justicedao/ipfs_state_laws huggingface dataset:
150-316-0181 Moving Expense Deduction — for Part-year and Nonresidents (1) A moving expense deduction will be allowed only if it applies to taxable years beginning prior to January 1, 2018 and the requirements described in subsection (2) are met. For tax years beginning after December 31, 2017 and before January 1, 2026, only active-duty military personnel may claim a deduction if the requirements described in subsection (2) are met. (2) To be deductible from the Oregon portion of federal adjusted gross income, moving expenses must be connected with employment within Oregon. Thus, for a part-year or nonresident taxpayer, the moving expenses incurred are deductible only if the taxpayer’s new principal place of work is within Oregon. Moving expenses incurred by a part-year or nonresident taxpayer for the purpose of beginning work at a new principal place of employment outside of Oregon are not deductible. Example 1 : Matt moves from Oregon to California to begin work there. The moving expenses are not deductible. Example 2: Paul moves from Utah to Oregon to begin work in Oregon. The moving expenses are deductible. Example 3: Sally moves from Oregon to Washington to begin work in Oregon. The moving expenses are deductible. Example 4: Greg moves from Nevada to Washington to begin work in Oregon. The moving expenses are deductible. Example 5: Anne moves from Montana to Oregon to begin work in Washington, lives in Oregon temporarily and then settles in Washington. The moving expenses are not deductible. Example 6: Sue moves from Florida to Oregon to begin work in Idaho. While the expenses are not related to Oregon employment, they are deductible if they were paid after Sue became a full year resident of Oregon. Reimbursement of moving expenses shall be included in the Oregon portion of federal adjusted gross income if the moving expenses are connected to Oregon employment. Example 7: John moves from California to Oregon to begin work in Oregon. His employer reimburses him $10,000, which includes $4,000 of qualified moving expenses under IRC 132. John includes $6,000 of income in the Oregon portion of federal adjusted gross income. The reimbursement of $4,000 is not included in income and is not claimed as a deduction. Statutory/Other Authority: ORS 305.100 Statutes/Other Implemented: ORS 316.127 History: REV 28-2018, amend filed 12/28/2018, effective 01/01/2019 Renumbered from 150-316.127(3)(a), REV 62-2016, f. 8-15-16, cert. ef. 9-1-16 RD 3-1995, f. 12-29-95, cert. ef. 12-31-95
150-316-0195 Alimony Deduction — for Part-Year and Nonresidents (1) For divorce decrees and separation agreements entered into before January 1, 2019, this rule still applies unless the divorce decree or separation agreement is modified after December 31, 2018, and expressly states that the alimony is not deductible to the payer or includible in the income of the recipient. If the divorce decree or separation agreement is entered into after December 31, 2018 this rule will not apply. (2) Full-year nonresidents shall follow the rules under ORS 316.130(2)(c) in determining deductibility of alimony payments. (3) In determining income from Oregon sources, part-year residents shall not deduct any alimony or separate maintenance payments, as defined in IRC 215(b) and 71(b), made to residents during the portion of the year the part-year resident was a nonresident. (4) A nonresident’s alimony deduction must be prorated for the portion of the year that they are a nonresident of Oregon if they have income from other than Oregon sources. The alimony paid while a nonresident is to be prorated based on the ratio of their Oregon source income while a nonresident to their total income while a nonresident without deduction for alimony. Alimony paid is deductible in full once residency is established. Example and table attached in PDF. [ED. NOTE: To view attachments referenced in rule text, click here to view rule.] Statutory/Other Authority: ORS 305.100 Statutes/Other Implemented: ORS 316.130 & 316.117 History: REV 36-2020, amend filed 12/23/2020, effective 01/01/2021 REV 47-2017, f. & cert. ef. 8-2-17 Renumbered from 150-316.130(2)(c)-(A), REV 61-2016, f. 8-15-16, cert. ef. 9-1-16 RD 12-1990, f. 12-20-90, cert. ef. 12-31-90 Repealed by RD 7-1989, f. 12-18-89, cert. ef. 12-31-89 RD 15-1987, f. 12-10-87, cert. ef. 12-31-87
