Oklahoma

While some may be excited for a romantic Valentine’s Day this weekend, many state lawmakers are breaking up and decoupling from recent federal tax changes that are poised to leave states with revenue shortfalls – much like a bad date who forgets their wallet and asks you to pick up the tab.

The results are a mixed bag, with some states enacting promising policies that will improve tax equity and others going in the opposite direction.

Despite wintry conditions across much of the country, that hasn’t stopped state lawmakers from debating major tax policy changes.

Most states are adopting a very cautious approach so far this year as legislators begin their sessions and governors make their annual addresses, thanks to ongoing economic uncertainty and federal retrenchment.

From Congressional discussions over the so-called "One Big Beautiful Bill Act" to debates on property taxes, ITEP kept busy this year analyzing tax proposals and showing Americans across the country how tax decisions affect them.

Lawmakers in two more states have wisely said “no thank you” to federal tax cuts that would have flowed through to their state tax codes and undermined funding for their priorities

States across the nation are debating how best to respond to costly new federal tax cuts.

Contact: Jon Whiten (ITEP) [email protected] A new analysis from the Institute on Taxation and Economic Policy (ITEP) reveals that five states—Kansas, Mississippi, Missouri, Ohio, and Oklahoma—enacted the most significant income tax cuts for millionaires in 2025, collectively reducing state revenues by more than $800 million in 2026 and an estimated $2.2 billion a year once […]

Some states continue to hand out huge tax cuts to millionaires. The five largest tax cuts this year will cost states a total of $2.2 billion per year once fully implemented.