Oregon Individual Income Tax Return Instructions for Full-year Residents

Individual Income Tax Return Instructions for Full-year Residents
2024 Publication OR-40-FY, Oregon Income Tax Full-Year Resident Forms and Instructions, 150-101-040-1
2024 Oregon Income Tax
Form OR-40 Instructions
Full-year Resident
Check out our online services
Revenue Online is a secure online
portal that provides access to your tax
account at any time. You can:
•	 Use Direct File Oregon to file your
return.
•	 Check the status of your refund.
•	 View and print Form 1099-G or letters
from us.
•	 Make or schedule payments.
•	 Securely communicate with us.
•	 Update your information.
•	 Check balances and view your
account history.
•	 File an appeal.
Visit ­­www.oregon.gov/dor and
click on “Revenue Online” to sign up.

•	April 15, 2025 is the due date for filing your return and paying your tax due.
•	File electronically—it’s fast, easy, and secure. See “Electronic filing.”
•	Do you qualify for the Oregon Kids Credit or the earned income credit? See “Tax payments and
refundable credits.”

•	Find out if you qualify for the working family household and dependent care credit. See
Schedule OR-WFHDC Instructions for details.

•	Are you a veteran? Find out about veterans’ benefits at ­­www.oregon.gov/odva.
•	These instructions aren’t a complete statement of laws or Oregon Department of Revenue rules.
If you need more information, see Publication OR-17 or contact us.

­­www.oregon.gov/dor
150-101-040-1 (Rev. 12-13-24)	

Contents
Electronic filing.................................................................. 3
Federal tax law................................................................... 4
New information................................................................ 4
Important reminders......................................................... 5
General information.......................................................... 6
	 Do I need to file an Oregon return?........................... 6
	Residency........................................................................ 6
	 What form do I use?...................................................... 7
	 Military personnel........................................................ 7	
	 What if I need more time to file?................................ 8
	Penalties.......................................................................... 8
	 What if I need to change my return after filing?... 8
	 2025 estimated tax........................................................ 9
General instructions for Form OR-40.............................11
	 Check the boxes............................................................11
	 Name and address.......................................................11
	 Filing status.................................................................. 12
	Exemptions................................................................... 12

Form OR-40 line instructions..........................................14
	Additions.......................................................................14
	Subtractions...................................................................14
	Deductions....................................................................16
	 Oregon tax.....................................................................16
	Credits—nonrefundable............................................ 17
	 Tax payments................................................................18
	 Refundable credits.......................................................18
	 Penalties and interest.................................................. 20
	 Amount due................................................................. 21	
	 Payment options.......................................................... 22
	Refund.......................................................................... 22
	 Direct deposit............................................................... 24	
	 Before you file.............................................................. 24
	 Avoid processing delays............................................. 25
	 Tax return mailing addresses.................................... 25
Tax tables.......................................................................... 26
Tax rate charts.................................................................. 28

Do you have questions or need help?
Internet

Phone

­­­­www.oregon.gov/dor

503-378-4988 or 800-356-4222

•	Download forms, instructions, and publications.
•	Access additional information not included in these
instructions.

	 Monday–Friday, 7:30 a.m.– 5 p.m.
	 Closed Thursdays from 9–11 a.m. Closed holidays.
Wait times may vary.

Revenue Online

Contact us for ADA accommodations or assistance in
other languages.

­­­­www.oregon.gov/dor (click on Revenue Online)
•	Securely communicate with us.
•	Check your refund status.
•	Make or schedule payments.
•	View your account history.
•	Find out how much you owe.
•	File an appeal.
• View letters and your Form 1099-G, if applicable.

In person
Offices are located in Salem, Portland, Eugene, Bend,
Gresham, and Medford. Find hours and directions to
our offices on our website.
Our main office is located at:
955 Center St NE
Salem, OR 97301-2555

Email or write
­ [email protected]
q
­[email protected]

Taxpayer Advocacy

Oregon Department of Revenue
955 Center St NE
Salem OR 97301-2555
•	Include your name and daytime phone number.
•	Include the last four digits of your SSN or ITIN.
To request printed forms or publications:
Forms
Oregon Department of Revenue
PO Box 14999
Salem OR 97309-0990

If you think you are not being treated fairly, or if you
have a problem or complaint, please contact the Office
of the Taxpayer Advocate for assistance.
503-945-8700
TTY: We accept all relay calls.
[email protected]

Photo on cover: Historic Columbia Highway Trail, Mosier. Highway Trail east of Hood River County. Gary Halvorson, Oregon State Archives.
150-101-040-1 (Rev. 12-13-24)	

2

2024 Form OR-40 Instructions

Electronic filing
E-file

If you haven't yet tried electronic filing, why not try it
this year? Join more than 2 million other Oregon taxpayers who file their returns electronically.

E-filing is another fast way to file your return and
receive your refund. Electronic returns are received
and processed with more accuracy and speed than
paper returns, greatly reducing errors and delays. E-filing uses secure technology to ensure the safety of your
personal information when it’s sent to the IRS and the
Department of Revenue.

Direct File Oregon
Use Direct File Oregon to file your return for free. It’s
easy, safe, and secure. Direct File Oregon is interviewbased software that many full-year residents may use
to file an original or amended return through Revenue
Online.

Oregon participates in the IRS Federal/State E-file program. This program allows you to electronically file
both your federal and Oregon returns at the same time.
If you’ve already filed your federal return, you can still
electronically file your Oregon return.
You can take advantage of e-file in one of two ways:
1.	Ask your tax preparer.
	 If your tax preparer is an authorized IRS e-file provider, your preparer can electronically file your federal and Oregon returns. Many Tax-Aide and Tax
Counseling for the Elderly (TCE) sites set up by the
IRS are authorized IRS e-file providers.
2.	 Use online tax preparation software.
	 You can file your federal and state returns from
your home, work, or library computer using Oregonapproved online tax preparation products. Go to our
website at www.oregon.gov/dor/e-filing
­­
for a list of
tax preparation products to use in preparing your
federal and Oregon returns.
You may be eligible for free e-file. Several tax preparation software providers offer free online electronic tax
filing. You can also try Oregon Free File Fillable Forms.
These online forms are an electronic version of paper
return forms. Entering your information is just like filling in paper forms. For free online tax preparation programs, go to ­­www.oregon.gov/dor/e-filing.

You can use Direct File with or without a Revenue
Online account; however, without a Revenue Online
account, some features may be limited. To sign up for a
Revenue Online account, you must have:
•	Filed an Oregon return within the last three years, or
•	Received a letter from us, or
•	Made a payment.
Assistance provided. Direct File guides you through
the return, providing help with things like common
deductions and credits along the way. It does the math
for you and computes your tax. If you’re familiar with
the instructions in this publication before you start,
Direct File will be that much easier for you.
Note: If you have a complex tax situation, Direct File
may not be for you. At this time, Direct File can’t be
used to file a nonresident or part-year resident return.
Federal return needed. Your federal return must be
filed separately with the Internal Revenue Service
(IRS). You’ll need to have the information from your
federal return and schedules available when you use
Direct File Oregon.
For more information about Direct File Oregon, including a complete list of everything you’ll need to get
started, go to www.oregon.gov/dor and look for the
link on our Individuals webpage.

