About the ta​x

On May 16, 2019, Governor Kate Brown signed House Bill 3427 into law.

The legislation accomplishes the following:

  • Establishes a "Fund for Student Success" that is separate and distinct from the state's general fund.
  • Adopts a new Corporate Activity Tax (CAT) imposed on all types of business entities.

The CAT is in addition to the state's current corporate income tax. Revenue from the CAT will be transferred to the Fund for Student Success and will be used for education spending. 

The Oregon Legislature has concluded. The department will begin rule writing this summer/fall for the new CAT program. We will involve stakeholders during the process.

The Oregon Department of Revenue will host a series of town hall meetings across the state to seek input from business taxpayers and tax preparers about the administrative rules for Oregon’s new Corporate Activity Tax.

Traveling across Oregon, rule writers will sit down to hear the concerns, questions, and suggestions of those affected by the rules.

​The meeting schedule for business taxpayers and tax preparers is now available. For those who are unable to attend the in-state meetings, DOR is planning a series of conference calls. Those meetings will be scheduled once the in-state tour is complete.

If you would like to sign up for additional information as it becomes available, please subscribe to our mailing list.​


​​Frequently asked questions


​​A: The CAT is imposed on businesses for the privilege of doing business in Oregon. The amount of the CAT is based on taxable commercial activity.

A: The CAT is applicable to tax years beginning January 1, 2020.

A: Commercial activity is gross receipts originated in Oregon. Taxable commercial activity is commercial activity, less certain expenses apportioned to Oregon.

​A: All persons or unitary group of persons with Oregon commercial activity in excess of $750,000 are required to register for the CAT. All persons or unitary group of persons with Oregon commercial activity in excess of $1 million are required to file a CAT return. All persons or unitary groups of persons with taxable Oregon commercial activity in excess of $1 million are required to pay the tax.

Persons or unitary groups of persons includes C and S corporations, partnerships, sole proprietorships, and other business entity types.

A: ​The CAT legislation includes a list of business entities that are not subject to the CAT. See HB 3427, Section 58(6) and HB 2164, Section 50.

A: CAT returns are due each year on April 15. CAT estimated payments are due April 30, July 31, October 31, and January 31 for the preceding quarter. Further instructions on how to make payments will be posted soon.

A: Registration is due within 30 days of when you know you’ll meet the $750,000 registration requirement. A penalty of $100 per month may be assessed for failing to register, up to $1,000 per calendar year. 

A: The tax rate for the CAT is $250 plus .57% of taxable commercial activity in excess of $1 million.

A: The CAT legislation has a list of items that are excluded from the definition of commercial activity. See Section 58(1)(b) of HB 3427 (2019), as modified by Section 50 of HB 2164 (2019).

A: Visit our website at Click on the "Business" link, then the "Corporate Activity Tax" in the "Information" column on the next page. We have a mailing list registration for future updates. Also, you can email your questions to


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