Businesses

Transportation package taxes

The 2017 Oregon Legislature passed House Bill 2017, which included four new taxes that go into effect in 2018. View the temporary administrative rules​ for these tax programs.

Use Revenue Online​ to file a return, make a payment, register for a tax account, or get a certificate showing payment of the vehicle use tax to bring to the DMV.

Bicycle excise tax—January 1, 2018

The bicycle excise tax​ is a flat tax of $15, to be collected at the point of sale on bicyles meeting the following criteria: 

  • Designed to be operated on the ground on wheels.
  • Propelled exclusively by human power.
  • Wheels are at least 26-inches.
  • Retail sales price of at least $200.

Vehicle privilege tax—January 1, 2018

The vehicle privilege tax is a tax for the privilege of selling new vehicles in Oregon. Dealers are responsible for paying the tax, which is 0.5 of 1 percent on the retail price of vehicles with fewer than 7,500 miles and that weigh 26,000 pounds or less..

Vehicle use tax—January 1, 2018

The vehicle use tax applies to Oregon residents and businesses that purchase new vehicles outside of Oregon, which is 0.5 of 1 percent of the retail price.

Statewide transit tax—July 1, 2018

On July 1, 2018, employers and payers must start withholding the statewide transit tax​—which is one-tenth of 1 percent—from:

  • Wages of Oregon residents (regardless of where the work is performed).
  • Wages of nonresidents who perform services in Oregon.
  • Periodic payments made under ORS 316.189, not including retirement income paid to nonresidents from an Oregon source.