150-101-040-1 (Rev. 12-13-24)	

3

2024 Form OR-40 Instructions

Federal tax law
No extension to pay. Oregon doesn’t allow an extension of time to pay your tax, even if the IRS allows an
extension. Your 2024 Oregon tax is due April 15, 2025.

employer prescription drug plans. If you have this type
of business income, you’ll have an addition on your
Oregon return.

Federal law connection. Oregon has a rolling tie to
changes made to the definition of federal taxable
income, with the exceptions noted below. For all other
purposes, Oregon is tied to federal income tax laws as
amended and in effect on December 31, 2023.

Oregon is disconnected from IRC Section 529 tax
exemption for earnings on higher education savings
plan funds used for K-12 tuition. Funds in Oregon College Savings Plan and MFS 529 Savings Plan accounts
may be used for higher education expenses only. If you

Oregon exceptions to federal law. Oregon is disconnected from the business income deduction allowed by
Section 199A of the Internal Revenue Code (IRC). Due
to the way Oregon’s returns are designed, no addition
is required. Oregon is also disconnected from IRC Section 139A­, the tax exemption for federal subsidies for

based a previous subtraction or credit on contributions
that are withdrawn and used for K-12 tuition, you may
need to report an addition or tax recapture on your
Oregon return. See "Additions" and "Additions to tax"
in Publication OR-17 for more information.

New information
Wildfire settlement or judgment subtractions. You
may be able to subtract income from a settlement or
judgment related to a wildfire that hasn't been deducted
elsewhere on your federal or Oregon return. Legal
expenses related to the settlement or judgment may
also be subtracted. Returns for tax years 2018 through
2021 may be amended to claim the subtractions if they
are filed by May 14, 2025. See our website or Publication
OR-17 for more information.

Oregon Kids Credit. For 2024, the income limit for the
full credit is $25,750. The maximum credit amount
for 2024 is $1,000 per qualifying dependent child, and
phases down to zero for income at or above $30,750. See
the instructions for line 37.
Higher education savings and ABLE account credit
limits. The 2024 limits for the credits for contributions
made to a higher education savings account (Oregon
College Savings Plan or MFS 529 Savings Plan) or an
ABLE account are $360 if you're married and filing a
joint return or $180 for all others. See "Refundable credits" in Publication OR-17 for more information.

Voluntary self-identification. Oregon will now be asking you to voluntarily identify your race or ethnicity
when you file Form OR-40. You can select up to three
race or ethnicity categories using Form OR-VSI. The
information gathered from Form OR-VSI will be used
only for research purposes to help make Oregon's tax
laws more equitable. For more information, see Form
OR-VSI Instructions or our website.

First-time home buyer savings account (FTHBSA)
subtraction. The limits for this subtraction are now
adjusted for inflation. The 2024 maximum limits for
the FTHBSA subtraction are $11,865 for joint account
holders who file a joint return and $5,930 for all other
account holders. For phaseout limits and other information, see "Subtractions" in Publication OR-17.

Form 1099-G is no longer being mailed. We will send
you an informational postcard about Form 1099-G if
you received an Oregon income tax refund in 2024 and
you claimed itemized deductions on your 2023 federal return. The postcard will tell you how to get your
Form 1099-G through Revenue Online. The form will
be available by January 31. If you don't have internet
access, contact us by phone for assistance.

150-101-040-1 (Rev. 12-13-24)	

Federal tax liability subtraction. The 2024 federal tax
subtraction limit is $8,250 ($4,125 for married filing
separately). It may be limited further based on your
adjusted gross income (AGI). See the instructions for
line 10.

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2024 Form OR-40 Instructions

Important reminders
Federal return. When you file your Oregon return, you
must include a copy of your federal Form 1040, 1040-SR,
or 1040-NR with Schedules 1 through 3 (if applicable), or
Form 1040-X if you're filing an amended return. Items
on your Oregon return may be adjusted or denied if
your federal return isn't included.

instructions. Publication OR-17 also explains Oregon's
tax laws to make sure you pay only the tax you owe and
no more. You can download Publication OR-17 from
our website or contact us to order it.
Transit self-employment tax. If you're self-employed
and doing business within the Lane Transit District
(LTD) or the TriMet District (Clackamas, Multnomah,
and Washington counties), you may need to pay transit
self-employment tax. See the instructions for Form ORLTD or Form OR-TM on our website or contact us for
more information.

Schedule OR-ASC. Are you reporting an Oregon addition or claiming any Oregon subtractions or credits
that have a three-digit code? If so, you must include
Schedule OR-ASC when you file your Oregon return.
Items with a code may be adjusted or denied if Schedule OR-ASC isn't included with your return. A list of
current codes can be found in Publication OR-CODES,
Publication OR-17, or on our website. You can download these publications along with Schedule OR-ASC
and its instructions from our website or contact us to
order them.

Statewide transit tax - individuals. If you're an Oregon
resident working for an employer outside the state who
doesn't withhold Oregon taxes from your pay, you may
need to report and pay Oregon's statewide transit tax.
See the instructions for Form OR-STI on our website or
contact us for more information.

Publication  OR-17. Publication OR-17 is your guide
to Oregon personal income taxes. It covers the general rules for filing an Oregon income tax return
and expands on the information contained in these

150-101-040-1 (Rev. 12-13-24)	

Data security breaches. Tax professionals suffering
a data breach associated with tax return preparation
must report the breach promptly to us. See our website
for additional information.

5

2024 Form OR-40 Instructions

General information
Paper returns must have all required Oregon schedules, proof of tax withheld, and a copy of your federal
return included to ensure smooth processing. If you
don’t have a federal filing requirement, create a substitute federal return and check the “calculated using ‘asif’ federal return” box on your Oregon return.

Do I need to file an Oregon return?
You need to file if your gross income is more than the
amount shown below for your filing status.
Table 1. Filing thresholds

Returns mailed closer to April 15, when we receive the
most returns, can take longer to process.

Amounts apply to full-year residents only.
Number of boxes And your
checked on line
gross income
17 of return:
is more than:
Any
$1,300*
0
$7,710
Single
1
$8,910
2
$10,110
0
$15,425
1
$16,425
Married filing
2
$17,425
jointly
3
$18,425
4
$19,425
0
$7,710
Married filing
1
$8,710
separately
2
$9,710
0
$9,665
Head of household
1
$10,865
2
$12,065
0
$10,740
Qualifying
1
$11,740
surviving spouse
2
$12,740

Also, returns that require additional review can take
more time to process. Typical reasons for additional
review include: incomplete documentation, identity
verification needed, claiming a refundable credit, proof
of tax withheld needed, etc.

Your filing
status is:
Dependent

To check the status of your refund, click on “Where’s
my refund?” at www.oregon.gov/dor/personal.
­­

What income does Oregon tax?
An Oregon resident is taxed on all income, including
income from outside the state. A nonresident of Oregon
is taxed only on income from Oregon sources.

Residency
As an Oregon taxpayer, you are taxed as a full-year
resident, a nonresident, or a part-year resident. Note:
If you served in the military during 2024, see “Military
personnel” below.
Full-year resident
You’re a full-year Oregon resident if your domicile is
in Oregon—that is, if all the following are true for you:

*The larger of $1,300, or your earned income plus $450, up
to the standard deduction amount for your filing status.

