Oregon Form Help
The following information has been provided to assist in the preparation of Oregon state tax returns.
File Form 40 if any of the following apply:
The taxpayer:
1. Is a full year Oregon resident
2. Cannot use Form 40S
3. Paid or should have paid estimated tax during the year
4. Has adjustments on Form 1040, line 34
5. Has Oregon additions and/or subtractions other than the
federal tax subtraction
6. Itemized deductions on the Oregon return
7. Is married filing separately and his/her spouse is itemizing
8. Is claiming tax credits
9. Received Social Security, pension, or annuity income
10. Is in the military and is claiming the subtraction for
military active duty pay
11. Owes penalty or interest
12. Wants to apply all or part of the refund to his/her 2015
estimated tax
13. Used taxable scholarship income for housing and qualify
for the Oregon subtraction
Residency:
1. Resident:
An individual:
- Who thinks of Oregon as his/her permanent home
- Whose center of financial, social, and family life is
Oregon
- Who intends to come back to Oregon when away
2. Part-Year Resident:
An individual who:
- Moved into Oregon during the year to maintain residence
from another state or country
- Moved out of Oregon during the year to maintain residence
in another state or country
3. Non-Resident:
An individual:
- Whose permanent home is outside of Oregon all year
Armed forces taxpayers:
File as a non-resident if all of the following apply:
- The taxpayer didn't have a personal residence in Oregon for
him/herself or for his/her family during any part of 2014
- The taxpayer's personal residence was outside of Oregon
during all of 2014
- The taxpayer spent less than 31 days in Oregon in 2014
NOTE: If the taxpayer does not meet all of the above
requirements, file as a resident.
Married filing joint taxpayers:
1. Taxpayer/Spouse is full year resident/part year resident:
- They can file separate Oregon returns. The full year
resident should file Form 40 and the part year resident
should file Form 40P.
- If filing one return, file Form 40P
2. Taxpayer/Spouse is full year resident/non-resident:
- They can file separate Oregon returns. The full year
resident should file Form 40 and the non-resident should
file Form 40N.
- If filing one return, file Form 40N
3. Taxpayer/Spouse is part year resident/non-resident:
- They can file separate Oregon returns. The part year
resident should file Form 40P and the non-resident should
file Form 40N.
- If filing one return, file Form 40N
If any state taxes due are paid after April 15, 2015, the
taxpayer will owe an additional amount for a late payment
penalty from April 15, 2015 to the date of payment. The
penalty rate is 5% of the unpaid tax.
Late Filing Penalty:
If the Oregon individual income tax return is not filed by
October 15, 2015, the taxpayer will owe an additional amount
for a late filing penalty. The penalty rate is 20% of the
unpaid tax and is in addition to the 5% late payment penalty.
Other Penalities:
If 3 consecutive years' returns are not filed by the due date of
the third year, the taxpayer will owe an additional amount. The
penalty rate is 100% of the unpaid tax on each of the 3 years'
tax returns.
File Form 40N if any of the following apply:
The taxpayer:
1. Is a nonresident
2. Is a nonresident filing a joint return and his/her spouse is
a full year resident (see married filing joint taxpayers
below)
3. And spouse are nonresidents filing a joint return (see
married filing joint taxpayers below)
Residency:
1. Resident:
An individual:
- Who thinks of Oregon as his/her permanent home
- Whose center of financial, social, and family life is
Oregon
- Who intends to come back to Oregon when away
2. Part-Year Resident:
An individual who:
- Moved into Oregon during the year to maintain residence
from another state or country
- Moved out of Oregon during the year to maintain residence
in another state or country
3. Non-Resident:
An individual:
- Whose permanent home is outside of Oregon all year
Armed forces taxpayers:
File as a non-resident if all of the following apply:
- The taxpayer didn't have a personal residence in Oregon for
him/herself or for his/her family during any part of 2014
- The taxpayer's personal residence was outside of Oregon
during all of 2014
- The taxpayer spent less than 31 days in Oregon in 2014
NOTE: If the taxpayer does not meet all of the above
requirements, file as a resident.
Married filing joint taxpayers:
1. Taxpayer/Spouse is full year resident/part year resident:
- They can file separate Oregon returns. The full year
resident should file Form 40 and the part year resident
should file Form 40P.
- If filing one return, file Form 40P
2. Taxpayer/Spouse is full year resident/non-resident:
- They can file separate Oregon returns. The full year
resident should file Form 40 and the non-resident should
file Form 40N.
- If filing one return, file Form 40N
3. Taxpayer/Spouse is part year resident/non-resident:
- They can file separate Oregon returns. The part year
resident should file Form 40P and the non-resident should
file Form 40N.
