In March 2020, the Oregon Employment Department began offering relief to businesses impacted by the pandemic per the emergency declaration issued by Governor Kate Brown under ORS 401.165. The relief was put in place to help employers who, due to COVID-19 related factors, could not pay all of their first quarter 2020 unemployment insurance taxes by the deadline of April 30, 2020. These employers would not have any penalties or interest imposed as long as they paid their tax amounts in full within 30 days after the end of the COVID-19 emergency. The COVID-19 emergency period has been extended multiple times and is still in effect.
We recognize that while some businesses are doing well and even thriving, others have been severely impacted by the pandemic. The Oregon Employment Department will expand efforts to help employers affected by the pandemic and subject to unemployment insurance (UI) tax. We will begin offering payment plan arrangements to employers who were in good standing with their UI taxes prior to the pandemic, and whose UI tax rate went up .5% or more from 2020 to 2021. Employers must still file their quarterly payroll reports on time, but if they are unable to pay their UI taxes fully for the calendar year 2021 because of COVID-19 related factors, the department will remove interest and penalties as long as a payment plan has been established with the Employment Department.
The conditions for the payment arrangement will include:
- The employer agrees to pay two-thirds of their quarterly tax upfront, and
- The remaining balance of the payments will be included in a payment plan that will be followed on a monthly basis and completed no later than June 30, 2022.
To request a payment plan, click on the application below.
Thank you again for your contributions to the economy of Oregon. The jobs you provide contribute to a vibrant Oregon economy and support the quality of all Oregonians' lives.
Application for Interest and Penalty Relief *PLEASE NOTE: The Unemployment Insurance Tax division will not be able to process any requests not associated with Interest and Penalty Abatements in this format.*