New tax programs
Heavy equipment rental tax - January 1, 2019
In 2018, the Oregon Legislature passed House Bill 4139, replacing the current ad valorem property tax on heavy equipment that is held for rent, with a 2% tax on the rental price of qualified heavy equipment. The heavy equipment rental tax applies to providers primarily engaged in renting heavy equipment.
Transportation package taxes
The 2017 Oregon Legislature passed House Bill 2017, which included four new taxes that go into effect in 2018.
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.
Statewide transit tax—July 1, 2018
On July 1, 2018, employers 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.
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:
- Is exclusively human powered or (effective June 2, 2018) is electric assisted,
- Is new or not previously owned by a purchaser,
- The retail sales price is $200 or more, and
- If sold between January 1, 2018 and June 1, 2018, has 26" or larger wheels.
Vehicle privilege tax—January 1, 2018
The vehicle privilege tax is a tax on the privilege of selling vehicles in Oregon. Dealers are responsible for paying the tax, which is one-half of 1 percent of the retail sales price of vehicles with 7,500 miles or less and a gross vehicle weight rating of 26,000 pounds or less and not previously registered in Oregon.
Vehicle use tax—January 1, 2018
The vehicle use tax, which is one-half of 1 percent of the retail sales price, applies to Oregon residents and businesses that purchase vehicles from dealers located outside of Oregon with 7,500 miles or less and a gross vehicle weight rating of 26,000 pounds or less and not previously registered in Oregon.