justicedao/ipfs_state_laws huggingface dataset:
150-317-0100 Periods of Less than 12 Months Are Tax Years (1) Under Oregon’s tie to federal accounting periods, an Oregon return shall cover the same period as the corresponding federal return. See also OAR 150-314-0005. (2) Internal Revenue Code Regulation 1.1502-76 provides that any period of less than 12 months for which either a separate return or a consolidated return is filed shall be considered as a separate taxable year. Example: Corporation X and its federal consolidated subsidiaries have a fiscal year end of June 30. On January 31, 1989, Corporation X sold Corporation Y (one of its 100 percent owned subsidiaries included in its consolidated returns) to Corporation Z. Corporation Z has a fiscal year ending May 31, 1988 and Corporation Y is required to change its tax year to be the same. Corporation Y must file two short-period returns for federal and Oregon tax purposes (one for July 1, 1988, through January 31, 1989, and another for February 1 through May 31, 1989). Each short-period return shall count as a tax year for purposes of net operating loss and tax credit carryovers. If Corporation Y was not unitary with Corporation X or Corporation Z, it shall file separate Oregon returns for the two periods. For tax years beginning before January 1, 1986, Corporation Y was allowed by the department to file one Oregon return with the two short-period federal returns attached. [Publications: Publications referenced are available from the agency.] Statutory/Other Authority: ORS 305.100 Statutes/Other Implemented: ORS 317.018 History: Renumbered from 150-317.018(2), REV 67-2016, f. 8-15-16, cert. ef. 9-1-16 RD 7-1989, f. 12-18-89, cert. ef. 12-31-89
150-317-0110 Tax Reform Act of 1984 Adjustments The rule under OAR 150-316-0020 shall be followed in determining how adjustments due to adoption of effective dates in the federal Tax Reform Act of 1984 shall be reported. Statutory/Other Authority: ORS 305.100 Statutes/Other Implemented: ORS 314.031 History: Renumbered from 150-317.021, REV 67-2016, f. 8-15-16, cert. ef. 9-1-16 RD 12-1985, f. 12-16-85, cert. ef. 12-31-85
150-317-0130 Tax on Homeowner’s Association Income Homeowners associations, such as condominium management associations and residential real estate management associations, may elect to be treated as tax-exempt organizations for taxable years beginning on and after January 1, 1978. But this tax-exempt status will protect the association from tax only on its exempt function income, such as membership dues, fees, and assessments received from member-owners of residential units in the particular condominium or subdivision involved. The homeowners association taxable income will be taxed at the corporate rates provided in ORS 317.061. To qualify for the election, the association must meet the following conditions: (1) A copy of the federal Form 1120-H filed with the Internal Revenue Service must be filed with the Oregon Department of Revenue no later than the time prescribed by law for filing the return. (2) It must be organized and operated as provided in section 528(c) of the Internal Revenue Code. (3) "Homeowners association taxable income" is determined pursuant to section 528(d) of the Internal Revenue Code and pertinent federal regulations. However, net capital gains shall be included in the computation of homeowners association taxable income and shall receive no special treatment. (4) “Exempt function income” is determined pursuant to section 528(d) of the Internal Revenue Code and pertinent federal regulations. (5) If a homeowners association that elects to be treated as a tax exempt organization has positive homeowners association taxable income, it shall be reported on an Oregon Corporation Excise Tax Return, Form 20and the association is subject to the greater of the calculated corporation excise tax or the minimum tax. (6) If a homeowners association that elects to be treated as a tax-exempt organization does not have positive homeowners association taxable income, the association is not required to file an Oregon Corporation Excise Tax Return, Form 20 and is not subject to the minimum tax. [Publications: Publications referenced are available from the agency pursuant to ORS 183.360(2) and 183.355(1)(b).] Statutory/Other Authority: ORS 305.100 Statutes/Other Implemented: ORS 317.067 History: Renumbered from 150-317.067, REV 67-2016, f. 8-15-16, cert. ef. 9-1-16 REV 11-2013, f. 12-26-13, cert. ef. 1-1-14 REV 12-1999, f. 12-30-99, cert. ef. 12-31-99 RD 12-1990, f. 12-20-90, cert. ef. 12-31-90 TC 9-1978, f. 12-5-78, cert. ef. 12-31-78, Renumbered from 150-317.080(6)(b) 10-7-77
