About payroll taxes
All employers with paid employees working in Oregon must register for a business identification number (BIN) to report and pay Oregon payroll taxes. Corporations without employees must also register to report compensation paid to corporate officers.
Oregon uses a Combined Payroll Tax Reporting System to report all payroll taxes together. The BIN serves as the employer's account number when reporting payroll taxes.
Before you hire
Register online for a BIN using the Oregon Business Registry or by submitting a Combined Employer's Registration form. You must register before issuing any paychecks.
What is Oregon income tax withholding?
By law, as an employer you must withhold a portion of your employees' wages based on their allowances and send the funds to the Department of Revenue. Oregon income tax withholding refers to the amount of Oregon personal income taxes that are withheld from the employees' paychecks to cover the anticipated Oregon tax liability for the year.
Oregon withholding taxes are due the same time as your federal taxes. Unemployment, transit taxes, and the Workers' Benefit Fund assessment payments are due the last day of the month following the end of the calendar quarter. Form OQ quarterly reports are due:
- First quarter, due April 30
- Second quarter, due July 31
- Third quarter, due October 31
- Fourth quarter, due January 31
Revenue Online, DOR's self-service site, is available for combined payroll taypayers. Revenue Online provides convenient, secure access to tools for managing your tax account - and it's free!
With Revenue Online you can:
- View your tax account
- Make certain payments by selecting "Make an OTC-V Payment"
- View and print letters from DOR
- Send DOR secure messages
- File certain returns
- Check your DOR account balance and more!
Use this Revenue Online document for more information to help guide you.
Filing and forms
Choose a quarterly report filing method:
Visit the Oregon
Employment Department to order Oregon combined tax forms for reporting and payment of withholding taxes or contact us at 503-947-1488.
Frances Online* has replaced the Oregon Payroll Reporting System (OPRS) and the Employer Account Access (EAA) portal, beginning with the third quarter filing in 2022. The new system will support combined payroll reporting including Unemployment Insurance tax, Workers' Benefit Fund (WBF), State Withholding Tax, Lane and TriMet Transit Taxes, and beginning in the first quarter of 2023, Statewide Transit Tax (STT) and Paid Leave Oregon contributions.
To learn more, visit
www.oregon.gov/employ/businesses and click on the “Modernization" link at the top of the page. Subscribe for updates about the project.
*The new system is named in honor of Frances Perkins, the U.S. Secretary of Labor from 1933 – 1945 and the first woman to serve in a Presidential cabinet.
Make a payment
If you pay your federal taxes electronically, you must also pay your Oregon combined payroll taxes electronically.
You can choose to pay Oregon tax electronically even if you don't meet the federal requirements. Visit our
payments webpage for electronic options. Include a Form OTC when making payments by check or money order.
Year-end reconciliation information
You must file an Oregon Annual Withholding Reconciliation Report, Form WR, even if you submit your W-2 information electronically. Form WR is due January 31 in the year after the tax year. If you stop doing business during the year, the report is due within 30 days of your final payroll. You can file this form electronically through
Update your business information
Make updates to addresses and phone numbers or change offsite payroll services using the
Business Change in Status form, or online using the
Central Business Contact Change form.
Change your business structure
Business Change in Status form or a new
Combined Employer's Registration form if you change your business structure, examples include:
- Changing from a sole proprietor to a partnership or corporation
- Changing from a partnership to sole proprietor
- Adding or removing a spouse as liable owner
- Changing from any business structure type to a limited liability corporation (LLC)
Contact the Department of Consumer and Business Services if the structure change affects your workers' compensation insurance or Workers' Benefit Fund assessment.
Frequently Asked Questions
No, there is no charge for getting an Oregon BIN.
Corporation officers are considered employees.
Payments for their services are subject to withholding (S corporation or C corporation).
True dividends, usually paid no more than once a year, aren’t subject to
Yes. Wages paid for work performed by family members
are subject to withholding. This includes your spouse, parent, siblings, and
children under the age of 18.
