In Oregon, different tax brackets are applicable to different filing types. Married couples filing their Oregon income tax return jointly will usually have wider tax brackets than those filing separately or as an individual. As is mentioned above, it exempts Social Security retirement benefits from the state income tax. It also has no sales tax, along with property taxes that are a bit lower than the national Insurance Accounting average. First and foremost, your paycheck is subject to federal income taxes and FICA taxes.

What is the difference between Form 1099-G and Form 1099-INT?

If you earn wages in excess of $200,000 as a single filer, head of household or qualifying widow(er), these wages are subject to a 0.9% Medicare surtax. Married couples filing jointly pay this tax on wages that exceed $250,000, while married couples filing separately pay it on wages above the $125,000 threshold. Oregon exempts Social Security retirement benefits from the state income tax. Oregon taxes income from retirement accounts like a 401(k) or an IRA, though, at the full state income tax rates. The state has no sales tax, along with property taxes that are slightly below average.

Oregon: Federal FICA Rates in 2021

• The Tax tables below include the tax rates, thresholds and allowances included in the Oregon Tax Calculator 2019.
• Residents of Portland should also factor in the city’s $35 arts tax, which applies to many adult residents.
• These deductions, such as union dues, charitable donations, or wage garnishments, are taken out after taxes have been calculated and withheld.
• If your deductible expenses don’t exceed these amounts, the standard deduction is a straightforward way to simplify your filing while maximizing your deductions.
• To file a tax return in Oregon, taxpayers must complete and submit a tax return form.

This tool is freely available and is designed to help you accurately estimate your 2020 tax return. The 2020 tax rates and thresholds for both the Oregon State Tax Tables and Federal Tax Tables are comprehensively integrated into the Oregon Tax Calculator for 2020. This tool is freely available and is designed to help you accurately estimate your 2021 tax return. The most commonly used business structure that is subject to corporate taxes is a C-Corporation.

Calculate Your Income Taxes in These Other States

• The rate depends on the tax rate approved by local voters and the limits established by the Oregon Constitution.
• While this will result in slightly less money per paycheck, it could save you money come tax time.
• The Tax tables below include the tax rates, thresholds and allowances included in the Oregon Tax Calculator 2022.
• The Tax tables below include the tax rates, thresholds and allowances included in the Oregon Tax Calculator 2025.
• 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.

When calculating your Oregon income tax, keep in mind that the Oregon state income tax brackets are only applied to your adjusted gross income (AGI) after you have made any qualifying deductions. Income tax deductions are expenses that can be deducted from your gross pre-tax income. Using deductions is an excellent way to reduce your Oregon income tax and maximize your refund, so be sure to research deductions that you mey be able to claim on your Federal and Oregon tax returns.

Oregon State Corporate Income Tax 2025

Be sure to check which ones apply to your situation so you can get the most out of your Oregon state income tax refund. If you meet these state filing thresholds, you’re responsible for filing Oregon state income taxes. Be sure to file to ensure you stay compliant and avoid potential penalties.

Oregon’s personal income tax is mildly progressive; the entire tax system is not

We do not include the universe of companies or financial offers that may be available to you. Whether you’re a full-year resident, part-year resident, or nonresident, TurboTax is here to help. ​You can drop off your tax form and make non-cash payments in person at our main office in Salem or at one of our regional field offices in Bend, Eugene, Gresham, Medford, or Portland. (She paid for 7,000 shares at $50 each, oregon state income tax rate for a total of $350,000, and then sold them for $100 each, for a total of $700,000. That’s a net gain of $350,000). Let’s consider Jenna, a Oregon investor who purchased 7,000 shares of Apple stock in April 2019 at $50 per share. She decides to sell her shares in January 2025 at a price of $100 each.

• This allows the wealthy to avoid taxes for years, and sometimes forever.
• A tax credit allows taxpayers to reduce the amount of taxes they are required to pay.
• The state of Oregon has a progressive tax system which is reflected on the tax brackets for the upcoming tax season.
• The table below shows the full tax brackets and rates for the state income tax in Oregon.
• If you have cashed out capital gains in Oregon, you know you’ll lose something to taxes.
• The standard deduction for a Head of Household Filer in Oregon for 2022 is $ 2,420.00.

Return due in 2023

The federal standard deduction for a Head of Household Filer in 2025 is $ 22,500.00. TurboTax makes it simple to maximize your refund and keep more of what you’ve earned. 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.

Common Oregon state tax credits

For previous years' tax rates, refer to the tax charts on the last page of Publication OR-17. Once you've filed your tax return, all you have to do is wait for your refund to arrive. If you want to check the status of your Oregon tax refund, you can visit the Oregon Income Tax Refund page. The two most popular tax software packages are H&R Block At Home, sold by the H&R Block tax preparation company, and TurboTax Federal & State, sold by the Intuit software company. Both companies produce multiple editions for simple to very complex tax returns, so be sure to carefully compare the features offered by each package.

Oregon Property Tax

In order to Online Accounting gain Oregon tax-exempt status, a corporation must qualify as a 501(c) and obtain a Nonprofit Tax-Exempt ID Number from the IRS. Oregon may also require nonprofits to file additional paperwork with the Oregon Department of Revenue to gain exemption from Oregon's corporate taxes. These deductions, such as union dues, charitable donations, or wage garnishments, are taken out after taxes have been calculated and withheld. By monitoring your post-tax deductions, you can ensure that you’re making the most of your paycheck and maximizing your financial well-being. But if you want to raise tax rates on the rich and big corporations to fund schools or other essential services, then you need three-fifths of each chamber of the legislature to agree.