Temporary rules filed for Corporate Activity Tax
The Oregon Department of Revenue reports that it has filed the first group of temporary administrative rules governing Oregon's new Corporate Activity Tax with the Secretary of State's Office.
The tax is $250 plus 0.57 percent of gross receipts greater than $1 millon after subtractions. Under the rules, all businesses with revenues of $750,000 or more must register. Passed by the legislature in the last session, supports expect that it will raise $1 billion a year for K-12 and pre-school program.
"The Department of Revenue engaged hundreds of business taxpayers and tax professionals both nationally and statewide to minimize the risk of confusion," Nia Ray, director of the Oregon Department of Revenue, said in a press release. "Our goal is to support taxpayer compliance by providing rules that are easy to understand."
Two additional sets of temporary rules will be filed in February and March. Temporary rules can only be in effect for 180 days.
DOR officials said they will begin the permanent rulemaking process on April 1. That process includes an official period for public comment and a public hearing, giving business taxpayers and tax professionals another opportunity to provide input into the rules before they become permanent.
The temporary rules can be found on the Secretary of State's Office database.