•	You think of Oregon as your permanent home.
•	The center of your financial, social, and family life is 	
in Oregon.
•	You intend to return to Oregon when you’re away.

In addition, file a return if:
•	You’re required to file a federal return.
•	You had $1 or more of Oregon income tax withheld
from your wages and you want to claim a refund.
•	You may qualify to claim a refundable credit.

You’re still a full-year resident even if you temporarily
moved out of Oregon, or if you moved back into Oregon after a temporary absence, during 2024.
You may be taxed as a full-year Oregon resident, even
if your domicile is outside Oregon, if you maintained a
permanent home in Oregon and spent more than 200
days in this state during 2024, unless you can show that
you were in Oregon only for a temporary purpose.

How long will it take to get my refund?
Return processing times vary due to many factors,
including the complexity of your return.

Nonresident

Electronically filed returns are generally received
and processed faster.
150-101-040-1 (Rev. 12-13-24)	

You’re a nonresident if both of the following are true
for you:
6

2024 Form OR-40 Instructions

•	Your domicile is outside of Oregon: that is, the place
that you think of as your permanent home, where the
center of your financial, social, and family life is, and
where you intend to return when you’re away, is not
Oregon; and

•	You or your spouse are a nonresident, if you're filing
a joint return.
•	You (or your spouse, if you're filing a joint return) are
in the military, and you're treated as a nonresident for
state income tax purposes.
•	You (or your spouse, if you're filing a joint return)
qualified as an Oregon resident living abroad for the
entire year.

•	If you maintain a permanent home in Oregon, you
didn’t spend more than 200 days in this state during
2024 (or you can show that you were in Oregon only
for a temporary purpose).

Military personnel
If you were in the military during 2024, you are taxed
as a full-year resident only if all of the following were
true for you:

Important. A recreational vehicle (RV) isn’t considered
a permanent home outside of Oregon.
Special-case Oregon resident. You may be taxed as a
nonresident, even if your domicile is in Oregon, if all
the following are true for you:

•	Your domicile was in Oregon (or you elect to be
treated as an Oregon resident for state income tax
purposes).
•	You were unmarried, or you were married and filing
a joint return and your spouse was also domiciled
in Oregon (or you both elect to be treated as Oregon
residents for state income tax purposes).
•	Your address in the Defense Finance and Accounting
System (DFAS) payroll records was in Oregon.

•	You don’t maintain a permanent home in Oregon.
•	You maintain a permanent home outside Oregon.
•	You spent a total of 30 days or less in Oregon during
2024.
Oregon residents living abroad. You may be taxed
as a nonresident if you qualify for the federal foreign
earned income or housing exclusions for U.S. residents
living abroad.

If you’re taxed as a resident, you may be able to subtract
some or all of your military pay. For more information
about the military pay subtraction, see “Subtractions”
in Publication OR-17.

Part-year resident
You were a part-year resident if you were an Oregon
resident for part of the year and a nonresident for the
rest of the year.

If any of the above are not true for you, you (or your
spouse, if you're filing a joint return) may be treated as
a nonresident for state income tax purposes.

See Publication OR-17 for examples and more information about residency.

Nonresidents stationed in Oregon. Oregon does not
tax your military pay unless you elect to be treated as
an Oregon resident for state income tax purposes. File a
nonresident return and check the “Military” box if you
have other income from Oregon sources or to request a
refund of withheld Oregon tax.

What form do I use?
Use Form OR-40 if:
•	You're a full-year resident and you're not filing a joint
return.
•	Both you and your spouse are full-year residents, if
you're filing a joint return.

Military spouses. Unless you elect to be treated as an
Oregon resident for state income tax purposes, Oregon
does not tax your wages if your domicile is outside the
state and you’re in Oregon only to be with your spouse
who is stationed here. File a nonresident return and
check the “Military” box if you have income from Oregon sources other than wages or to request a refund of
withheld Oregon tax.

Use Form OR-40-P if any ONE of the following is true:
•	You’re a part-year resident and you're not filing a joint
return.
•	Both you and your spouse are part-year residents, or
one of you is a full-year Oregon resident and the other
is a part-year resident, if you're filing a joint return.
•	You (and your spouse, if you're filing a joint return)
qualified as an Oregon resident living abroad for part
of the year.

For more information, see "Military personnel filing
information" in Publication OR-17.

Filing for a deceased person

Use Form OR-40-N if any ONE of the following is true:

A personal income tax return must be filed for a person who died if the person would have been required
to file. See “Do I need to file?” on the previous page.

•	You’re a nonresident.
•	You’re a special-case Oregon resident.

150-101-040-1 (Rev. 12-13-24)	

7

2024 Form OR-40 Instructions

Check the “Deceased” box next to the person’s name on
the return. If you have been appointed personal representative or you have filed a small estate affidavit, sign
the return as ”personal representative.” A surviving
spouse must sign if it’s a joint return. If there’s no personal representative, only the surviving spouse needs
to sign a joint return.

due date, including extensions. If both penalties apply,
the total penalty will be 25 percent of the unpaid tax.
Note: If you fail to file returns for three consecutive
years by the due date for the third year’s return, including extensions, you’ll be charged a penalty of 100 percent of each year’s unpaid tax.
For more information about these and other penalties,
see the instructions for line 43 and “Interest and penalties” in Publication OR-17.

Note: Oregon has an estate transfer tax on estates valued at $1 million or more. The tax is paid by the estate
using Form OR-706, not by the individuals receiving
the inheritance. For more information, see the instructions for Form OR-706.

Interest on underpayment of
estimated tax

When should I file my return?

You may owe interest for underpaying your estimated
tax if:

The filing deadline for calendar year 2024 is
April 15, 2025. If you can’t pay your tax by the due date,
it’s important to file your return anyway to avoid a latefiling penalty.

•	The tax on your return after credits and withholding
is $1,000 or more; and
•	You underpaid one or more of your required estimated tax installments.

Returns for fiscal filers are due by the 15th day of the
fourth month after the close of their tax year.

See the instructions for line 44 and Form OR-10 Instructions for more information.

What if I need more time to file?

What if I need to change my Oregon
return after filing?

If you requested a federal extension to file, Oregon will
allow the same extension. Don’t include a copy of your
federal extension with your Oregon return; keep it with
your records. If you need an extension of time to file
only your Oregon return, see Publication OR-40-EXT.
The due date for filing your return on extension is
October 15, 2025.

It depends on what you need to change. Follow these
instructions for amending (changing) your return if:
•	You discover that your income, deductions, or other
item(s) were wrong.
•	You used a form that didn’t match your residency
status.
•	Your filing status wasn’t correct.
•	The IRS or another state adjusted or audited your
return and it affects your Oregon tax.
•	You have a net operating loss (NOL) carryback.
•	Changes in federal or state income tax laws affect a
return you’ve already filed.

An extension doesn’t mean more time to pay.
To avoid interest charges, you must pay all of the
tax you expect to owe by April 15, 2025. If you can’t
pay all of the tax you expect to owe, pay what you
can. You’ll owe interest on any unpaid tax starting
April 16, 2025, until the date of your payment. You may
also be charged a penalty for failing to pay your tax on
time. See “Penalties” and the instructions for line 43.

