Treasurer Russ Reports Steady Growth and Energy Strength
State Treasurer Todd Russ released the October 2025 State Tax Revenue Report, showing total collections of $1.45 billion—a 3.4% decrease from September, but a 4.4% increase over October 2024.
Over the past 12 months, Oklahoma has collected $17.03 billion, a 0.5% year-over-year increase, signaling continued fiscal stability supported by strong employment and energy performance.
“This month’s report shows a healthy rebound in sales and use tax collections, signaling steady consumer spending even as overall revenues eased slightly from September,” said Treasurer Russ. “Year-over-year growth remains positive, and Oklahoma continues to demonstrate a balanced and resilient economy supported by steady employment and energy strength.”
Key Takeaways from October 2025 Tax Revenue Report
Revenue Totals and Sector Highlights
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Total Monthly Revenue: $1.45 billion — up 4.4% year-over-year, down 3.4% month-over-month.
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Sales & Use Tax: $582.0 million — up 6.5% from last year and 4.6% from September, reflecting solid household spending.
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Income Tax: $565.3 million — up 5.0% year-over-year, but down 13.2% month-over-month after September’s surge.
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Gross Production Tax (Oil & Gas): $85.7 million — up 16.9% year-over-year, down 4.5% month-over-month due to commodity price shifts.
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Motor Vehicle Tax: $72.1 million — down 6.8% year-over-year, signaling softer vehicle sales.
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Other Sources: $143.0 million — up 13.5% from September, showing gains across more than 70 smaller revenue streams.
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12-Month Total: $17.03 billion — up $81.4 million (0.5%) year-over-year, led by income and energy tax growth.
Economic Indicators Reflect Broader National Trends
Inflation, Interest Rates, and Labor Markets
Nationally, state revenues remain mixed as the U.S. economy continues adjusting to inflation near 3.0% and elevated interest rates. Despite economic cooling, Oklahoma outperforms many states in employment and fiscal management.
The Federal Reserve made a second interest rate cut in October, with a potential third cut expected by year’s end to sustain employment while controlling inflation.
Oklahoma’s unemployment rate remains low at 3.1%, compared to 4.3% nationally. Even amid federal budget uncertainty, the state’s labor market remains strong, with steady job retention and modest hiring.
Energy Sector Boosts Revenue Stability
Oil and Gas Remain Key Contributors
The report notes that energy production continues to provide an essential foundation for Oklahoma’s economic performance. Gross production tax collections from oil and gas rose 1.6% over the past 12 months, reflecting stable output and commodity pricing despite global market fluctuations.
“Energy strength continues to help balance Oklahoma’s fiscal base,” Treasurer Russ said. “The broader trends suggest stability—something both state and local governments can plan around with confidence.”
State and Local Outlook Remains Positive
Sales Recovery Signals Consumer Confidence
The Business Conditions Index for October climbed to 52.2, signaling moderate regional growth. Cities and towns that depend on sales and use tax revenue are expected to view the year’s early softening as a seasonal adjustment, given October’s rebound in collections.
“Oklahoma’s consistent growth and diversified economy show that we’re managing the challenges of a shifting national economy,” Russ said. “Steady revenues, responsible budgeting, and strong employment are helping keep Oklahoma on firm financial ground.”