150-316-0197 Nonresident Deduction for Contributions to IRA, Keogh, or Qualified Medical Savings Accounts (1) Nonresident individuals who are allowed a deduction for contributions made to Keoghs, SEPs, individual retirement accounts (IRAs), and qualified savings accounts (MSA) for federal purposes shall also be allowed a deduction for Oregon purposes. The deduction for Oregon is limited to a percentage of the federal deduction (not to exceed 100 percent). (2) For contributions made to a qualified Keogh or SEP plan under section 401 of the Internal Revenue Code, the deduction for Oregon is equal to the federal deduction times the ratio of Oregon earned income over earned income from all source. In general, “earned income” is the net earnings from self-employment in a trade, business, or profession in which the taxpayer performs personal service. (3) For contributions made to an IRA account under section 219 of the Internal Revenue Code, the deduction for Oregon is equal to the federal deduction times the ratio of Oregon compensation over compensation from all sources. In general, “compensation” includes alimony, wages, professional fees, or other amounts derived from or received from personal services rendered and included in gross income for the tax year. It does not include pensions, annuities, or other forms of deferred compensation. Example: Assume a nonresident taxpayer had a $2,000 IRA deduction for federal purposes. His federal and Oregon wages were $40,000 and $20,000, respectively. His Oregon deduction would be equal to $1,000 or ($2,000 x (20,000/40,000)). (4) For contributions made to a MSA under section 220 of the Internal Revenue Code, the deduction for Oregon is equal to the federal deduction times the ratio of Oregon compensation over compensation from all sources. Statutory/Other Authority: ORS 305.100 Statutes/Other Implemented: ORS 316.130 History: Renumbered from 150-316.130(3), REV 61-2016, f. 8-15-16, cert. ef. 9-1-16 RD 5-1997, f. 12-12-97, cert. ef. 12-31-97 RD 7-1989, f. 12-18-89, cert. ef. 12-31-89 12-31-86, Renumbered from 150-316.127(1)(a)-(C) 9-22-86
150-316-0205 Credit for Taxes Paid to State of Residence (1) General: An Oregon nonresident is allowed a credit for taxes paid to the state of residence if the taxpayer’s state of residence allows residents of Oregon to claim a credit for mutually taxed income on the nonresident return filed with that state. Example: Elizabeth, a California resident, receives income from Oregon property. Because California allows Oregon residents to claim a credit for mutually taxed income on the California nonresident return, Elizabeth is allowed to claim the credit on the Oregon nonresident return. (2) Computation. OAR 150-316-0084 subsection (4) shall be followed. (3) Proof required and procedure for obtaining credit. OAR 150-316-0086 and 150-316-0080 shall be followed. (4) Special filing status. OAR 150-316-0084 subsections (5), (6), (7), and (8) shall be followed. Statutory/Other Authority: ORS 305.100 Statutes/Other Implemented: ORS 316.131 History: Renumbered from 150-316.131(1), REV 61-2016, f. 8-15-16, cert. ef. 9-1-16 REV 5-2000, f. & cert. ef. 8-3-00 12-31-93 10-15-93
150-316-0234 “Withholding Statement” and “Exemption Certificate” (1) For purposes of ORS 316.177 and ORS 316.182: (a) “Exemption certificate” means a form prescribed by the department containing an employee’s instruction to an employer certifying that the employee has no Oregon withholding requirement. (b) “Withholding statement” means a form prescribed by the department containing an employee’s instruction to an employer of the requested amount of income tax to withhold from an employee’s wages or other income. A withholding statement includes: (A) The Oregon Form OR-W-4; (B) An Oregon-only version of the 2019 or prior federal Form W-4; or (C) A 2019 or prior federal Form W-4. (2) Beginning January 1, 2020, changes made to an employee’s withholding statement or exemption certificate must be made using Form OR-W-4. (3) If an employee’s Oregon withholding is determined based upon the withholding statement described in (1)(b)(C), and the employee submits a 2020 or later version of the federal Form W-4 to the employer without also providing Form OR-W-4, the employer must withhold for Oregon at a rate of eight percent. Statutory/Other Authority: ORS 305.100 Statutes/Other Implemented: ORS 316.177 & 316.182 History: REV 13-2019, adopt filed 12/12/2019, effective 01/01/2020
150-316-0239 Withholding on Fringe Benefits (1) A fringe benefit is not subject to withholding for Oregon purposes if it is not subject to Oregon income tax. (2) When a fringe benefit is subject to withholding, the rate of withholding is determined by Oregon withholding tax tables considering total income for the payroll period. Statutory/Other Authority: ORS 305.100 Statutes/Other Implemented: ORS 316.162 History: Renumbered from 150-316.162(2)-(C), REV 61-2016, f. 8-15-16, cert. ef. 9-1-16 RD 7-1988, f. 12-19-88, cert. ef. 12-31-88