Don’t amend your Oregon return if:

Don’t forget to check the “Extension filed” box
on your return when you file. File your return by
October 15, 2025.

•	We made changes to your return and you object to
those changes. You must follow the appeal process in
the notice we sent you.
•	 You’re filing a protective claim for a refund. Use Form
OR-PCR, which is available on our website or you can
contact us to order it.

Penalties
If you don’t pay all of your tax by April 15, 2025, you
may be charged a 5 percent penalty on the unpaid
amount, even if you requested an extension to file your
return. Oregon doesn’t allow an extension of time to
pay tax, even if the IRS does.

Refer to the instructions for the return you need to
amend. Visit our website or contact us if you need forms
and instructions. It may take six months or longer to process your amended return.
There’s a time limit for filing an amended return to
claim a refund. See the instructions for lines 47 through

You’ll be charged a 20 percent penalty for failing to file
your return if you file it more than three months after the

150-101-040-1 (Rev. 12-13-24)	

8

2024 Form OR-40 Instructions

51, and for more information, see “Amended returns” in
Publication OR-17.

2. Amended total payments and
refundable credits (amended
Form OR-40, line 40).
3. Line 1 minus line 2. If less than 0,
use a minus sign.
4. Refund you already had for 2024
(original Form OR-40, line 47;
Form OR-40-N, line 72; or Form
OR-40-P, line 71). If you didn’t
have a refund, enter 0.
5. Amended tax to pay or refund.
Line 3 plus line 4. If less than 0,
you have a refund; go to line 6. If
more than 0, you owe tax; skip to
line 8.
6. Refund applications that weren’t
on your original return (amended
Form OR-40, lines 48 through 51),
up to the refund amount on line
5. Don’t use a minus sign.
Example: If line 5 is –$500, you
may apply up to $500 on your
amended Form OR-40, lines 48
through 51.
7. Net amended refund. Line 5 plus
line 6. This can’t be more than 0.
8. Penalty and interest on amended
tax to pay (amended Form OR-40,
line 45).
9. Total amended amount you owe.
Line 5 plus line 8.
10. Payments made on or after April
15, 2025.
11. Total amount to pay with your
amended return. Line 9 minus
line 10.

How do I amend my 2024 return?
General instructions
•	Complete the return as it should’ve been filed, including adjustments we made.
•	Check the “Amended return” box on the first page.
•	In the “Amended statement” space on the last page,
provide the return line number and reason for each
change.
•	 Use the Amended worksheet to figure your amended
tax due or refund.
•	If you’re amending your federal return or a return
you filed with another state, include a copy of those
amended returns with your amended Oregon return.
If you’re only amending your Oregon return, include
a copy of your original federal return. Don’t include
a copy of your original Oregon return.
Residency. Use the form that matches your residency
status for the year you’re amending, even if your original return was filed on a different form.
Mailing address. Use your current address.
Adjustment made by the IRS or another state. Include
a copy of the corrected federal or other state return or
audit report.
Electronically file your amended return. You can now
electronically file your Oregon amended return using
Direct File Oregon or e-file software. Go to Revenue
Online to amend your return through Direct File, or
contact your software provider to find out if they support filing an amended federal return.
NOL carryback. Enter the loss year in the NOL tax year
box on the first page of the return. If you’re carrying
back an NOL from more than one year, file a separate
amended return for each NOL year. In the “Amended
statement” space on the last page of the return, tell us
the section number of the IRC or Oregon Revised Statute (ORS) that allows you to carry the NOL(s) back to
the 2024 tax year. See “Net operating losses for Oregon”
in Publication OR-17 for more information.

	3.
	4.

	5.

	6.

	7.
8.

9.
10.
	11.

2025 estimated tax
Estimated tax is the amount of tax (after credits and
withholding) you expect will be shown on your return
when you file.
Do I need to make estimated payments?
In most cases, if you expect your return to show that
your tax will be at least $1,000 after credits and withholding, you must make estimated payments. You may
need to make estimated payments if:

Amended worksheet
Use this worksheet to figure your amended refund or
tax to pay. Keep the completed worksheet with your
records. Note: If we adjusted any of the amounts on
your original 2024 return, use the adjusted amounts.

•	You're self-employed and don’t have Oregon tax
withheld from your income.
•	You have Oregon Lottery single-ticket winnings of
less than $1,500.

1. Amended tax after standard and 	1.
carryforward credits (amended
Form OR-40, line 31).
150-101-040-1 (Rev. 12-13-24)	

	2.

9

2024 Form OR-40 Instructions

•	Oregon tax isn’t withheld from other types of income
(such as pensions, interest, or dividends) and you
expect to owe tax of $1,000 or more on this income.
•	You’re a wage earner, but after credits and withholding, the tax on your return will still be $1,000 or more.
In that case, you may want to increase the amount
your employer withholds from your Oregon wages.
For withholding information, go to the
­­ Individuals
page on our website and look for Do a paycheck checkup.

•	Detailed instructions for calculating installment

Oregon and federal estimated tax laws are not the
same. See Publication OR-ESTIMATE for more information, including:

contact us to order them.

150-101-040-1 (Rev. 12-13-24)	

payments.
• Installment periods and due dates.
• Helpful worksheets and examples.
• Payment instructions.
You can find Publication OR-ESTIMATE and the payment voucher, Form OR-40-V, on our website or you can

10

2024 Form OR-40 Instructions

General instructions for Form OR-40
Step 1: Complete your federal return

Calculated using “as if” federal return

Complete your federal return first. Do this even if
you aren’t required to file a federal return. You must
use the information from your federal return to complete your Oregon return. You must include a copy
(front and back) of your federal Form 1040, 1040‑SR ,
or 1040-NR with Schedules 1 through 3 (if applicable)
with your Oregon return. If you're amending your
Oregon return and your federal return, include a copy
of Form 1040‑X and an amended Form 1040, 1040‑SR,
or 1040-NR with Schedules 1 through 3 (if applicable).

Check this box if:
•	You’re filing as an Oregon RDP.
•	Your filing status is married filing separately for Oregon only because you and your spouse don’t have the
same residency status.
•	You didn’t file a federal return.

Short-year tax election
If you’re filing a short-year return due to a bankruptcy,
check this box and write the ending date in the “Fiscal
year ending” box.

If you don’t provide a copy of your federal return,
we may adjust or deny your Oregon subtractions,
deductions, and credits. Include federal Schedules 1
through  3 (if applicable); don’t include any other federal schedules unless otherwise instructed. We may
ask you for copies of other schedules or additional
information later.

Extension filed
Check this box if you requested an extension to file
your return. See “What if I need more time to file?”
in the “General information” section and Publication
OR‑40-EXT for more information.

Form OR-24

Oregon registered domestic partners (RDPs): To correctly determine your Oregon tax liability, you must
complete a federal income tax return as if you were filing as married filing jointly or married filing separately.
Check the “Calculated using ‘as if’ federal return” box
on your Oregon return.

Check this box if you’re deferring gain on like-kind
property that was exchanged or converted. You will
report the gain to Oregon when it’s reported on your
federal return (federal Form 8824). You must include
Form OR-24 with your Oregon return or provide it electronically through your Revenue Online account.