Nonresident wages for work performed in Oregon are
subject to withholding, except when these earnings for the year will be less
than their standard deduction amount for their filing status. Nonresidents with
wages greater than their standard deduction amount must file an Oregon
Nonresident employees with extra Oregon income may request withholding even if
they earn less than their standard deduction.
Yes, Form OR-W-4 is for Oregon withholding only. Federal Form W-4 is for federal withholding.
No, you can’t get your BIN by phone. You must
either register online or complete the
Combined Employer's Registration form.
No. Payments are due quarterly when you file your
quarterly payroll tax return (Form OQ).
Employers who file IRS Form 944 may ask to be considered for annual Oregon
withholding deposits. Send us a written request with a copy of your IRS
No. Quarterly Statewide Transit Tax returns are now filed on the updated Form OQ (Quarterly Employer Tax Report) using Frances Online or using paper returns. Quarterly Statewide Transit Tax returns will no longer be processed by the Department of Revenue and may result in assessed penalties and interest if Statewide Transit Tax is not reported correctly on the new Form OQ.
No. The information is good for the remaining quarters
in the current calendar year. If an employee is claiming “Exempt,” a new W-4
should be filed by February of the new year.
No. You only need one BIN to report and pay all
payroll tax programs. These include withholding tax, unemployment tax, Workers
Benefit Fund, TriMet transit tax, and Lane transit tax.
Employers who must file Statewide Transit Tax on a quarterly basis will now file with the new Form OQ (Quarterly Employer Tax Report) and Form 132 (Oregon Employee Detail Report), using Frances Online for electronic filing or using paper returns, for the first quarter of 2023 and beyond. Annual Statewide Transit Tax taxpayers (e.g., agricultural employers) will continue filing the annual Statewide Transit Tax (Form STT-A) return and STT Employee Detail Report (Form STT-2) with the Department of Revenue using Revenue Online or paper returns.
Yes. As long as your account remains active, you must submit a report
even if you have no payroll. You can also file a “no payroll report” with the
Employment Department using their automated phone system.
If you pay for commercial annuities, employer-deferred compensation plans, or retirement plans, you must withhold tax, unless the employee or payee chooses to have no withholding.
The employee or payee must provide a filed federal Form W-4P or Form OR-W-4 for you to determine the withholding amount, even if they choose no withholding. Withhold as if the payments were wages. You must withhold $10 or more per employee or payee.
Oregon withholding isn't required for a rollover from one qualifying plan to another. Oregon doesn't follow the federal backup withholding rules for pension and annuities distributions.
You are required to use a different BIN than your payroll account BIN, because these are not payroll wages. You will need to issue 1099s to employees and payees at the end of the year and file 1099s electronically through iWire.
After filing taxes on the Form OQ using Frances Online, employers will have the option of paying reported employer taxes. By clicking the button “Make a Payment with DOR," employers will be taken to the Department of Revenue's payment portal. While in the payment portal, employers provide the amounts due for each subject tax program and remit a payment via ACH. If employers want to pay using a credit card, employers will need to log in to their Revenue Online account. To register for a Revenue Online account, visit this page for more information.
You can either:
Either fax or mail it to the Employment Department.
Fax: (503) 947-1528
Mail: 875 Union St NE Rm 107, Salem OR 97311
Allow three weeks for processing.
If it's been more than a year since you last reported payroll taxes, you must complete a new Combined Employer's Registration and send it to the Oregon Employment Department. If it's been less than a year, you can call us at (503) 945-8091 to have your account reopened.
It isn't required, but we do ask employers to register and withhold taxes as a convenience to the employee.
Paid Leave Oregon contributions are being reported on an updated Form OQ (Quarterly Employer Tax Report) and Form 132 (Oregon Employee Detail Report) starting with the first quarter of 2023. Employers will use Frances Online, which replaced the Oregon Payroll Reporting System (OPRS) in 2022.
You must withhold Oregon tax from all wages paid to
employees who are Oregon residents. This includes wages earned outside of
Oregon. Employers may not have to withhold Oregon tax if they can show the
employee will receive wages of $300 or less for the calendar year.
You’ll receive a registration notice, including your
Oregon BIN, once the business is registered. The BIN is also printed on your