150-316-0241 Independent Contractor Definition (1) As used in the various provisions of ORS Chapters 316, 656, 657, 671 and 701, an individual or business entity that performs labor or services for remuneration shall be considered to perform the labor or services as an "independent contractor" if the standards of ORS 670.600 are met. See OAR 150-670-0010 for definitions related to independent contractors. (2) The Construction Contractors Board, Employment Department, Landscape Contractors Board, Department of Consumer and Business Services, and Department of Revenue of the State of Oregon, under the authority of ORS 670.605, will cooperate as necessary in their compliance and enforcement activities to ensure among the agencies the consistent interpretation and application of ORS 670.600. Statutory/Other Authority: ORS 305.100 & 670.605 Statutes/Other Implemented: ORS 670.600 & 316.162 History: Renumbered from 150-316.162(2)(j), REV 61-2016, f. 8-15-16, cert. ef. 9-1-16 REV 1-2007, f. & cert. ef. 2-1-07 REV 6-2005, f. 12-30-05, cert. ef. 1-1-06 REV 12-2000, f. 12-29-00, cert. ef. 12-31-00 RD 7-1992, f. & cert. ef. 12-29-92
150-316-0243 Personal Liability of Responsible Officers, Members, or Employees for Taxes Withheld (1) To be held personally liable for unpaid income tax withholding or statewide transit tax under ORS 316.162, a person must have been considered to have been an “employer.” In addition, the person must have been in a position to pay the income tax withholding or statewide transit tax or direct the payment of the income tax withholding or statewide transit tax at the time the duty arose to withhold or pay over the taxes. Additionally, the person must have been aware, or have been in a position that should have been aware, that the income tax withholding or statewide transit tax was not paid to the department. An employer cannot avoid personal liability by delegating their responsibilities to another. (2) “Employer” includes, but is not limited to an officer, member or employee of a corporation, partnership or other business entity, if, among other duties, that individual has: (a) Authority to see that the income tax withholding or statewide transit taxes are paid when due; (b) Authority to prefer one creditor over another; (c) Authority to hire and dismiss employees; (d) Authority to set employees’ working conditions and schedules; (e) Authority to sign or co-sign checks; (f) Authority to compute and sign payroll tax or statewide transit tax reports; (g) Authority to make fiscal decisions for the business; (h) Authority to incur debt on behalf of the business; or (i) Performed duties other than those outlined by the corporate bylaws or partnership agreement. (3) The following factors do not preclude a finding that the individual is liable for the payment of taxes which were required to be withheld: (a) Whether the failure to pay over the required income tax withholding or statewide transit tax was willful; (b) Whether the individual received remuneration; (c) Maintenance of full-time employment elsewhere; (d) The department considers another individual liable for the same income tax withholding or statewide transit tax; (e) A corporate bylaw or partnership agreement position description to the contrary; (f) Absence of signatory authority on a business bank account; (g) Absence of bookkeeping or recordkeeping duties; (h) Absence of authority to hire, fire, and to set working conditions and schedules; or (i) Whether any functions indicating liability have been delegated to another. Statutory/Other Authority: ORS 305.100 Statutes/Other Implemented: ORS 316.162 History: REV 4-2022, amend filed 06/03/2022, effective 06/03/2022 REV 78-2017, amend filed 12/28/2017, effective 01/01/2018 Renumbered from 150-316.162(3), REV 61-2016, f. 8-15-16, cert. ef. 9-1-16 REV 1-2005, f. 6-27-05, cert. ef. 6-30-05, Renumbered from 150-316.162(4) REV 8-2001, f. & cert. ef. 12-31-01, Renumbered from 150-316.162(3) RD 11-1985, f. 12-26-85, cert. ef. 12-31-85
150-316-0250 Bonding Requirements for Delinquent Withholding Employers (1) As used in this section, a surety bond means a bond that guarantees payment of future income tax withholding or statewide transit taxes of employers. In order for a surety bond to be acceptable, it must be issued by a company authorized to do business in Oregon by the Oregon Division of Financial Regulation. (2) As used in this section, an irrevocable letter of credit means an irrevocable letter of credit issued by a commercial bank. “Commercial bank” is defined as a bank, a savings bank, a stock savings bank, a national bank, a foreign institution or an extranational institution. (3) The department may require an employer to post a bond or irrevocable letter of credit if the employer becomes delinquent for three calendar quarters and the tax amount exceeds $2,500.00. The amount of the bond or irrevocable letter of credit must be at least equal to the amount that should have been withheld from wages for four calendar