For more information on how to file as an RDP, see Publication OR-17 or visit our website.

Form OR-243
Check this box if you are attaching Form OR-243, Claim
to Refund Due a Deceased Person.

Step 2: Select the appropriate Oregon form

Federal Form 8379

To decide which form to use, see “What form do I use?”
in the “General information” section.

Check this box if you’re requesting your joint refund be
apportioned and you are attaching federal Form 8379.
For additional information, see “Injured spouse refund
claims” in Publication OR-17.

Step 3: Fill out the Oregon return
Use blue or black ink only for easier reading and faster
processing. The equipment used to scan documents
and checks can’t read gel ink or certain colors, and
using them will delay the processing of your return.

Federal Form 8886
Check this box if you filed federal Form 8886, Reportable
Transaction Disclosure Statement.

Disaster relief

Fiscal-year filers

If you were affected by a presidentially-declared natural disaster in 2024, check this box.

Write the ending date of your fiscal year in the “Fiscal
year ending” box on the return.

Name and address

Check the boxes

Type or clearly print your own and, if married, your
spouse's name, date of birth, and Social Security number (SSN). Enter your spouse’s information even if
you’re filing separately.

Amended return
If you’re amending your 2024 return, check this box.
See “What if I need to change my return after filing?”
in the “General information” section for instructions.

150-101-040-1 (Rev. 12-13-24)	

11

2024 Form OR-40 Instructions

Table 2. Spouses with different residency status

SSN. You must provide your SSN per Section 405, Title
42, of the United States Code. We will only use it to
establish your identity for tax purposes.
Follow these instructions if you’ve filed previous tax
returns using an individual taxpayer identification
number (ITIN) and this is your first year filing using
your new SSN:
• Check the “First time using this SSN” box.
• Write your previous identification number on the
first line of the “Amended statement” space on the
last page of your return.
ITIN. If the IRS assigned you an ITIN because you don’t
qualify for an SSN, enter your ITIN wherever an SSN is
requested. Refunds will not be issued without a valid
SSN or ITIN.
If you don’t have an ITIN, you must request one from
the IRS. To get an ITIN application (federal Form W-7),
go to ­­www.irs.gov or call 800-829-1040.
If you’ve applied for an ITIN but you haven’t received
it yet:
• Check the “Applied for ITIN” box.
• File your return by April 15, 2025.
• Don’t include Form W-7 with your return. Keep it
with your records.
• Once the IRS issues your ITIN, mail a copy of your
ITIN letter to us at PO Box 14999, Salem OR 97309-0990.

Spouses’
residency status:
Part-year and
nonresident

If you file
separate returns:

OR-40-N

Each spouse uses
the form that
matches their
individual
residency status

Nonresident and
full-year resident

OR-40-N

Part-year and fullyear resident

OR-40-P

How to file separate returns for Oregon
If you’re filing a joint federal return but separate
Oregon returns, enter your spouse’s name, date of
birth, and SSN on your return. Report your own share
of federal AGI and deductions. Also, report your share
of any Oregon additions or subtractions using this formula to determine your percentage:
Your share of federal AGI
Joint federal AGI

=

Your percentage
(not to exceed 100%)

Check the “Calculated using ‘as if’ federal return”
box on your return. You must include the following
forms with both Oregon returns:
•	 A federal Form 1040, 1040-SR, or 1040-NR with Schedules 1 through 3 (if applicable) prepared as if you had
filed separate federal returns.
•	A copy of the joint Form 1040, 1040-SR, or 1040-NR
with Schedules 1 through 3 (if applicable) that you
actually filed with the IRS.

Deceased taxpayer. Mark the "Deceased" box for a taxpayer who died during 2024 or 2025.
Mailing address: Enter your current mailing address.
This is where we’ll send any refund or correspondence,
if needed. Enter your current daytime phone number.

If the federal form you filed is an amendment, include
Form 1040‑X and federal returns as amended for your
actual and “as if” returns.

Filing status

If possible, mail both Oregon returns in the same envelope. Don’t staple the returns together.

Check the box next to your filing status.
Generally, you must use the same filing status for your Oregon and federal returns. Choose
only one filing status.

1 – 5

For more information, see “Filing status” in Publication
OR-17.

Exception for Oregon RDPs. As an Oregon RDP, you’re
not eligible to use the single filing status on your Oregon return. For Oregon, you’re generally required to
use the married filing jointly or married filing separately filing status. For more information, go to our
website, see “Filing an Oregon return” in Publication
OR-17, or contact us.

Exemptions
Yourself and spouse. If you can’t be
claimed as a dependent on someone
else’s return, check the “Regular” exemption box
below line 6a; otherwise, check the "Someone else
can claim you as a dependent" box, even if the other
person doesn’t actually claim you as a dependent.

6a & 6b

Exceptions for married persons who filed a joint federal return when each person had a different residency status. Use Table 2 to determine which return
form to use if you file a joint return or separate returns
for Oregon.

150-101-040-1 (Rev. 12-13-24)	

If you file
a joint
return, use:

If you're married and filing a joint return (or filing
separately but your spouse has no income) and your
spouse can't be claimed as a dependent on someone
else's return, check the “Regular” exemption box below
line 6b; otherwise, check the "Someone else can claim

12

2024 Form OR-40 Instructions

Schedule OR-ADD-DEP. You can list up to three dependents on Form OR-40. If you have more than three, use
Schedule OR-ADD-DEP to list your other dependents.

your spouse as a dependent" box, even if the other person doesn't actually claim your spouse as a dependent.
Severe disability exemption. You or your spouse may
qualify for the additional "severe disability" exemption,
even if someone else can claim you or your spouse as a
dependent, if any of the following apply to you or your
spouse:

You can download the schedule from our website or
contact us to order it. Use as many additional schedules
as needed. Don't list dependents on Schedule OR-ADDDEP who are already listed on Form OR-40. Include
Schedule OR-ADD-DEP when you file your return.

•	You permanently lost the use of one or both legs or feet.
•	You permanently lost the use of both hands.
•	You’re permanently blind.
•	You have a permanent condition that, without special
equipment or outside help, limits your ability to earn
a living, maintain a household, or transport yourself.
•	You're unable to earn a living due to a permanent
condition or an impairment of indefinite duration.

Total number of dependents. On line 6c, enter your
total number of dependents, including the total(s) from
Schedule OR-ADD-DEP, line 6.
Child with a disability. The additional "Child
with a disability" exemption is for a dependent
child, age 21 or younger, who was eligible for early
intervention or special education services, as defined
by the State Board of Education of the state where the
child attended school, as of the end of the tax year.

6d

To confirm that you or your spouse qualify for the
additional exemption, a licensed physician must write
a letter describing the nature and extent of the disability. Keep the letter with your records in case we request
a copy.

The child must have had an eligible disability under
the federal Individuals with Disabilities Education Act.
Eligible disabilities include:

If you qualify for this additional exemption, check the
“Severe disability” box below line 6a. If your spouse
qualifies, check the box below line 6b.

