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Estate and trust taxes
Estate transfer tax (for dates of death on or after January 1, 2012)
Form OR706, Oregon Estate Transfer Tax Return, replaced the Oregon Form IT-1, see below. Both returns are a transfer tax. This tax is imposed on certain estates when assets are transferred from the decedent’s estate to the estate heirs and beneficiaries.

Basic filing requirements:
  • Gross estate. The total date of death value of all estate assets from all sources is $1 million or greater.
  • Decedent was an Oregon resident at death, or decedent was a non resident and owned Oregon real property at death.
  • Estate made estimated tax payments and later determined gross estate was less than $1 million, Form OR706 must be filed to make a claim for refund.
  • Due date of tax return and payment of tax is 9 months after the date of death (DOD).
Example 1: DOD January 10, due date of Form OR706 is October 10 of the same year.
Example 2: DOD August 25, due date is May 25 of the following year.

Responsible party. The following persons will file Form OR706 and pay the estate transfer tax out of the estate assets:
 
  • Personal representative.
  • Executor.
  • Administrator.
  • Fiduciary.
  • Custodian of estate assets.
  • Person who has actual or constructive passion of estate asset/s.

Six month extension of time to file: Use federal Form 4768.

Extension of time to pay - under special circumstances only. Oregon Administrative Rule 150-118.225. Use federal Form 4768.

More detail: Estate Transfer Tax Return and instructions.

 
Inheritance tax - (for dates of death before January 1, 2012)
Form IT-1, Oregon Inheritance Tax Return, was used for dates of death before January 1, 2012. Form IT-1 was replaced with Oregon Form OR706, see above, for dates of death on or after January 1, 2012. 

Basic filing requirements:

  • Gross estate. The total date of death value of all estate assets from all sources is $1 million or greater for 2006 – 2011 year of death. If date of death is in year before 2006, see specific year instructions
  • Decedent was an Oregon resident at death, or decedent was a non resident and owned Oregon real or personal property at death.
  • Estate made estimated tax payments and later determined gross estate was less than $1 million, a Form OR706 must be filed to make a claim for refund.
More detail: Inheritance Tax Return and instructions.

What is estate income tax?
The decedent’s assets become assets of the estate upon death and the estate owns the assets.


What is trust income tax?
A trust is an arrangement by which trustees take title to property for the purpose of protecting the property for the beneficiaries.

Consent to transfer stock (or Stock Waiver Certificate)
Do you need our consent to transfer stock or a stock waiver certificate?
  • Is the date of death on or after January 1, 1987?
    Yes: The consent or transfer from the department is not required. Oregon Revised Statute 118.230 was repealed, effective September 27, 1987, for deaths in 1987 and later. 
  • Is the date of death before 1987?
    Yes: Please contact us for the application for consent to transfer stock.



Laws, rules, and forms


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