Oregon State Income Tax Rates and Brackets by Tax Year

These credits can make a big difference when oregon income tax rate it’s time to file your taxes. Be sure to check which ones apply to your situation so you can get the most out of your Oregon state income tax refund. Forty-four states levy a corporate income tax, with top rates ranging from a 2.25 percent flat rate in North Carolina to a 11.5 percent top marginal rate in New Jersey. The Federal income tax also has a standard deduction, personal exemptions, and dependant deductions, though they are different amounts than Oregon’s and may have different rules. Oregon’s maximum marginal income tax rate is the 1st highest in the United States, ranking directly below Oregon’s %.

Guide to Deferred Sales Trusts

It’s important to understand your state’s income tax and how it will impact your financial future, not least because that knowledge will empower you to take action to reduce your tax bill today. Taxpayers can authorize a direct debit from a bank account through Revenue Online or tax software. Payments by credit or debit card are also accepted, though a processing fee may apply. TurboTax makes it simple to maximize your refund and keep more of what you’ve earned.

• Most properties are taxed by a number of districts, such as a city, county, school district, community college, fire district or port.
• For the 2024 tax year, the Oregon Kids Credit is a refundable credit of up to $1,000 per qualifying child, age five or younger, for families who meet specific income requirements.
• The Federal income tax also has a standard deduction, personal exemptions, and dependant deductions, though they are different amounts than Oregon’s and may have different rules.
• The following tax tables are supported by iCalculator™ US as part of the suite of free tax tools available in the US Tax HUB we provide for Oregon.
• If you were Black, mixed-race, Hawaiian, or Chinese, you had to pay a tax not levied on white Oregonians.

Vaping Taxes by State, 2025

Revenue from the property tax typically goes to support local services such as schools and law enforcement. Oregon has a progressive income tax that ranks among the Budgeting for Nonprofits highest in the nation. The average effective property tax rate is just below average, however, ranking 25th in the country.

How You Can Affect Your Oregon Paycheck

The Oregon Department of Revenue encourages electronic filing, which expedites refunds and minimizes errors through built-in checks. The Oregon Free File program provides no-cost filing options for eligible taxpayers, streamlining the process for those who qualify. Oregon residents, part-year residents, and nonresidents must meet specific filing requirements based on their residency status, income level, and filing status. Stay what are retained earnings informed on Oregon’s latest tax updates, understand brackets, and learn filing tips to optimize your tax return efficiently. Payment can be made by direct debit when e-filing, online through the Department of Revenue’s portal, or by mailing a check or money order.

• Effective beginning tax year 2020, the Legislature reduced Oregon’s first three income tax brackets from 5%, 7%, and 9%, to 4.75%, 6.75%, and 8.75% respectively.
• Some residents are also subject to local income taxes imposed by specific jurisdictions.
• Residency can also be established by maintaining a permanent home in Oregon and spending more than 200 days there.
• The 2022 tax rates and thresholds for both the Oregon State Tax Tables and Federal Tax Tables are comprehensively integrated into the Oregon Tax Calculator for 2022.
• As a refundable credit, the EITC not only reduces the amount of tax owed but can also result in a refund if the credit exceeds the taxpayer’s total tax liability.

Estimated tax payments may be required throughout the year for those with income not subject to withholding, such as from self-employment, if they expect to owe $1,000 or more in tax. The Oregon Department of Revenue encourages electronic filing through its iWire system or approved tax preparation software. Taxpayers can also file by mail using the appropriate form (OR-40, OR-40-P, or OR-40-N) for their residency status and sending it to the address specified in the instructions. He brings deep financial and strategic expertise from his prior roles at McKinsey & Company and Goldman Sachs. Mani earned his degree from the University of Michigan and launched Valur in 2020 to transform how individuals and advisors approach tax planning.