•	Autism spectrum disorder.
•	Communication disorder.
•	Deafblindness.
•	Developmental delay.
•	Emotional disturbance.
•	Hearing impairment (including deafness).
•	Intellectual disability.
•	Orthopedic impairment.
•	Other health impairment.
•	Specific learning disability.
•	Traumatic brain injury.
•	Visual impairment (including blindness).

Total exemptions for yourself and your spouse. Enter
the total number of boxes you checked for yourself on
line 6a and for your spouse on line 6b.
Dependents. List your dependents in order from
youngest to oldest. For each dependent, enter
their full name, date of birth, SSN, and relationship
code (see Table 3).

6c

Table 3. Relationship codes
Title
Child
Stepchild
Foster child
Sibling

Code
SD
SC
FC
SB

Parent

PT

Spouse
Grandparent

SP
GP

Grandchild
Aunt/Uncle

GC
AU

Niece/Nephew

NN

Other relative

OR

No relation

NR

150-101-040-1 (Rev. 12-13-24)	

Relationships included
Biological or adopted child.
Stepchild.
Foster child.
Sibling, half sibling, stepsibling,
or sibling-in-law.
Parent, stepparent, or
parent-in-law.
Spouse or RDP.
Grandparent or
great-grandparent.
Grandchild or great-grandchild.
Parent's sibling or the sibling's
spouse or RDP.
Sibling's child, grandchild, or
other descendant.
Child's spouse or RDP, cousin, or
other related individual.
Unrelated qualifying individual.

Each year, you must be able to provide an eligibility
statement and a cover sheet from the child's IEP (Individualized Education Program) or IFSP (Individualized
Family Service Plan). Keep these with your tax records.
Check the "Child with a disability" exemption box for
each qualifying child listed on Form OR-40 and Schedule OR-ADD-DEP.
Total number of children with a disability. On line 6d,
enter the total number of boxes checked for this additional exemption, including the total(s) from Schedule
OR-ADD-DEP, line 7.
Total exemptions. Add lines 6a through 6d and
enter the total on line 6e. This is your total number of exemptions.

6e

13

2024 Form OR-40 Instructions

Form OR-40 line instructions
Don’t enter cents. You must round off cents to the nearest dollar. For example, $99.49 becomes $99, and $99.50
becomes $100. If you don’t round entries to the nearest
dollar, there may be small variations in the totals we use.

• A prior year’s federal return was audited or amended,
resulting in additional federal income tax paid or
refunded in 2024.
• You paid income tax to a foreign country.
•	You filed your federal return on Form 1040‑NR.
•	You reported recapture taxes or credits on your federal return.

Federal adjusted gross income (AGI). Enter
your federal AGI from Form 1040, 1040-SR
or 1040‑NR, line 11; or Form 1040‑X, line 1C. You
must include a copy (front and back) of your federal return, including Schedules 1 through 3 (if
applicable), with your Oregon return. This helps us
verify your income and process your return faster.
If you don’t include your federal return with your
Oregon return, items claimed on your Oregon return
may be adjusted or denied.

7

Caution: Don’t include any of the following in your
calculation:
•	Self-employment tax.
•	Social Security and Medicare tax on tips.
•	Household employment taxes.
• Penalties or interest.

Federal tax worksheet

Additions

Note: All references to federal Form 1040 in this worksheet also include references to Forms 1040-SR and
1040-NR, unless otherwise indicated. This also includes
versions of these forms in other languages.

Total additions from Schedule OR-ASC. Additions are reported on Schedule OR-ASC. Enter
the total from Schedule OR-ASC, line A5. Include the
schedule with your return.
For more information about additions, see “Additions”
in Publication OR-17.

8

Instructions for Federal tax liability subtraction
worksheet
Line 1: Enter your federal tax liability after nonrefundable credits but before other taxes. This is found on
Form 1040, line 22.

Subtractions

Line 2: If you need to repay any advance premium
tax credit that you received during the year, enter the
repayment amount from Form 1040, Schedule 2, line 1a.
If not, enter 0.

2024 federal tax liability subtraction. Your federal tax liability subtraction amount is your federal income tax after all credits other than the earned
income tax credit (EITC). For 2024, the amount you
may subtract is limited to $8,250 ($4,125 if married filing separately) and is further limited by your AGI (see
Table 4).

10

Line 3: Line 1 minus line 2. If the results are less than
0, enter 0.
Line 4: Enter the total of any other taxes, plus any tax
recaptures or other additions to tax that include only
income tax, from Form 1040, Schedule 2, lines 8, 16, and
17. If you’re repaying a 2008 first-time homebuyer credit
and filing federal Form 5405 , include the amount from
Schedule 2, line 10. Include any tax on non-effectively
connected income from Form 1040-NR, line 23a. Don’t
include any additions to tax from Schedule 2, line 17
that are penalties, interest, excise tax, or other amounts
that aren’t income tax. If you have no other taxes, enter
0.

Follow the instructions for the Federal tax liability
worksheet carefully. Note: Use the amounts from your
actual federal return(s), not your "as if" return(s), if you
are:
•	Spouses filing a joint federal return but separate Oregon returns due to a difference in residency.
•	RDPs filing separate federal returns and a joint Oregon return.
Note: Use the worksheet(s) in the “Federal income tax
liability” section of Publication OR-17 if any of these
situations apply:	
•	You’re amending your 2024 federal return or we corrected the federal tax liability subtraction on your
original 2024 Oregon return.

150-101-040-1 (Rev. 12-13-24)	

Line 5: Add lines 3 and 4. This is your federal income
tax liability before refundable credits.
Line 6: Enter your American Opportunity credit from
Form 1040 or 1040-SR, line 29.
Line 7: Enter your total premium tax credit amount
from federal Form 8962, line 24. This is your allowable

14

2024 Form OR-40 Instructions

Table 4. Federal tax liability subtraction AGI phaseout

premium credit regardless of any excess advance payments you received or credit you’re claiming on your

And your
federal adjusted
gross income is:

federal return.
Line 8: Add lines 6 and 7. These are the total refund-

If your filing
status is:

able credits that must be subtracted from your federal
income tax liability.
Line 9: Line 5 minus line 8. If less than 0, enter 0. This is
your federal income tax liability after refundable cred-

Single

its (other than EITC).
Line 10: Enter your maximum allowable federal tax
liability subtraction amount from Table 4. Don’t enter
more than your limit or less than zero.
Married filing
separately

Line 11: Enter the smaller of line 9 or line 10. This is
your federal tax liability subtraction.
Federal tax liability subtraction worksheet
1. Federal tax liability (Form 1040
line 22).

	1.

2. Excess advance premium tax
credit (Form 1040, Schedule 2,
line 1a).

	2.

0
$250,000
$250,000 $260,000
$260,000 $270,000
Head of
household; or
$270,000 $280,000
Qualifying
$280,000 $290,000
surviving spouse
$290,000 or more
Married filing
jointly; or

3. Line 1 minus line 2. (If less than 0, 	3.
enter 0).
4. Other taxes (see instructions).

	4.

5. Line 3 plus line 4.

	5.

6. American Opportunity credit
(form 1040, line 29).

	6.

7. Premium tax credit (Form 8962,
line 24).

	7.

8. Line 6 plus line 7.

	8.