150-317-0140 Imposition of the Tax: Mercantile, Manufacturing and Business Corporations A corporation excise tax is imposed for the privilege of doing business in Oregon during the year prior to that in which the tax is due and payable. The tax is measured by the corporation’s Oregon taxable income as computed in accordance with the provisions of this chapter. A foreign corporation is authorized to do business in this state if it is qualified to do business here. A domestic corporation is authorized to do business if a certificate of incorporation has been issued to it, even though the details of corporate organization have not been completed and no business has been transacted. If a corporation is subject to Oregon jurisdiction and is a part of a unitary group, as defined in ORS 317.705, the determination of the taxable income attributable to Oregon shall be made in accordance with ORS 314.605 to 314.675, 317.705 to 317.720, and the rules thereunder, although the corporation itself may be taxable only by Oregon. Statutory/Other Authority: ORS 305.100 Statutes/Other Implemented: ORS 317.070 History: Renumbered from 150-317.070(1), REV 67-2016, f. 8-15-16, cert. ef. 9-1-16 RD 7-1991, f. 12-30-91, cert. ef. 12-31-91 RD 7-1983, f. 12-20-83, cert. ef. 12-31-83 1-1-77 12-70 11-69 1958
150-317-0150 Adoption of Federal Exempt Organizations NOTE: Health Maintenance Organizations. With the adoption of Oregon Laws 1987, Ch. 293, Section 36, (Enrolled HB 2225), Oregon exempts the same organizations from Oregon corporation income or excise tax as tax exempt for federal tax purposes, with the exception of health maintenance organizations (HMOs). HMOs are not exempt from the Oregon Corporation income or excise tax for tax years beginning prior to January 1, 1989, if a substantial part of their activities consists of providing commercial type insurance. For tax years beginning on or after January 1, 1989, HMOs are exempt for Oregon tax purposes to the same extent they are exempt for federal tax purposes. For taxable years beginning prior to January 1, 1987, the law and corresponding rules applicable for those years shall remain in full force and effect. Insurance Companies. For tax years beginning on or after January 1, 1987 and before January 1, 1997, corporations exempt from Oregon corporation excise or income tax include; 1) Foreign or alien insurance companies and foreign or alien interinsurance and reciprocal exchanges, upon which a tax on premiums is levied; 2) Domestic insurance companies organized after January 1, 1971, owned or controlled by a foreign insurance company or by a foreign corporation owning or controlling a foreign insurance company, upon which a tax on premiums is levied. Effective for tax years beginning on or after January 1, 1997, foreign or alien insurance companies are exempt from the corporation excise tax only with respect to the underwriting profit derived from writing wet marine and transportation insurance subject to tax under ORS 731.824 and ORS 731.828. Other Exempt Corporation. Oregon specifically exempts those corporations listed under ORS 317.080, including: 1) Corporations organized and operated primarily for the purpose of furnishing permanent residential, recreational and social facilities primarily for elderly persons; 2) People’s utility districts established under ORS Chapter 261; 3) Charitable risk pools described in section 501(n) of the Internal Revenue Code; and 4) Qualified state tuition programs described in section 529 of the Internal Revenue Code. Statutory/Other Authority: ORS 305.100 Statutes/Other Implemented: ORS 317.080 History: Renumbered from 150-317.080, REV 67-2016, f. 8-15-16, cert. ef. 9-1-16 REV 7-1998, f. 11-13-98, cert. ef. 12-31-98 RD 7-1989, f. 12-18-89, cert. ef. 12-31-89 RD 15-1987, f. 12-10-87, cert. ef. 12-31-87
150-317-0190 Affordable Housing Credit; Definitions; Transfers; Carry Forward of Unused Credit (1) Definitions, as used in ORS 317.097. (a) Community Rehabilitation Program. A "community rehabilitation program" is a program sponsored by a nonprofit corporation or local government unit for the rehabilitation of low income housing. (b) Project. A "project" is one or more units of housing that will be sold or rented to households whose incomes are less than 80 percent of the area median income. (c) Time the qualified loan for housing construction, development, acquisition or rehabilitation is made. The "time the qualified loan for housing construction, development, acquisition or rehabilitation is made" is the date a note is signed for a loan and the interest rate becomes effective with the closing of the loan, or the date a conversion loan becomes a permanent loan. Either date may be used to determine the interest rate on nonsubsidized loans made under like terms and conditions as the qualifying affordable housing loan. (2) If a qualifying loan is transferred by a lending institution to