Oregon Department of Revenue : Calculator : Individuals : State of Oregon

States that tax GILTI increase filing complexity, drive up the cost of tax compliance, and introduce unnecessary economic uncertainty and legal risk. Get the basics on workforce standards boards, an effective strategy for states to improve wages and working conditions. Nathan Paulus is the Head of QuickBooks Content Marketing at MoneyGeek, with nearly 10 years of experience researching and creating content related to personal finance and financial literacy. Taxes and Online Accountants — Explore the benefits of using online accountants for your tax needs and find out how they can streamline the process, ensuring accuracy and efficiency. MoneyGeek is dedicated to providing trustworthy information to help you make informed financial decisions. Each article is edited, fact-checked and reviewed by industry professionals to ensure quality and accuracy.

National Study Shows Oregon’s Tax System More Progressive Than Most but Still Favors High Earners

Some states, like Arizona and Colorado, use a flat income tax where taxpayers pay the same tax rate regardless of income. Oregon collects a state income tax at a maximum marginal tax rate of %, spread across tax brackets. Like the Federal Income Tax, Oregon’s income tax allows couples filing jointly to pay a lower overall rate on their combined income with wider tax brackets for joint filers.

• Each article is edited, fact-checked and reviewed by industry professionals to ensure quality and accuracy.
• When calculating personal income taxes, Oregon relies heavily on the federal income tax structure.
• Tax Guide for Students and Parents — A comprehensive guide detailing tax implications for students and their parents, offering insights into deductions, credits, and planning for higher education expenses.
• For details on specific deductions available in Oregon, see the list of Oregon income tax deductions.
• If you want to check the status of your Oregon tax refund, you can visit the Oregon Income Tax Refund page.

4 – Oregon Itemized Deductions

Keep in mind that this estimator assumes all income is from wages, assumes the standard deduction, and does not account for tax credits. If you’re a single filer with a federal AGI no higher than $75,000 (or $150,000 for a married couple filing jointly), you can claim a standard credit of up to $50 (or up to $100 for married people filing jointly). Oregon offers tax deductions and credits to reduce your tax liability, including deductions for qualifying medical and dental expenses and real estate taxes. The marginal tax rate refers to the tax bracket you’re in, while the effective rate is the average of the rates at which you’re taxed.

Oregon Single Filer Tax Tables

From Jesus to Adam Smith, there is wide agreement that a fair tax system is one based on the ability to pay — one that asks proportionately more of a rich person than of a poor person. Taxes pay to educate our children, to care for our seniors, and for many other services that we alone cannot shoulder.

• You can save time and money by electronically filing your Oregon income tax directly with the .
• For couples filing taxes together, the 8.75 percent tax rate kicks in at $18,400 of taxable income (what you’re left with after all tax subtractions and deductions, but before tax credits).
• Download Publication OR-ESTIMATE​​, for more information about estimated personal income tax payments.
• High property taxes levied not only on land but also on buildings and structures can discourage investment in infrastructure, which businesses would have to pay additional tax on.
• In this case, you can deduct any claim right of income repayments over $3,000.
• That was the case with the massive overhaul of the federal tax code under the Trump administration and in two stimulus packages in response to the pandemic.

Retail sales taxes are an essential part of most states’ revenue toolkits, responsible for 32 percent of state tax collections and 13 percent of local tax collections (24 percent of combined collections). Oregon has a 40 cents per gallon gas tax rate and a https://x.com/bookstimeinc $3.33 cigarette excise tax rate. The State of Oregon collects $6,498 in state and local tax collections per capita. Oregon has $10,214 in state and local debt per capita and has an 88 percent funded ratio of public pension plans. Oregon’s tax system ranks 30th overall on the 2025 State Tax Competitiveness Index. Head over to the Federal income tax brackets page to learn about the Federal Income Tax, which applies in all states nationwide.

Oregon Head of Household Filer Tax Tables

The tax must be paid before the vehicle can be titled and registered in Oregon. When they hire an employee, employers have some discretion to choose who is paid hourly and who is paid a salary. Typically, employees whose hours are fixed (or consistent), and employees at higher compensation oregon state income tax levels are offered a salary. Employees at lower compensation levels whose hours are more variable tend to receive an hourly paycheck.