Oklahoma revenues maintain steady growth

State Treasurer Todd Russ released the July 2026 State Tax Revenue Report, showing total monthly revenue of $1.5 billion, a 2.6 percent increase from July 2025. Over the last 12 months, Oklahoma revenues totaled $17.95 billion, up $977.5 million, or 5.8 percent year-over-year, underscoring continued resilience in the state’s diversified revenue base.

“July’s report shows a steady economic environment,” Russ said. “Manufacturing remains in expansion territory, consumer activity continues to support sales and use tax growth, and inflation is beginning to moderate, signaling balanced conditions as Oklahoma moves further into summer.”

Key takeaways from the July 2026 tax revenue report

• 12-month total: $17.95 billion, up $977.5 million or 5.8 percent year-over-year, driven by broad-based annual strength across major revenue categories.
• Rolling 12-month growth: July marked the eleventh consecutive month of positive growth in Oklahoma’s rolling 12-month revenue total, with the annual growth rate at 0.21 percent, reinforcing a stable and durable upward trend.
• Total monthly revenue: $1.5 billion, up $36.9 million or 2.6 percent year-over-year, supported by strong gains in sales and use tax collections.
• Income tax: Annual individual income tax reached $6.3 billion, up $688.4 million or 12.2 percent, reflecting sustained growth in personal earnings across the year.
• Sales and use tax: $643.6 million, up $50.4 million or 8.5 percent year-over-year; annual use tax rose to $1.4 billion, up $154.3 million or 12.5 percent, demonstrating strong online and out-of-state purchasing trends.
• Gross production tax (oil and gas): Annual gross production tax totaled $1.1 billion, up $87.8 million or 8.3 percent, highlighting ongoing strength in Oklahoma’s energy sector.
• Motor vehicle tax: Annual motor vehicle tax reached $899.5 million, up $13.0 million or 1.5 percent, indicating steady long-term vehicle activity.
• Other sources: Annual revenue from other sources totaled $1.6 billion. The monthly comparison showed a $14.5 million, or 11.2 percent, increase, reflecting positive movement across multiple smaller revenue streams.

Revenue trend and economic context

July marked the eleventh consecutive month of growth in the rolling 12-month revenue total. While growth moderated from June’s level, the upward trajectory remains firmly intact, signaling sustained fiscal stability. The July rolling growth rate registered 0.21 percent, following June at 0.48 percent and May at 0.19 percent.

Oklahoma’s Business Conditions Index reached 54.3, remaining well above growth neutral and reflecting ongoing manufacturing expansion supported by strong demand and production. However, employment indicators showed continued weakness as hiring remains cautious.

The unemployment rate settled at 4.2 percent, aligning with the national rate and signaling a gradual cooling of the labor market even as overall economic activity remains steady.

Inflation showed a meaningful shift, with the Consumer Price Index declining to 3.5 percent, marking the first decrease after 14 consecutive monthly increases. Although price pressures remain elevated, early signs of moderation indicate improving conditions for households.

“Oklahoma’s economic resilience is evident across multiple indicators,” Russ added. “Steady consumer spending, strong manufacturing momentum, and moderating inflation all contribute to a stable fiscal foundation as we enter the middle of the year.”

The complete July 2026 Investment Report, including portfolio performance details, asset allocation, market updates and economic indicators, is available at treasurer.ok.gov.