Below is a list of income that needs to be added to your Oklahoma return. Oklahoma Additions to income are reported on Schedule 511-B.
State and Municipal Bond Interest
Income on bonds issued by a state or political subdivision that are not taxable on the federal return but are taxable to Oklahoma.
Out-of-State Losses
Losses from an out-of-state business, or rental/sale of out-of-state property must be added back to Federal Adjusted Gross Income on the Oklahoma return.
Lump-Sum Distributions
Add back lump-sum distributions that are not included in the federal adjusted gross income amount.
Federal Net Operating Loss
Enter carryover(s) included on Federal Form 1040.
Recapture of Depletion Claimed on a Lease Bonus or Add Back of Excess Federal Depletion
Depletion claimed must be added back in the property was non-producing. See the instructions for further details and instructions for calculating the amount to enter.
Recapture of Contributions to Oklahoma 529 College Savings Plan and OklahomaDream 529 Accounts
If a contribution rollover is taken within one year of the contribution date, and a deduction was taken on the previous year's return, the amount of the rollover should be included in income.
If a non-qualified withdrawal of contributions was made for any year 2005 or later and a deduction was claimed in that year, the non-qualified withdrawal and its earnings would be included in income.
Oklahoma Loss Distributed by an Electing PTE
If you are a member (directly or indirectly) of an electing pass-through entity you will need to add the Oklahoma loss covered by the election in accordance to the Pass-Through Entity Act of 2019. You need to provide a schedule listing the electing PTE, the federal ID number, federal taxable income (or loss) and Oklahoma taxable loss (form 511, line 1) that is covered by this election. You need to also provide a copy of the OTC acknowledgement letter.
You will not be able to attach documents to this addition when e-filing, so the return must be printed and mailed along with supporting documentation.
Oklahoma Bonus Depreciation Add-back
If a taxpayer elects immediate and full expensing of qualified property or qualified improvement property, any depreciation calculated and claimed pursuant to 68 OS Sec. 2358.6a shall in no event be a duplication of any depreciation or bonus depreciation allowed or permitted on the federal income tax return of the taxpayer. For income tax returns filed on or after January 1, 2023, federal taxable income shall be increased by the amount of depreciation received under the IRC for the qualified property or qualified improvement property for which the election has been made to immediately and fully expense the asset on the Oklahoma income tax return for the year in which the property was placed in service. A taxpayer
filing a return for which federal taxable income is not increased as provided for in 68 OS Sec. 2358.6a prior to October 1, 2023, shall file an amended return reflecting such increase not later than June 30, 2024
Miscellaneous Other Oklahoma Additions
- Losses from sale of exempt govt obligations
- Swine/Poultry that deducted accelerated depreciation
- OK Refinery elected to expense the cost of property
- PTE add-back rent expenses or captive REIT
- Any additions not previously claimed
Where do I add the income?
To report your Oklahoma additions to income, go to
- State Section
- Edit (3 dots) Oklahoma state return
- Additions to Income
Further Information
For additional information, see Oklahoma Instructions.