At
But less
least— than—
0
$125,000
$125,000 $130,000
$130,000 $135,000
$135,000 $140,000
$140,000 $145,000
$145,000 or more
0
$125,000
$125,000 $130,000
$130,000 $135,000
$135,000 $140,000
$140,000 $145,000
$145,000 or more

11

Then your
maximum
allowable
tax liability
subtraction
is:
$8,250
$6,600
$4,950
$3,300
$1,650
0
$4,125
$3,300
$2,475
$1,650
$825
0
$8,250
$6,600
$4,950
$3,300
$1,650
0

Social Security and tier 1 Railroad Retirement
Board benefits income. Enter the amount from

federal Form 1040 or 1040‑SR, line 6b. If you have tier 2,
windfall/vested dual, or supplemental Railroad Retirement Board benefits, these are subtracted on Schedule
OR-ASC. For more information, see this topic under
“Income” and "Subtractions" in Publication OR-17.

9. Line 5 minus line 8. (If less than 0, 	9.
enter 0).
10. Maximum subtraction amount
from Table 4.

	10.

11. Smaller of line 9 or line 10.
This is your federal tax liability
subtraction.

	11.

12

Oregon income tax refund included in federal
income. Enter your Oregon state income tax

refund from federal Form 1040 or 1040‑SR, Schedule 1,
line 1. Don’t include local, county, or other states’ tax
refunds.

13

Are you amending your 2024 return? Usually you can't

Total subtractions from Schedule OR-ASC. Other
subtractions not explained here are claimed on

Schedule OR-ASC. Enter the total from Schedule OR-

change your federal tax subtraction on your amended

ASC, line B7. Include the schedule with your return.

return, but there are some exceptions. See the “Federal income tax liability” section in Publication OR-17

For more information about subtractions, see Schedule

for more information before making changes to this

OR-ASC and OR-ASC-NP Instructions or “Subtrac-

subtraction.

tions” in Publication OR-17.

150-101-040-1 (Rev. 12-13-24)	

15

2024 Form OR-40 Instructions

you as a dependent, your standard deduction is limited
to the larger of:

Deductions
In general, you can claim Oregon itemized deductions
or the standard deduction, whichever is larger, but not
both.

•	Your earned income plus $450, up to the maximum
allowed for your filing status (see Table 5); or
•	$1,300.

See the exceptions below for:

This limit applies even if the other person doesn't actually claim you as a dependent on their return.

• Dependents who can be claimed on another taxpayer’s return.
• Non-U.S. citizens without permanent resident status.
• Spouses filing separate returns.

If you’re a dependent and not married, use the following worksheet to figure your standard deduction. If
you’re a dependent and married, see “Deductions and
modifications” in Publication OR-17.

Itemized deductions. If you’re itemizing your
deductions for Oregon, enter the amount from
Schedule OR-A, line 23. Note: Don’t enter your federal
itemized deductions; the amount allowed for Oregon
may be different. You can download Schedule OR-A
and the instructions from our website or you can contact us to order them.

16

Standard deduction worksheet for single dependents
1. Enter your earned income (see
definition below).

	1.

2. Additional $450.

	2.	

If you’re not itemizing, enter 0.

3. Add lines 1 and 2.

	3.

Standard deduction. Generally, your standard
deduction is based on your filing status, as
shown in Table 5:

4. Minimum standard deduction.

	4.	

17

6. Basic standard deduction for
single.

	6.	

$2,745
$5,495

7. Enter the smaller of line 5 or line
6.

	7.

$2,745
0
$4,420
$5,495

8. If you turned age 65 by 1/1/2025,
enter $1,200. Otherwise, enter 0.

	8.

9. If you’re blind, enter $1,200.
Otherwise, enter 0.

	9.

10. Add lines 7, 8, and 9. This is your
standard deduction.

Standard deduction—Age 65 or older, or blind. If you
or your spouse turned age 65 by January 1, 2025, or
were blind at the end of the tax year, you're entitled to
a larger standard deduction. If you or your spouse are
permanently blind, you may also qualify for the severe
disability exemption claimed on lines 6a and 6b.

$2,745

	10.

Earned income includes salaries, wages, tips, professional fees, or other amounts received as pay for work
you actually performed, and any part of a scholarship
or fellowship grant you received that is included in
your federal gross income.

Check the applicable boxes below line 17, then multiply
the number of boxes checked by:

Standard deduction­
—Non-U.S. citizen without permanent resident status. Your standard deduction is $0,
but you may claim itemized deductions.

•	$1,200 if single or head of household filing status; or
•	$1,000 for all other filers.
Add this amount to the standard deduction for your filing status from Table 5. Enter the total on line 17.

Standard deduction—Married filing separately. The
standard deduction for married individuals filing separately is $0 if one spouse itemizes. This applies even
if the standard deduction is more than your itemized
deductions.

Example: Joni and Mike are married. By January 1,
2025, Joni had turned 61 and Mike had turned 67. Joni
files the return as the primary taxpayer. She checks the
box for spouse age 65 or older and adds $1,000 to their
standard deduction. Joni enters $6,495 ($5,495 + $1,000)
on line 17.

Oregon tax

Standard deduction—Dependents who can be claimed
on another taxpayer’s return. If someone else can claim
150-101-040-1 (Rev. 12-13-24)	

$1,300

5. Enter the larger of line 3 or line 4. 	5.

Table 5. Standard deduction
Single
Married filing jointly
Married filing separately
• If spouse claims standard deduction
• If spouse claims itemized deductions
Head of household
Qualifying surviving spouse

$450

20
16

Tax tables. Use the tax tables to find your tax
if your taxable income on line 19 is less than
2024 Form OR-40 Instructions

$50,000. Find the range for your taxable income, then
locate your tax in Column S or Column J:

If so, you may be eligible for a reduced tax rate on the
net capital gain from the proceeds. Use Worksheet FCG
inside Publication OR-FCG to compute the Oregon tax
using this method. You can download it from our website or contact us to order it.

•	Use Column S if your filing status is single or married filing separately.
•	Use Column J if your filing status is married filing
jointly, head of household, or qualifying surviving
spouse.

Enter the tax amount from Worksheet FCG, line 9, and
check box 20b. Don’t include the worksheet with your
return. Keep it with your records.

Tax rate charts. If your taxable income on line 19 is
$50,000 or more, calculate your tax using the formula in
the tax rate chart for your filing status.

Oregon qualified business income reduced tax rate.
Did you have business income from a sole proprietorship, partnership, or S corporation in which you materially participated? If so, you may qualify to use this
reduced tax rate. For details, see Schedule OR-PTE-FY
and instructions on our website or contact us to order
them.

•	Use Chart S if your filing status is single or married
filing separately.
•	Use Chart J if your filing status is married filing
jointly, head of household, or qualifying surviving
spouse.

Note: If you elect to use this reduced tax rate for qualifying income, the election is irrevocable and must
be made on your original return. An original return
includes an amended return filed on or before the due
date, including extensions. You can’t change the election after your original return has been filed.

