Bill No. 1992 amends existing income tax law to enhance the income tax credit for qualified project expenditures in Oklahoma. The bill defines several key terms, including "eligible entity," "qualifying project," and "strategic finance partner," which are essential for determining eligibility for tax credits. It requires the Oklahoma Department of Commerce to establish rules for the verification of qualifying projects and the approval of strategic finance partners. The tax credit allows eligible entities to claim up to 10% of their qualified economic development expenditures, with a cap of $6 million per project, while qualified initial infrastructure expenditures can earn a credit of up to 50% with a maximum of $3 million.

Additionally, the bill stipulates that unused tax credits can be assigned to qualifying project affiliates and carried over for up to five years. The total credits allocated in a tax year cannot exceed $12 million, and the Oklahoma Tax Commission is tasked with implementing the necessary regulations. The effective date for this act is set for November 1, 2026. Notably, the bill introduces the term "strategic finance partner" and includes provisions for the approval of such partners, enhancing the framework for financial support in qualifying projects.