Oregon Standard Credits
Oregon offers various tax credits to help taxpayers reduce their state income tax liability. These credits are available for different purposes, including charitable donations, education, and business development. The following outlines key standard credits available in Oregon for the 2025 tax year.
Charitable Donation Credit (Credit Code 807)
Taxpayers who make donations to Oregon nonprofit cultural organizations may claim a matching donation credit through the Trust for Cultural Development Account. This credit encourages support for cultural development in the state.
Eligibility: Donations must be made to qualified Oregon nonprofit cultural organizations.
Amount: The credit is based on the amount donated, with specific limits and rules outlined in the Oregon tax instructions.
Employer Scholarship Credit (Credit Code 847)
Oregon employers offering scholarship programs for employees and their dependents may claim a tax credit. This credit supports workforce development and education.
Amount: The credit is the smaller of 50% of qualified scholarship funds paid or $50,000.
University Venture Development Fund Credit
Taxpayers who contribute to a university venture development fund after moving to Oregon may claim a credit. The credit is prorated based on the taxpayer’s Oregon percentage.
Example: A $6,000 credit with a 70% Oregon percentage results in a $4,200 credit claim.
General Credit Rules
- Credits are claimed on Schedule OR-ASC or OR-ASC-NP.
- Credits with codes between 890 and 949 must be entered with the corresponding code and amount.
- For part-year residents or nonresidents, credits are prorated using the Oregon percentage (Form OR-40-N or OR-40-P, line 35).
- Credits cannot exceed the taxpayer’s total tax liability for the year.
Important Notes
For detailed guidance on claiming credits, refer to Publication OR-17, which provides comprehensive information on Oregon personal income tax rules. Additionally, specific instructions for Schedule OR-ASC and related forms are available in the official Oregon Department of Revenue publications.
Source:
Publication OR-17
Schedule OR-ASC and OR-ASC-NP Instructions
Form OR-40-N and OR-40-P Instructions
Disclaimer: Always verify information with official Federal or State Department of Revenue Forms and Instructions before filing your tax return.