Example 1: Emily, a single taxpayer, has taxable income
of $19,525. She uses Column S in the tax tables to find
the tax on income that is at least $19,500 but less than
$19,600. Emily enters $1,409 on line 20.
Example 2: Daniel and Madison are filing a joint return.
Their Oregon taxable income is $75,500. They use the
formula in Chart J to calculate their tax as follows:
Tax on the first $50,000
(from the chart)
Oregon taxable income

$75,500

Minus the first $50,000

– 50,000

Excess over $50,000

$25,500

Multiply excess by 8.75%

x 0.0875

Tax on excess over $50,000
Total Oregon tax

$3,774

If you elect to use the reduced rate to calculate your tax,
enter the tax amount from Schedule OR-PTE-FY, line
14a and check box 20c. Include the schedule with your
Oregon return.

+ $2,231

Interest on certain installment sales. Did you
have installment sales that required you to pay
interest on the deferred tax liability for federal purposes? If so, you must also compute interest for Oregon
using the same method as for federal. The annual interest rate is 8 percent for 2024 and 9 percent for 2025.

21

$6,005

Total tax recaptures from Schedule OR-ASC. Tax
recaptures are forfeited tax credits that increase
your tax. For information about tax recaptures, see
"Additions to tax" in Publication OR-17. Tax recaptures
are reported on Schedule OR-ASC. Enter the total from
Schedule OR-ASC, line C5. Include Schedule OR-ASC
with your return.

22

Other tax methods. If you qualify, you can compute
your Oregon tax using any of the following methods:
Farm income averaging method. Did you have income
from a farm? You may use the federal farm income
averaging method to compute your Oregon tax even
if you didn’t use farm income averaging on your federal return. Use Publication OR-FIA and Schedule ORFIA-40 to compute the Oregon tax using this method.
You can download them from our website or contact us
to order them.

Credits—Nonrefundable
Nonrefundable credits can’t be more than your Oregon
tax liability. Carryforward credits allow you to claim
unused amounts in a later year. Standard credits can’t
be used in any other year. For more information about
nonrefundable credits, see “Credits” in Publication
OR-17.

If you use farm income averaging to calculate your tax,
enter the tax amount from Schedule OR-FIA-40, line
24 and check box 20a. Don’t include the schedule with
your return. Keep it with your records.

Exemption credit. Depending on your AGI, you
may be allowed to claim a credit for the exemptions claimed on line 6 of your return.

25

Farm asset capital gain method. Did you sell or
exchange capital assets primarily used in farming
because you were getting out of a farming business?
Or, did you sell or exchange a farming business in
which you held at least a 10 percent ownership interest?
150-101-040-1 (Rev. 12-13-24)	

If your federal AGI is more than $200,000 ($100,000 if
your filing status is single or married filing separately),
17

2024 Form OR-40 Instructions

enter 0; otherwise, use this worksheet to figure your
exemption credit.

Tax payments and refundable credits
Oregon income tax withheld. Enter the total
Oregon tax withheld from your wages and other
income. State tax withheld from wages is shown in box
17 of Form W-2 and in the State area of various 1099
forms. Don’t include FICA (Social Security) tax withheld or tax withheld from your wages by other states.
You must include a legible, unaltered copy of your
Form W-2 from each job and any Form 1099 showing
Oregon income tax withheld with your Oregon return.

32

Exemption credit worksheet
1. If your federal AGI is more
than $100,000 and your filing
status is single or married filing
separately, or more than $200,000
for all others, enter 0; otherwise,
enter the number of “Regular”
boxes checked on lines 6a and 6b
plus the number of dependents
from line 6c.

	1.

If you don’t have a Form W-2 or 1099, you must provide
other proof of Oregon tax withheld. Proof may include
a copy of a final paycheck stub or a letter from your
employer. If you file before February 1, 2025, we can
only accept a Form W-2 or 1099 as proof.

	2.
2. If your federal AGI is more than
$100,000, enter 0; otherwise, enter
the number of “Severe disability”
boxes checked on lines 6a and 6b.
3. If your federal AGI is more than
$100,000, enter 0; otherwise,
enter the number of exemptions
for children with a qualifying
disability from line 6d.

	3.

4. Add lines 1, 2, and 3.

	4.

5. Line 4 times $249. This is your
exemption credit.

	5.

If you have tax to pay, you may want to increase the
amount your employer or other payer withholds from
your wages. You can find withholding information and
do a "paycheck checkup" on our website.
Prior-year refund applied as estimated tax
payment. Enter the amount of any prior-year
refund you applied as a payment of 2024 estimated tax.
If we adjusted your applied refund, be sure to use the
adjusted amount. If you need to verify your applied
refund amount, log into or create your Revenue Online
account on our website or contact us.

33

Estimated tax payments for 2024. Enter the
total estimated tax payments you made before
April 15, 2025. For calendar-year filers, these payments
were due April 15, 2024; June 17, 2024; September 16,
2024; and January 15, 2025. If you're filing on extension,
include any extension payment made on or before the
due date (without extensions), but don't include any
payments made after April 15, 2025. Don’t include the
amount reported on line 33. If you need to verify your
estimated payments, log into or create your Revenue
Online account on our website or contact us.

34

contribution credit. If your federal AGI
26 Political
isn’t more than $75,000 ($150,000 if you’re filing
a joint return), you may claim a standard credit of up to
$50 ($100 if you’re filing a joint return) for cash contributions you made during 2024 to any:
•	Qualified political party.
•	Qualified candidate for federal, state, or local elective
office, or the candidate’s campaign, for an election in
Oregon.
•	Political action committee certified in Oregon.

Estimated tax payments from Schedule OR-K-1,
line 20. An Oregon pass-through entity (PTE)
or an out-of-state PTE with Oregon-source income may
choose to make estimated Oregon tax payments on its
owners’ behalf. PTEs report these payments to us on
Form OR-19 and to owners on Schedule OR-K-1.

35

Total standard credits from Schedule OR-ASC.
All other standard credits are claimed on Schedule OR-ASC. Enter the total from Schedule OR-ASC,
line D16. Include Schedule OR-ASC with your return.

27

Enter the amount from Schedule OR-K-1, line 20. If the
PTE didn’t provide Schedule OR-K-1 to you, enter the
amount of estimated tax paid on your behalf that the
PTE reported to us on Form OR-19. Don’t include any
PTE elective tax payments or credit from Schedule OR21-K-1. See Publication OR-17 for information about the
PTE elective tax and related credit.

Total carryforward credits from Schedule ORASC. All carryforward credits are claimed on
Schedule OR-ASC. Enter the total from Schedule ORASC, line E9. Include Schedule OR-ASC with your
return.

30

150-101-040-1 (Rev. 12-13-24)	

18

2024 Form OR-40 Instructions

1.	 Use a filing status other than married filing separately. If you're married and filing separate returns,
you do not qualify for this credit.
2.	 Have one or more dependents age five or younger at
the end of 2024 listed on your Oregon return.*
3.	 Have qualifying income under $30,750.

Refundable credits
Refundable credits reduce the amount of tax that you
owe. Any amount that is more than your tax liability
is treated the same way as an overpayment. Refundable credits not explained here are claimed on Schedule
OR-ASC.

If you're eligible, use the Oregon Kids Credit worksheet to figure your credit.

For more information about refundable credits, see
“Credits” in Publication OR-17.

Credit amount. For 2024, the maximum amount of the
Oregon Kids Credit is $1,000 per qualifying dependent