another entity, the transferee's credit must be computed in the same way and subject to the same limitations as the prior lending institution's credit. The transferee cannot claim a credit on the loan beyond the 20 year period that started with the date the loan was originally made. (3) Unused credits from tax years starting before January 1, 1995 may be carried forward 15 years. Unused credits from tax years starting on or after January 1, 1995 may be carried forward 5 years. (4) See OAR 813-110-0005 through 813-110-0040 for Housing and Community Development Department rules relating to the Oregon Affordable Housing Tax Credit Program. Statutory/Other Authority: ORS 305.100 & 317.097 Statutes/Other Implemented: ORS 317.097 History: Renumbered from 150-317.097, REV 67-2016, f. 8-15-16, cert. ef. 9-1-16 REV 10-2009, f. 12-21-09, cert. ef. 1-1-10 REV 3-2005, f. 12-30-05, cert. ef. 1-1-06 REV 7-1999, f. 12-1-99, cert. ef. 12-31-99 RD 6-1996, f. 12-23-96, cert. ef. 12-31-96 RD 7-1991, f. 12-30-91, cert. ef. 12-31-91 RD 1-1990, f. & cert. ef. 3-15-90
150-317-0200 Commercial Lending Institution Loans for Underground Storage Tanks or Soil Remediation (1) ORS 317.099 was repealed December 31, 1991. On January 1, 1992, any finance charge that would have been eligible for a tax credit to a commercial lending institution under ORS 317.099 on the outstanding term of any loan made under ORS 317.099, shall cease to be eligible for a tax credit. Such finance charges accrued after December 31, 1991, shall be eligible for reimbursement by the Department of Environmental Quality, under the provisions of ORS 466.705 to 466.835. (2) A commercial lending institution with a fiscal tax year ending after January 1, 1992, shall receive a tax credit on all eligible finance charges received or accrued before that date. Statutory/Other Authority: ORS 305.100 Statutes/Other Implemented: ORS 317.099 History: Renumbered from 150-317.099, REV 67-2016, f. 8-15-16, cert. ef. 9-1-16 RD 9-1992, f. 12-29-92, cert. ef. 12-31-92
150-317-0210 Carryover of the Lender’s Credit for Weatherization Loans An excess Lender’s Credit may be carried forward for up to 15 years. Carryovers from tax years beginning in 1977 may not be claimed on the taxpayer’s 1985 or 1986 corporation excise tax returns. Carryovers from tax years beginning in 1978 may not be claimed on the taxpayer’s 1986 corporation excise tax return. For purposes of computing the remaining carryover from tax years beginning in 1977 and 1978, the years in which the credit carryover was not allowed reduces the number of carryover years remaining. Credit carryovers from tax years beginning in 1979 and later may be claimed in tax years beginning in 1985 and 1986. In addition to the Lender’s Credit Form (150-102-125) a separate schedule showing how the amount of unused credit carryover is computed shall be attached to the return for tax years that the unused credit carryover is being claimed. [ED. NOTE: Forms referenced are available from the agency.] Statutory/Other Authority: ORS 305.100 Statutes/Other Implemented: ORS 317.111 History: Renumbered from 150-317.111, REV 67-2016, f. 8-15-16, cert. ef. 9-1-16 RD 12-1985, f. 12-16-85, cert. ef. 12-31-85
150-317-0220 Lender’s Credit: Loans to Wood Heat and Fuel Oil Heat Customers (1) A credit is available to commercial lending institutions for tax years beginning on or after January 1, 1982, for low interest loans made to wood heat and fuel oil heat customers to finance energy conservation measures. To qualify, the loans must be made on or after January 1, 1982. (2) The amount of the credit is equal to the difference between the interest charged on a qualifying loan, at an interest rate of 6 percent, and the interest that would have been charged if the loan had been issued at the lending institution’s normal fixed interest rate. The fixed interest rate cannot exceed a maximum rate set by the director of the Office of Energy. The normal fixed interest rate is the rate that would have been charged on a similar loan made on the same day as the qualifying loan. The initial rate of interest charged on variable rate loans may be substituted for the fixed rate if the lending institution does not make fixed rate nonsubsidized loans. If the credit exceeds the commercial lending institution’s tax liability, the balance may be carried forward for up to 15 years. Statutory/Other Authority: ORS 305.100 Statutes/Other Implemented: ORS 317.112 History: Renumbered from 150-317.112, REV 67-2016, f. 8-15-16, cert. ef. 9-1-16 REV 8-2001, f. & cert. ef. 12-31-01 REV 7-1999, f. 12-1-99, cert. ef. 12-31-99 RD 3-1995, f. 12-29-95, cert. ef. 12-31-95 RD 7-1991, f. 12-30-91, cert. ef. 12-31-91, Renumbered from 150-317.099(Note)-(B)-(1) RD 12-1990, f. 12-20-90, cert. ef. 12-31-90, Renumbered from 150-317.090(Note)-(B)-(1) RD 7-1989, f. 12-18-89, cert. ef. 12-31-89, Renumbered from 150-317.100(Note)-(A) 12-31-87 12-31-82 12-6-82