quarters. (4) If an employer elects to pay over income tax withholding or statewide transit taxes within three banking days of each payday, the employer will not be required to post a bond or irrevocable letter of credit. Employers electing this option must continue making payments in this manner until all delinquent amounts are paid in full and they have had no further delinquent returns or payments for four consecutive calendar quarters. (5) As used in ORS 316.164(4), “other methods of collection” means billing notices, collection letters, and telephone calls. (6) All bonds or irrevocable letters of credit become the property of the department and must be used solely to guarantee payment of income tax withholding or statewide transit taxes. The department may, at any time, apply any part or all of the bond or irrevocable letter of credit to any delinquency accrued after the bond or irrevocable letter of credit was posted. However, the employer must maintain the original amount of the bond or irrevocable letter of credit at all times. (7) The bond or irrevocable letter of credit, or unused portion must be returned to an employer when: (a) The employer stops doing business as an employer and all delinquent amounts are paid in full; or (b) The employer pays all delinquent amounts in full and has no further delinquent returns or payments for four consecutive calendar quarters. (8) The department may proceed with action through the Oregon Tax Court to require compliance from any employer who fails to comply with this section. (9) Any appeal by an employer will not relieve an employer of posting a bond or irrevocable letter of credit or making accelerated payments, if required to do so by the department. Statutory/Other Authority: ORS 305.100 Statutes/Other Implemented: ORS 316.164 History: REV 78-2017, amend filed 12/28/2017, effective 01/01/2018 Renumbered from 150-316.164, REV 61-2016, f. 8-15-16, cert. ef. 9-1-16 RD 4-1991, f. 12-30-91, cert. ef. 12-31-91 RD 7-1989, f. 12-18-89, cert. ef. 12-31-89 RD 11-1988, f. 12-19-88, cert. ef. 12-31-88 RD 11-1985, f. 12-26-85, cert. ef. 12-31-85
150-316-0257 Employer’s Election of Method of Computing Withholding (1) Employers have the option of using either the tax tables or the formulas developed and furnished by the department in computing the amount to be withheld from regular wage payments. The tax tables and formulas are published by the department. Employers may not modify the published tables or formulas. (2) If a supplemental wage payment is made on or after January 1, 2020, the employer may compute the amount to be withheld by using the tax tables or formulas, or may withhold at a flat rate of 8 percent. Supplemental wage payments include bonuses, premiums, awards, gifts and other payments made to an employee, on the condition of their employment, occurring no more than twice a year. Statutory/Other Authority: ORS 305.100 Statutes/Other Implemented: ORS 316.167 History: REV 13-2019, amend filed 12/12/2019, effective 01/01/2020 Renumbered from 150-316.167(2), REV 61-2016, f. 8-15-16, cert. ef. 9-1-16 REV 6-1998, f. 11-13-98, cert. ef. 12-31-98 RD 5-1993, f. 12-30-93, cert. ef. 12-31-93 RD 4-1991, f. 12-30-91, cert. ef. 12-31-91 RD 10-1984, f. 12-5-84, cert. ef. 12-31-84 RD 10-1983, f. 12-20-83, cert. ef. 12-31-83 12-19-75, Renumbered; 1969 as 150-316.167-(D)
150-316-0265 Withholding Payments: Cash Basis All withholding is on a cash basis and must be reported on a cash basis. Example: If services are performed in January but not compensated until April, withholding on the wages for those services is reported on the report for the quarter ending June 30. Statutory/Other Authority: ORS 305.100 Statutes/Other Implemented: ORS 316.168 History: Renumbered from 150-316.168(1)-(A), REV 61-2016, f. 8-15-16, cert. ef. 9-1-16 RD 4-1991, f. 12-30-91, cert. ef. 12-31-91
150-316-0267 Additional Time to File Reports Oregon does not allow additional 10 day federal extension to file the quarterly tax report when all payments are paid when due. Information provided by the taxpayer on the tax report is essential to providing timely payment of Unemployment Insurance benefits. Statutory/Other Authority: ORS 305.100 Statutes/Other Implemented: ORS 316.168 History: Renumbered from 150-316.168(2), REV 61-2016, f. 8-15-16, cert. ef. 9-1-16 REV 6-1998, f. 11-13-98, cert. ef. 12-31-98 RD 4-1991, f. 12-30-91, cert. ef. 12-31-91
