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Oregon Kicker Credit

Understanding the Oregon Kicker Credit

TT

Tax Expert Team

Tax Expert

3 min read
Published on 8 months ago
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The Oregon Kicker Credit is a tax credit available when actual General Fund revenues for a biennium exceed the amount forecast at the close of the legislative session by 2% or more. When this occurs, Oregon law requires the excess revenue to be returned to eligible taxpayers as a kicker credit on their Oregon individual income tax returns.

For the 2025 tax year, the personal kicker credit is 9.863% of your 2024 Oregon tax liability, as determined under Oregon law.

How the Kicker Credit Is Calculated

  • The kicker credit is based on your 2024 Oregon personal income tax liability, not your Oregon refund, withholding, or estimated tax payments.
  • 2025 Kicker Percentage: 9.863%
  • The qualifying 2024 tax liability is generally determined before credits, withholding, and payments, with specific Oregon adjustments, including the treatment of the credit for income taxes paid to another state on mutually taxed income.
  • Example: If your qualifying 2024 Oregon tax liability is $5,000, your 2025 kicker credit would be $493.15 ($5,000 × 9.863%).
  • The Oregon Department of Revenue provides a “What's My Kicker?” calculator to help taxpayers determine their kicker amount.

Eligibility Requirements

To qualify for the 2025 kicker credit:

  • You must have filed a 2024 Oregon income tax return.
  • You must have had Oregon personal income tax liability for 2024.
  • You must file a 2025 Oregon income tax return to claim the kicker.
  • If you had no qualifying Oregon personal income tax liability for 2024, you generally will not have a 2025 personal kicker credit.

How to Claim the Kicker Credit

  • The kicker credit is claimed on your 2025 Oregon individual income tax return.
  • You can verify your kicker amount by using the Oregon Department of Revenue's "What's My Kicker?" tool available through Revenue Online.
  • The credit is applied to your 2025 Oregon income tax liability. Any remaining credit may increase your Oregon refund.

Donating Your Kicker Credit

You may elect to donate all of your 2025 kicker credit to the Oregon State School Fund instead of receiving the credit. The direct donation election applies to the entire kicker amount, not a portion of it. If you want to donate only part of your kicker, you must first claim the full kicker and then make a separate donation.

Offset of the Kicker Credit

Like other Oregon tax refunds and credits, your kicker credit may be applied to certain outstanding debts through Oregon's refund offset programs if permitted by law.

Important Notes

  • The 2025 personal kicker percentage is 9.863%.
  • The kicker is based on qualifying 2024 Oregon personal income tax liability, not Oregon withholding, estimated tax payments, or your 2024 refund.
  • The calculation has specific Oregon rules concerning credits, including the credit for income taxes paid to another state on mutually taxed income.
  • The kicker is a refundable tax credit.
  • Eligible taxpayers must file a 2025 Oregon return to receive the kicker.
  • A change to your 2024 Oregon tax liability may result in a corresponding adjustment to your kicker amount.

Source:

Publication OR-17

Disclaimer: Always verify tax information with official forms and instructions from the Federal or State Department of Revenue. The Oregon Kicker Credit is not covered in the provided retrieved context.

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