150-317-0230 Lender’s Credit: Computation The credit is computed as follows: Step 1: Calculate the interest that would have been charged during the tax year if the qualifying loans had been issued at the commercial lending institution’s normal fixed rate of interest at the time the loans were made. Step 2: Determine the actual interest charged on the qualifying loans during the tax year at an interest rate of 6 1⁄2 percent. Step 3: Subtract the interest charged as determined in Step 2 from the interest calculated in Step 1. The difference is the available lender’s credit. Normal loan fees and prepayment penalties do not affect the eligibility of a low interest loan. Loan fees financed as part of the qualifying loan are includable in computing the interest that would have been charged at the lending institution’s normal interest rate as well as the actual interest charged on the qualifying loan. If a qualified loan is terminated because of a prepayment or default, interest is computed from the start of the tax year through the date of termination at both the 6 1⁄2 percent rate and the normal fixed interest rate determined at the time the loan was made. The amount by which the interest charged at the normal fixed interest rate exceeds the interest charged at 6 1⁄2 percent is included in computing the available lender’s credit. Statutory/Other Authority: ORS 305.100 Statutes/Other Implemented: ORS 317.112 History: Renumbered from 150-317.112(1), REV 67-2016, f. 8-15-16, cert. ef. 9-1-16 RD 7-1991, f. 12-30-91, cert. ef. 12-31-91, Renumbered from 150-317.099(Note)-(B)-(3) RD 12-1990, f. 12-20-90, cert. ef. 12-31-90, Renumbered from 150-317.090(Note)-(B)-(3) RD 7-1989, f. 12-18-89, cert. ef. 12-31-89, Renumbered from 150-317.100(Note)-(C) RD 15-1987, f. 12-10-87, cert. ef. 12-31-8 12-31-82 12-6-82
150-317-0240 Lender’s Credit: Definitions (1) Fuel oil is defined under rules adopted by the Office of Energy. (2) “Commercial lending institution” is defined in Section 22, Chapter 894, Oregon Laws 1981 to include state and federal credit unions maintaining an office in the state. Although credit unions are included in the definition, they are exempt from the Oregon Corporate Excise Tax by ORS 317.080(12). Section 28, Chapter 894, Oregon Laws 1981 grants a credit “…against taxes otherwise due under this chapter for the taxable year.” Therefore, unless a credit union loses its exemption from the Oregon Corporation Excise Tax by either paying more than 8 percent interest on share accounts or by having unrelated business taxable income, it would not be eligible for the refundable credit. Statutory/Other Authority: ORS 305.100 Statutes/Other Implemented: ORS 317.112 History: Renumbered from 150-317.112(7), REV 67-2016, f. 8-15-16, cert. ef. 9-1-16 REV 7-1999, f. 12-1-99, cert. ef. 12-31-99 RD 7-1991, f. 12-30-91, cert. ef. 12-31-91, Renumbered from 150-317.099(Note)-(B)-(2) RD 12-1990, f. 12-20-90, cert. ef. 12-31-90, Renumbered from 150-317.090(Note)-(B)-(2) RD 7-1989, f. 12-18-89, cert. ef. 12-31-89, Renumbered from 150-317.100(Note)-(B) 12-31-82 12-31-81, Renumbered from 150-317.100(Note)
150-317-0245 Commencement of Long Term Enterprise Zone Tax Credit For purposes of determining the commencement of the tax credit under ORS 317.124, a facility is “placed in service” when a certified business has received a permit to occupy and use the building for its intended purpose. Statutory/Other Authority: ORS 305.100 Statutes/Other Implemented: ORS 317.124 History: REV 5-2019, adopt filed 12/11/2019, effective 01/01/2020
150-317-0250 Long Term Enterprise Zone Distributions (1) Distributions from the Long Term Enterprise Zone Fund to local taxing districts under ORS 317.131 include only corporate tax liability payments received prior to the department’s calculation of the distribution for the year. (2) Any reduction of corporate tax liability of a taxpayer for a tax year, which is recognized and accepted subsequent to the deposit of that taxpayer’s tax payments for the tax year into the Fund, will not be considered when determining the amount of the distribution to local taxing districts. (3) If the department errs when calculating the correct amount of a distribution, the department may adjust the erroneous distribution and may require the return of any erroneously distributed payments made to local taxing districts. (4) If the department requires the return of erroneously distributed payments made to local taxing districts; the department shall, if practicable, subtract the amount of the erroneously distributed payment to the local taxing district from the next distribution to the local taxing district. Otherwise, the department shall bill the local taxing district for any amount of an erroneously distributed payment that the department is unable to recover from the local taxing district by subtracting funds from the next distribution to the local taxing district. Statutory/Other Authority: ORS 305.100 Statutes/Other Implemented: ORS 317.131 History: Renumbered from 150-317.131, REV 68-2016, f. 8-15-16, cert. ef. 9-1-16 REV 6-2014, f. 12-23-14, cert. ef. 1-1-15