150-316-0275 Treatment of Payroll Based Program Overpayments (1) If an employer has overpaid income tax withholding, statewide transit tax withholding, or transit district payroll taxes due for a quarter and files an original or amended combined quarterly tax return or an original or amended statewide transit tax return, the department will refund the overpayment or apply the overpayment (roll over) toward the employer’s liability for the current or prior quarter if the employer responds to the department’s notice within 14 calendar days of the date of the notice. (2) If an employer has overpaid income tax withholding, statewide transit tax withholding, or transit district payroll taxes due for a quarter and does not instruct the department how the credit will be treated within the timeframe established in section (1) of this rule, the overpayment will be rolled over as a payment toward the employer’s liability for that tax program for the subsequent quarter. (3) If the department records show that the employer is no longer in business, and all returns have been filed, the overpayment will be refunded. Statutory/Other Authority: ORS 305.100 Statutes/Other Implemented: ORS 316.171 & 320.555 History: REV 13-2018, amend filed 06/26/2018, effective 07/01/2018 Renumbered from 150-316.171, REV 61-2016, f. 8-15-16, cert. ef. 9-1-16 REV 6-1998, f. 11-13-98, cert. ef. 12-31-98 RD 7-1994, f. 12-15-94, cert. ef. 12-30-94
150-316-0282 Exemptions for Military Personnel In addition to the withholding exemptions that a member of the Armed Forces may claim for federal income tax withholding purposes, such person who is a resident of the State of Oregon shall be allowed to claim a sufficient number of personal exemptions to equal the amount of active duty military pay that is permitted to be subtracted from gross income on the member’s Oregon personal income tax return. Statutory/Other Authority: ORS 305.100 Statutes/Other Implemented: ORS 316.177 History: Renumbered from 150-316.177(1)-(B), REV 61-2016, f. 8-15-16, cert. ef. 9-1-16 RD 7-1991, f. 12-30-91, cert. ef. 12-31-91, Renumbered from 150-316.177-(B) RD 4-1991, f. 12-30-91, cert. ef. 12-31-91, Renumbered from 150-316.177-(B) 12-31-83 12-31-77, Renumbered from 150-316.177
150-316-0284 Penalty (1) Definitions for the purposes of ORS 316.177 and this rule: (a) “Frivolous position” includes, but is not limited to: (A) Reference to a spurious constitutional argument ; (B) Reliance on a “gold standard” or “war tax” deduction; (C) An argument that wages or salaries are not includable in taxable income; (D) An argument that the Sixteenth Amendment to the United States Constitution was not properly adopted; or (E) An argument that “unenfranchised, sovereign, free men or natural persons” are not subject to the tax laws. (b) “Reasonable basis” includes, but is not limited to: (A) An employee filed a withholding statement or exemption certificate for the first time, and attempted, but failed, to correctly calculate the withholding rate in accordance with the instructions on the withholding statement or exemption certificate; (B) An employee computed the withholding rate in accordance with the instructions on the withholding statement or exemption certificate, but due to unforeseen events, the withholding rate claimed is incorrect. Unforeseen events are events that could not have reasonably been anticipated and affect the taxpayer’s taxable income or deductions for the tax year; (C) An employee filed a withholding statement or exemption certificate because the employee relied upon the advice of an individual who is qualified to practice law or public accounting in this state or an individual who is licensed by the State Board of Tax Practitioners and the employee supplied the individual with complete information connected with the advice given. (2) A penalty is assessable against an employee when: (a) The employee claims exemption from withholding and the employee does not meet the exemption requirements provided in OAR 150-316-0237 and the department has determined there is no reasonable basis for such a claim ; or (b) The department has determined the employee’s withholding is materially deficient, as defined in OAR 150-316-0290, and the withholding rate is corrected by notice to the employer and employee under OAR 150-316-0290. (3) A penalty shall not be assessed against an employee who, at the time the withholding statement or exemption certificate is filed, has a reasonable basis for the withholding statement or exemption certificate. (4) A penalty shall be assessed against an employee filing a withholding statement or exemption certificate in reliance on a frivolous position or with the apparent intent to delay or impede the administration of the income tax laws of this state. Statutory/Other Authority: ORS 305.100 Statutes/Other Implemented: ORS 316.177 History: REV 8-2021, amend filed 06/28/2021, effective 07/01/2021 Renumbered from 150-316.177(2), REV 61-2016, f. 8-15-16, cert. ef. 9-1-16 RD 7-1991, f. 12-30-91, cert. ef. 12-31-91, Renumbered from 150-316.177(4) RD 4-1991, f. 12-30-91, cert. ef. 12-31-91, Renumbered from 150-316.177(4) RD 4-1988, f. 5-25-88, cert. ef. 6-1-88