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How to Calculate 2023 Oklahoma State Income Tax by Using State Income Tax Table

1. Find your income exemptions

2. Find your pretax deductions, including 401K, flexible account contributions ...

3. Find your gross income

4. Check the 2023 Oklahoma state tax rate and the rules to calculate state income tax

5. Calculate your state income tax step by step

6. If you want to simplify payroll tax calculations, you can download ezPaycheck payroll software, which can calculate federal tax, state tax, Medicare tax, Social Security Tax and other taxes for you automatically. You can try it free for 30 days, with no obligation and no credt card needed.

Learn more about the in house payroll tax solution for Oklahoma small businesses here.
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Oklahoma State Tax Tables

Tax rate used in calculating Oklahoma state tax for year 2023

State Abbreviation:

OK

State Tax Withholding State Code:

40

Basis For Withholding:

State or Federal Exemptions

Acceptable Exemption Form:

None

Acceptable Exemption Data:

None

TSP Deferred:

Yes

Special Coding:

None

Additional Information:

If no state income tax certificate has been processed or no valid state exemption code is present, the Federal exemptions will be used in the computation of state taxes.



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Withholding Formula >(Oklahoma Effective 2023)<
  1. Subtract the nontaxable biweekly Thrift Savings Plan contribution from the gross biweekly wages.
  2. Subtract the nontaxable biweekly Federal Health Benefits Plan payment(s) (includes dental and vision insurance program, and flexible spending account - health cae and dependent care deductions) from the amount computed in step 1.
  3. Add the taxable biweekly fringe benefits (taxable life insurance, etc.) to the amount computed in step 2 to obtain the adjusted gross biweekly wages.
  4. Multiply the adjusted gross biweekly wages by 26 to obtain the annual wages.
  5. Determine the exemption allowance by applying the following guideline and subtract this amount from the result of step 4.
  6. Exemption Allowance = $1,000 X Number of Exemptions

  7. If the employee is SINGLE, apply the following tax rates to annual taxable wages to determine the annual tax amount:

  8. Tax Withholding Table
    Single

    If the Amount of
    Taxable Income Is:

    The Amount of Oklahoma
    Tax Withholding Should Be:


    Over:

    But Not
    Over:

    Of Excess
    Over:

    $ 0 >$6,350 $ 0.00 plus 0.0% $ 0
    $6,350 7,350 $ 0.00 plus 0.5% >6,350
    7,350 8,850 5.00 plus 1.0% 7,350
    8,850 10,100 20.00 plus 2.0% 8,850
    10,100 11,250 45.00 plus 3.0% 10,100
    11,250 13,550 79.50 plus 4.0% 11,250
    13,550 and over 171.50 plus 5.0% 13,550

  9. If the employee is MARRIED, apply the following tax rates to annual taxable wages to determine the annual tax amount:

  10. Married

    If the Amount of
    Taxable Income Is:

    The Amount of Oklahoma
    Tax Withholding Should Be:


    Over:

    But Not
    Over:

    Of Excess
    Over:

    $ 0 $>12,700 $ 0.00 plus 0.0% $ 0
    12,700 14,700 0.00 plus 0.5% >12,700
    14,700 17,700 10.00 plus 1.0% 14,700
    17,700 20,200 40.00 plus 2.0% 17,700
    20,200 22,500 90.00 plus 3.0% 20,200
    22,500 24,900 159.00 plus 4.0% 22,500
    24,900 and over 255.00 plus 5.0% 24,900

  11. Divide the annual Oklahoma tax withholding by 26 and round to the nearest dollar to obtain the biweekly Oklahoma tax withholding.
  12. Add additional amount or percentage elected by the employee to the pay period tax calculated in the above step and ROUND TO THE NEAREST DOLLAR to determine the amount of tax to be withheld for this payroll period.
 

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  • How to set up payroll tax options for church and non-profits

  • How to handle paychecks for both employees and contractors

  • How to file tax forms

  • How to enter the paychecks for after the fact payroll