the definition of an independent biomedical research institute and a cancer research institute, increasing the required funding thresholds for eligibility. The act is set to take effect on November 1, 2025.