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Oregon Tax Expenditures
Introduction
 
Tax Expenditure Defined 
 
The 1995 Budget Accountability Act defines a tax expenditure as:
 
any law of the Federal Government or of this state that exempts, in whole or in part, certain persons, income, goods, services, or property from the impact of established taxes, including, but not limited to tax deductions, tax exclusions, tax subtractions, tax exemptions, tax deferrals, preferential tax rates, and tax credits.
The term "tax expenditure" derives from the parallel between these tax provisions and direct government expenditures. For example, a program to encourage businesses to purchase pollution abatement equipment could be structured with an incentive in the form of a tax credit or a direct payment by the state to businesses. Tax expenditures can be viewed as: (1) providing financial assistance to certain groups of taxpayers, (2) providing economic incentives that encourage specific taxpayer behavior, or (3) simplifying or reducing the costs of tax administration. While the third of these policy objectives eliminates inefficiencies within the tax code, the first two could be implemented with direct expenditures rather than tax expenditures.

 
Tax Expenditure Reports
This biennial report accompanies the Governor's recommended budget submitted to the Legislature before each session. It describes provisions of Oregon tax laws that impart special treatment to a group of taxpayers, such as exclusions, credits, deductions, and exemptions. The report describes each provision and provides revenue loss estimates and evaluations of effectiveness. The report also includes summary tables that group the tax expenditures according to tax program and budget program/function.
 

 
Tax Expenditures Related to Economic Development
The following information is presented to satisfy the reporting requirements of House Bill 2825, passed into law during the 2011 Legislative Session. House Bill 2825 relates to public access to economic development tax expenditure information.
 
Business Oregon
 
Oregon Investment Advantage Program (.PDF, 158 KB)
 
 
The Oregon Governor's Office of Film & Television
 
Attached is the detailed information required to remain in compliance of newly enacted House Bill 2825.  The following is provided as a brief addendum for a more detailed description of the information.
 
The Oregon Production Investment Fund is designed to provide taxpayers in Oregon with a tax credit if the taxpayer submits an application, contributes the agreed upon amount and there are available tax credits for that fiscal year.  Every year the legislature allocates a fixed amount of tax credits for this program.  In fiscal year 2010-2011, that amount was $7,500,000.  For more information on the application for the tax credit, please go to: http://oregonfilm.org/taxcredits/
 
The funds raised through this program are used for the film and television production rebate portion of the program.  In calendar year 2010 the Oregon Film & Video Office recruited over $50,000,000 of film and television production spending in the state.  Based on a series of facts including that over 40 states & all of Canada provide film and television producers with film incentives, it is believed that Oregon would not have been able to bring this amount of activity to the state without the Oregon Production Investment Fund. 
 
Film and Television Greenlight Program (.csv, 4 KB) 
 
Film and Television Oregon Production Investment Fund (.csv, 66 KB) 
 
For further information or questions, please contact Vince Porter, Executive Director, Governor’s Office of Film and Television at vince@oregonfilm.org or by visiting http://www.oregonfilm.org 
 
Business Energy Tax Credit Program
 
Every effort has been made to ensure the data are complete, but these records reflect information reported to this agency by others. The Oregon Department of Energy is not responsible for data that is misinterpreted or altered in any way.  
 
If errors are discovered after publication of the records, the data are corrected in the electronic files.  It is estimated that there is a margin of error of less than one percent.
 
Notes: This data reports tax credits issued and may differ slightly from the tax credits allowed due to rounding. The tax credit rate depends on the system type and the project completion date. Tax credits for Homebuilder Projects (classified as renewable energy projects) are determined on a case-by-case basis.  Other renewable energy projects and High-Efficiency CHP projects completed after 12/31/2006 qualify for a 50% tax credit. Some projects have split types and tax credits. All other projects qualify for a 35% tax credit.
 
ODOE does not track energy savings/production for all projects including many RD&D, Recycling, Renewable Energy Manufacturing, LEED for "Commercial Interior", and Transportation projects. RD&D projects, in some cases, are subcategories included in other project types.
 
Agency certification for each taxpayer is based on a number of documents including the Application for Preliminary Certification, technical energy calculations, Application for Final Certification, and Inspection Data Collection.  Other information provided by applicants may include maps, business plans, and blueprints.  None of these documents are captured in the BETC database. 
 
Additionally, documents provided to the agency for certification determination such as financial statements, customer lists, production, sales and cost data, and marketing information are subject to protection under the Oregon Public Records Law. 
  
 
Business Energy Tax Credit Program (.csv, 344 KB) 
 
For questions regarding the Business Energy Tax Credit Program, please contact: Diana Enright, Oregon Department of Energy.