Oregon Income Tax Rates for 2024

Here’s how it works, and a list of state tax rates across the U.S. Meanwhile, the greater Portland area’s Metro Supportive Housing Services Tax is a 1% levy on taxable income above $125,000 for individuals and $200,000 for married couples filing jointly. Taxpayers in Multnomah County, https://www.bookstime.com/articles/dental-bookkeeping which is home to Portland, also pay the Preschool For All Personal Income Tax. For single filers, this is a 1.5% tax on income above $125,000 and 3% on income above $250,000. Married couples filing jointly pay 1.5% on income above $200,000 and 3% on income above $400,000.

Sales taxes

Download Publication OR-ESTIMATE​​, for more information about estimated personal income tax payments. TaxFormFinder has an additional 50 Oregon income tax forms that you may need, plus all federal income tax forms.These related forms may also be needed with the Oregon Form OR-40 Instructions. 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. For details on specific deductions available in Oregon, see the list of Oregon income tax deductions. Under Oregon law, we only issue tax refunds to taxpayers after a claim for refund is submitted and validated.

• If you purchase a product or register for an account through a link on our site, we may receive compensation.
• Those with an Oregon 529 College Savings Plan had a carry forward option available until December 31, 2019, and can still carry forward any unused subtraction before that date until 2023.
• Oregon does not have a state sales tax and does not levy local sales taxes.
• In these cases, the state will pay the property taxes, but will place a lien on the property and charge deferred lien fees.
• Alternatively, you can send an email to or visit one of the department’s regional offices.
• While this will result in slightly less money per paycheck, it could save you money come tax time.

Inheritance and Estate Tax and Inheritance and Estate Tax Exemption

Benefits of e-Filing your Oregon tax return include instant submission, error checking, and faster refund response times. Most tax preparers can electronically file your return for you, or you can do it yourself using free or paid income tax software, like the examples listed below. Oregon levies a progressive state income tax system oregon state income tax with one of the highest top rates in the U.S., at 9.90%. Residents of the greater Portland metro area also have to pay local income tax However, the Beaver State also has no sales taxes and below-average property taxes. Your filing status on your Oregon state tax return should generally match your status on your federal return.

Itemized Deductions

Free guided tax preparation is available from several companies for taxpayers that meet income requirements. Using links from the department’s website ensures that both taxpayers’ federal and state return will be filed for free. Homeowners 62 and older may qualify for Oregon’s property tax deferral program.

For 2023, single filers and married couples filing separately , separately with more than $125,000 in taxable income have to pay that top rate. That income threshold is doubled for married people filing together and heads of household. Beyond federal income taxes, your employer will also withhold Social Security and Medicare taxes from each of your paychecks. Social Security tax is withheld at 6.2% and Medicare tax at 1.45% of your wages. Your employer then matches those amounts, so the total contribution is double what you paid.

For previous years’ tax rates, refer to the tax charts on the last page of Publication OR-17. You must contact us to check the status of a prior year or amended tax refund. You may be able to get a tax refund if you’ve paid too much tax or you’re receiving a refundable tax credit (such as the Earned Income Credit, Oregon Kids Credit, or kicker). Oregon does not collect sales taxes of any kind, at the state or local level.

How can I track an Oregon tax refund?

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. Although this year is a bit different, your Oregon state income tax return and any tax you owe generally are due on the same day as your federal tax return, typically April 15. If Tax Day falls on a weekend or holiday, you’ll have until the following business day to meet the deadline. Generally, you’re allowed to take a deduction for real estate taxes you’ve paid, up to $10,000 ($5,000 if married filing separately).

• If you fall into this camp, make sure that during tax season you look into possible deductions to help recoup the money you spend on the “employer” portion of FICA taxes.
• TaxFormFinder has an additional 50 Oregon income tax forms that you may need, plus all federal income tax forms.These related forms may also be needed with the Oregon Form OR-40 Instructions.
• Contributions you make to a retirement plan, like a 401(k), or to a medical expense account, like a health savings account (HSA), will also come out of your paycheck.
• The IRS’s Volunteer Income Tax Assistance (VITA) and Tax Counseling for the Elderly (TCE) programs offer free basic tax return preparation to qualified individuals.
• That top marginal rate is one of the highest rates in the country.

Filing and payment deadline