150-317-0270 Credit for Contributions of Computers, Scientific Equipment, and Research (1) In General. Charitable contributions of tangible personal property shall not be eligible for the credit if the donee educational institution does not use the property primarily for the education of students in Oregon. The requirement that the property be used primarily for the education of students in Oregon is met if the donee provides the donor (taxpayer) with a written statement that the property’s use is in accordance with this requirement. Such written statement shall be made available to the department upon request. For purposes of this rule “primarily” means at least 80 percent. (2) Substantiation of Fair Market Value. (a) When the taxpayer files its Oregon return claiming a credit under this section, a schedule shall be attached to the Oregon return listing the following information: (A) The name and address of the donee; (B) A description of the property contributed; (C) The date or dates of the donation; (D) The fair market value of the donation. (b) Upon audit, the taxpayer may be required to provide the same substantiation of fair market value that would be necessary for a charitable contribution deduction allowable under Internal Revenue Code Section 170. (3) Effective Date. (a) The credit for qualified charitable contributions of tangible personal property or maintenance agreements is effective for contributions made in tax years beginning on or after January 1, 1986, and prior to January 1, 2004. (b) The credit for qualified charitable contributions of monies made under a contract or agreement for scientific or engineering research is effective for contributions of monies made under a contract or agreement entered into in taxable years beginning on or after January 1, 1986, and prior to January 1, 2004. If the contract or agreement was entered into in a taxable year beginning prior to January 1, 2004, but the monies aren’t contributed until a taxable year beginning on or after January 1, 2004, the credit shall be allowed for the taxable year the monies are contributed to the qualifying educational institution. (4) Carryover. Credits otherwise allowable for tax years beginning on or after January 1, 1993, which are not used by the taxpayer in a particular year may be carried forward for up to five years. Statutory/Other Authority: ORS 305.100 Statutes/Other Implemented: ORS 317.151 History: Renumbered from 150-317.151, REV 68-2016, f. 8-15-16, cert. ef. 9-1-16 RD 4-1997, f. 9-12-97, cert. ef. 12-31-97 RD 7-1991, f. 12-30-91, cert. ef. 12-31-91, Renumbered from 150-317.102(Note)-(B) 12-31-89, Renumbered from 150-317.102(NOTE) to 150-317.102(Note)-(B) RD 7-1989, f. 12-18-89, cert. ef. 12-31-89 12-31-87 12-31-85 10-7-85
150-317-0280 Qualified Research Credit (1) This rule applies to tax years beginning on or after January 1, 1989 and before January 1, 2018. (2) The Qualified Research credit may be calculated in any manner allowed under the applicable version of IRC 41. The applicable percentage for Oregon purposes is 5% regardless of the method used to calculate the credit. [Publications: Contact the Oregon Department of Revenue to learn how to obtain a copy of the publication referred to or incorporated by reference in this rule pursuant to ORS 183.360(2) and 183.355(1)(b).] Statutory/Other Authority: ORS 305.100 & ORS 317.152 Statutes/Other Implemented: ORS 317.152 History: REV 18-2021, amend filed 12/15/2021, effective 01/01/2022 Renumbered from 150-317.152, REV 68-2016, f. 8-15-16, cert. ef. 9-1-16 REV 5-2015, f. 12-23-15, cert. ef. 1-1-16
150-317-0290 Research Tax Credit: Notice of Election The election to compute the credit under ORS 317.152 or 317.154 shall be made on the Oregon return for the tax year in which the credit is claimed. The election can be changed on an amended return subject to the limitations provided in 314.410 and 314.415. Statutory/Other Authority: ORS 305.100 Statutes/Other Implemented: ORS 317.153 History: Renumbered from 150-317.153, REV 68-2016, f. 8-15-16, cert. ef. 9-1-16 RD 3-1995, f. 12-29-95, cert. ef. 12-31-95 RD 7-1991, f. 12-30-91, cert. ef. 12-31-91, Renumbered from 150-317.145(Note)-(B)-(1) RD 12-1990, f. 12-20-90, cert. ef. 12-31-90 12-31-89, Renumbered from 150-317.145(Note)-(B) to 150-317.145(Note)-(B)-(1) 9-20-89