- If filing one return, file Form 40N
If any state taxes due are paid after April 15, 2015, the
taxpayer will owe an additional amount for a late payment
penalty from April 15, 2015 to the date of payment. The
penalty rate is 5% of the unpaid tax.
Late Filing Penalty:
If the Oregon individual income tax return is not filed by
October 15, 2015, the taxpayer will owe an additional amount
for a late filing penalty. The penalty rate is 20% of the
unpaid tax and is in addition to the 5% late payment penalty.
Other Penalities:
If 3 consecutive years' returns are not filed by the due date of
the third year, the taxpayer will owe an additional amount. The
penalty rate is 100% of the unpaid tax on each of the 3 years'
tax returns.
File Form 40X to correct any errors made on the originally
filed Oregon Form 40 or 40S only. Nonresident or part-year
resident returns should use Form 40N or Form 40P instead.
In general, if the taxpayer amended the Federal individual
income tax return,the Oregon individual income tax return
must be amended.
NOTE: An amended return can be filed within 3 years of the
original due date of the return, including extensions.
File Form 40P if any of the following apply:
The taxpayer:
1. Is a part year resident
2. Is a part year resident filing a joint return and his/her
spouse is a full year resident (see married filing joint
taxpayers below)
3. And spouse are part year residents filing a joint return
(see married filing joint taxpayers below)
Residency:
1. Resident:
An individual:
- Who thinks of Oregon as his/her permanent home
- Whose center of financial, social, and family life is
Oregon
- Who intends to come back to Oregon when away
2. Part-Year Resident:
An individual who:
- Moved into Oregon during the year to maintain residence
from another state or country
- Moved out of Oregon during the year to maintain residence
in another state or country
3. Non-Resident:
An individual:
- Whose permanent home is outside of Oregon all year
Armed forces taxpayers:
File as a non-resident if all of the following apply:
- The taxpayer didn't have a personal residence in Oregon for
him/herself or for his/her family during any part of 2014
- The taxpayer's personal residence was outside of Oregon
during all of 2014
- The taxpayer spent less than 31 days in Oregon in 2014
NOTE: If the taxpayer does not meet all of the above
requirements, file as a resident.
Married filing joint taxpayers:
1. Taxpayer/Spouse is full year resident/part year resident:
- They can file separate Oregon returns. The full year
resident should file Form 40 and the part year resident
should file Form 40P.
- If filing one return, file Form 40P
2. Taxpayer/Spouse is full year resident/non-resident:
- They can file separate Oregon returns. The full year
resident should file Form 40 and the non-resident should
file Form 40N.
- If filing one return, file Form 40N
3. Taxpayer/Spouse is part year resident/non-resident:
- They can file separate Oregon returns. The part year
resident should file Form 40P and the non-resident should
file Form 40N.
- If filing one return, file Form 40N
If any state taxes due are paid after April 15, 2015, the
taxpayer will owe an additional amount for a late payment
penalty from April 15, 2015 to the date of payment. The
penalty rate is 5% of the unpaid tax.
Late Filing Penalty:
If the Oregon individual income tax return is not filed by
October 15, 2015, the taxpayer will owe an additional amount
for a late filing penalty. The penalty rate is 20% of the
unpaid tax and is in addition to the 5% late payment penalty.
Other Penalities:
If 3 consecutive years' returns are not filed by the due date of
the third year, the taxpayer will owe an additional amount. The
penalty rate is 100% of the unpaid tax on each of the 3 years'
tax returns.
The working family child care credit is available to low income
families with qualifying child care expenses.
To qualify, all of the following must be true:
* You or your employer paid child care expenses to allow you
and your spouse to work or attend school; and
* Your adjusted gross income is less than the limit for your
household size (see the tables in the instructions);
* Your child care expenses are for your child under the age
of 13 (or for a child with a disability); and
* Care is not provided by the parent, guardian, or a brother
or sister under the age of 19; and
* You have earned income of at least $6,600; and
* You have less than $2,600 of investment income (interest,
dividends, and capital gains).
Note: If you are married filing separately, you must be
legally separated or permanently living apart on December 31,
2003 to qualify.
Household Size
Your household size is generally the number of exemptions you
claim on your federal return. Parents who share custody of
their children have different rules.
Custodial parent
Enter the exemption information from your federal return on
lines 5-12. Also enter the information for any child who lived
with you, but whom you allowed the other parent to claim on his
or her tax return.
Noncustodial parent
Enter the exemption information from your federal return on
lines 5-12. DO NOT enter the exemption information for any
child who did not live with you more than half the year even
though the child's other parent may have allowed you to claim
the exemption on your tax return. Enter that child's
information on line 14-16.
