§68-2357.

§68-2357.
   
   A. The withheld taxes and estimated taxes paid shall be allowed as
   credits as provided by law.
   
   B. 1. There shall be allowed as a credit against the tax imposed by
   Section 2355 of this title the amount of tax paid another state by a
   resident individual, as defined in paragraph 4 of Section 2353 of this
   title, upon income received as compensation for personal services in
   such other state; provided, such credit shall not be allowed with
   respect to any income specified in Section 114 of Title 4 of the
   United States Code, 4 U.S.C., Section 114, upon which a state is
   prohibited from imposing an income tax. The credit shall not exceed
   such proportion of the tax payable under Section 2355 of this title as
   the compensation for personal services subject to tax in the other
   state and also taxable under Section 2355 of this title bears to the
   Oklahoma adjusted gross income as defined in paragraph 13 of Section
   2353 of this title.
   
   2. For tax years beginning after December 31, 1975, there shall be
   allowed to a resident individual or part-year resident individual or
   nonresident individual member of the Armed Forces as a credit against
   the tax imposed by Section 2355 of this title twenty percent (20%) of
   the credit for child care expenses allowed under the Internal Revenue
   Code of the United States. The credit shall not exceed the tax imposed
   by Section 2355 of this title. The maximum child care credit allowable
   on the Oklahoma income tax return shall be prorated on the ratio that
   Oklahoma adjusted gross income bears to the federal adjusted gross
   income.
   
   C. 1. Every taxpayer who operates a manufacturing establishment in the
   state shall be allowed a direct credit against income taxes owed by
   such taxpayer to the state, the amount of which credit shall be
   proportioned to the amount of gas used or consumed in Oklahoma by such
   taxpayer in the operation of a manufacturing establishment, at a rate
   of three (3) mills per thousand (1,000) cubic feet of gas used or
   consumed after May 1, 1971, and during each taxable year of such
   taxpayer provided that the credit allowed herein shall not apply to
   the first twenty-five thousand (25,000) MCF of gas used or gas used to
   generate electricity or consumed after May 1, 1971, and during each
   taxable year of such taxpayer.
   
   2. As used in this subsection:
   
   a. "manufacturing establishment" means a plant or establishment which
   engages in the business of working raw materials into wares suitable
   for use or which gives new shapes, new qualities or new combinations
   to matter which has already gone through some artificial process,
   
   b. "gas used or consumed" shall include all natural or casinghead gas
   used in the operation of the manufacturing establishment for whatever
   purposes, but shall not include the following:
   
   (1) gas which, after being severed from the earth, is subsequently
   injected into a formation in the state for the purpose of storing,
   recycling, repressuring or pressure maintenance,
   
   (2) gas vented or flared directly into the atmosphere,
   
   (3) gas used for fuel in connection with the operation and development
   for or production of oil or gas in the field where produced, and
   
   (4) gas, any part of which is resold by the manufacturing
   establishment, except as to that part and quantity of the gas which is
   actually used by the establishment and not resold, and
   
   c. "one thousand (1,000) cubic feet of gas" (MCF) means that quantity
   of gas which, measured at a pressure of fifteen and twenty-five
   thousandths (15.025) pounds per square inch absolute and at a
   temperature of sixty-nine (69) degrees Fahrenheit, would have the
   volume of one thousand (1,000) cubic feet.
   
   D. No additions to tax shall be made in Oklahoma income tax returns by
   reason of the recapture or restoration of credits under the Internal
   Revenue Code, and no other credits against tax shall be allowed in
   Oklahoma income tax returns except as follows:
   
   1. Those credits provided in this section; and
   
   2. Those credits authorized by Sections 921 through 925 of Title 82 of
   the Oklahoma Statutes, or Sections 2001 through 2008 of Title 63 of
   the Oklahoma Statutes, which have been, or may hereafter be, certified
   pursuant to applications therefor made on or before March 22, 1971.
   Provided, the total amount of the credits referred to in this
   subparagraph to be taken by the taxpayer shall not exceed the
   certified net investment cost of the facilities or processes to which
   such credits pertain, reduced by the greater of:
   
   a. the reduction in federal income tax of taxpayer as the result of
   deducting depreciation on such facilities or processes, or deducting
   nondepreciable costs for which credit has been so certified, or
   
   b. the increase in the amount of Oklahoma income tax that would result
   if taxable income were increased by the amount deducted as set forth
   in subparagraph a of this paragraph.
   
   And, provided further, that, after such credits have been exhausted,
   taxpayer shall each year thereafter adjust taxable income by adding
   any depreciation taken on such facilities or processes, or any
   nondepreciable costs having been included in the net investment cost
   allowed as credit, and which depreciation or costs have been allowed
   as a deduction in arriving at federal taxable income for such year.