Oregon Withholding Tax
The Oregon Department of Revenue is responsible for administering the state's withholding tax program. |
Employers residing in or doing business in Oregon must withhold tax from all wages paid to employees who are residents of Oregon, even for services performed and wages earned outside of Oregon. Employers must also withhold tax from all wages earned by nonresident employees for services performed in Oregon.
The three components of Oregon's withholding tax law are:
Are you an employer responsible for filing and paying withholding tax? According to Oregon law, an employer is a person or an organization for whom a worker performs a service as an employee. The employer usually provides the tools and the place to work, and has the right to fire an employee. An employer may be an individual, corporation, partnership, estate, trust, association, joint venture, or other unincorporated organization.
- All Oregon employers must withhold tax from employee wages at the same time employees are paid.
- For Oregon employers, due dates for paying state withholding tax are the same as the due dates for making federal withholding tax and FICA tax deposits.
- All Oregon employers must file combined tax returns in addition to making the required payments.
Under Oregon law, business owners can be held personally responsible for paying withholding tax no matter what type of business you own. OAR 150-316.162(3) sets clear and specific guidelines for determining personal liability.
Wages subject to Oregon withholding tax includes salaries, commissions, bonuses, wages, fees, or any other item of value paid to an individual for services as an employee. To determine the amount of Oregon tax to withhold, use the tax tables prepared by the Oregon Department of Revenue.
Oregon employers are required to register with the State of Oregon. Use the Combined Employer Registration. You can get information about starting a business by contacting the Business Referral Center at www.filinginoregon.com. More information on employer requirements is available in the Oregon Business Guide. This guide is full of valuable information. It contains, among other things, the following information:
If you have questions regarding other reporting options for quarterly payroll returns, contact the Oregon Employment Department.
- Who is an employer for withholding tax?
- Who is an employee for withholding tax?
- How to register
- Taxable wages
- Exempt wages
- Independent contractor definition
- What about farm workers?
- How to figure withholding and voluntary withholding
- Payment due dates and alternate payment method
- Reporting requirements
- Penalty and interest, liability
- Forms, final payroll, keeping records
- 1099 and W-2 filing requirements
Employers use Oregon combined tax forms for reporting and payment of withholding taxes. Forms needed are:
|Oregon Quarterly Tax Report (Form OQ)
|Oregon Schedule B (State Withholding Tax Report)
|Form 132 (Employee Detail Report)
|Oregon Combined Payroll Tax Report Instructions
|2011 Oregon Domestic Combined Payroll Tax Instructions
|Payment tax coupons (OTC)
|Oregon Annual Withholding Tax Reconciliation Report for 2013 reporting (Form WR)
|Oregon Annual Withholding Tax Reconciliation Report for 2012 reporting (Form WR)
|Oregon Annual Withholding Tax Reconciliation Report for 2011 reporting (Form WR)
|Oregon Annual Withholding Tax Reconciliation Report for 2010 reporting (Form WR)
|Oregon Annual Withholding Tax Reconciliation Report for 2009 reporting (Form WR)
|Oregon Annual Withholding Tax Reconciliation Report for 2008 reporting (Form WR)
|Business Contact Change Form: To update contact and address information; and/or to stop or start working in a transit area.
|Business Change in Status Form: To update business status and employment information.
|Combined Employer's Registration
|Form WA, Oregon Agricultural Annual Withholding Tax Return
|Electronic Funds Transfer: ACH Debit Authorization Agreement and Application, EFT TelePay Worksheet, and Instructions
|Electronic Funds Transfer: ACH Credit Authorization Agreement and Application and Instructions
|Employee's Substitute Wage and Tax Statement (Substitute W-2)
|2013 Oregon Withholding Tax Tables [Tables effective 1/1/2013]
|2012 Oregon Withholding Tax Tables [Tables effective 1/1/2012]
|2011 Oregon Withholding Tax Tables [Tables effective 1/1/2011]
|2007 Oregon Withholding Tax Tables [Tables effective 1/1/2007]
|2013 Oregon Withholding Tax Formulas [Tables effective 1/1/2013]
|2012 Oregon Withholding Tax Formulas [Tables effective 1/1/2012]
|2011 Oregon Withholding Tax Formulas [Tables effective 1/1/2011]
|2012 Withholding and Transit Tax Calendar
|Oregon Income Tax Withholding
If you need additional information or help you can contact us. Or see our commonly asked questions about withholding taxes.