Noncustodial parents
Noncustodial parents may not increase household size based on a
dependency exemption given to you by the custodial parent.
The working family child care credit is available to low income
families with qualifying child care expenses.
To qualify, all of the following must be true:
* You or your employer paid child care expenses to allow you
and your spouse to work or attend school; and
* Your adjusted gross income is less than the limit for your
household size (see the tables in the instructions);
* Your child care expenses are for your child under the age
of 13 (or for a child with a disability); and
* Care is not provided by the parent, guardian, or a brother
or sister under the age of 19; and
* You have earned income of at least $6,600; and
* You have less than $2,600 of investment income (interest,
dividends, and capital gains).
Note: If you are married filing separately, you must be
legally separated or permanently living apart on December 31,
2003 to qualify.
Household Size
Your household size is generally the number of exemptions you
claim on your federal return. Parents who share custody of
their children have different rules.
Custodial parent
Enter the exemption information from your federal return on
lines 5-12. Also enter the information for any child who lived
with you, but whom you allowed the other parent to claim on his
or her tax return.
Noncustodial parent
Enter the exemption information from your federal return on
lines 5-12. DO NOT enter the exemption information for any
child who did not live with you more than half the year even
though the child's other parent may have allowed you to claim
the exemption on your tax return. Enter that child's
information on line 14-16.
Noncustodial parents
Noncustodial parents may not increase household size based on a
dependency exemption given to you by the custodial parent.
File Form 40ES to pay non-resident/part year resident
Oregon income tax liability not prepaid through
withholding.
File Form 40ES if all of the following apply:
The taxpayer:
1. Does not have at least 90% of his/her annual Oregon
income tax liability prepaid through withholding
2. Has an annual tax liability that exceeds $1,000
Interest:
Underestimating the required amount of tax or failure to file
estimated tax returns and pay the tax within the time allowed
will result in an assessment of interest. The interest rate is
1% per month of the underpayment of tax from the due date to
the date of payment.
File Form 40ES to pay resident Oregon income tax liability
not prepaid through withholding.
File Form 40ES if all of the following apply:
The taxpayer:
1. Does not have at least 90% of his/her annual Oregon
income tax liability prepaid through withholding
2. Has an annual tax liability that exceeds $1,000
Interest:
Underestimating the required amount of tax or failure to file
estimated tax returns and pay the tax within the time allowed
will result in an assessment of interest. The interest rate is
1% per month of the underpayment of tax from the due date to
the date of payment.
File Form 10 to:
1. Claim one of the exceptions to the interest charge
2. Figure amount of interest due
3. Figure amount underpaid
4. Show that no interest is due
Part I
Claim one of the exceptions to the interest charge
Code 1: Farmers and commercial fishers - At least 2/3 (66.7) of your 2002
or 2003 total gross income is from farming or fishing.
Code 2: Prior year - You meet this exception if all of the following are true;
(a) Your net income tax for 2002 was -0- or you were not required to file
a return for 2002.
(b) You were a full year Oregon resident
(c) Your tax year was a full 12 months
Code 3: Retired or disabled with a reasonable cause - You meet this exception
if you retired at age 62 or older during 2002 or 2003, or you became
disabled during 2002 or 2003.
Code 4: Underpayment due to unusual circumstances - No interest is due if your
underpayment is due to a casualty, disaster, or other unusual circumstance.
Unemployment does not qualify as an unusual circumstance.
Code 5: S corporation shareholders - Claim this exception if the
underpayment was attributable to S corporation income, the income was for
the first year in which S corporation status was elected, and any of the
following apply:
- Non-Resident for 2015
- Full year resident for 2015 and part year resident for 2013
To ensure that taxpayer comply with Oregon tax laws,
Form EF must be completed. Practitioners must keep
the original Form EF and the required attachments for
three years and make them available to the department
upon request.
Attach the following items to Form EF:
- W-2s, W-2Gs, 1099-Gs, and 1099s
- Oregon Form 10, Underpayment of Estimated Tax
- Copy of other state's return and proof of
payment if claiming credit for income taxes
paid to other state.
- A copy of apportionment of refund letter,
if applicable
The taxpayer's signature is required for all returns. If
the electronic return originator (ERO) changes the electronic
return after Form EF has been signed by the taxpayer but
before it is transmitted, the taxpayer must complete and sign
a corrected Form EF if:
- The Oregon taxable income differs from the amount
on the electronic return by more than $50, or
- The net income tax, the net refund, or the amount
owed differs from the amount on the electronic
return by more than $14