Chapter 317 Corporation Excise Tax

317.005 Short title

This chapter may be cited as the Corporation Excise Tax Law.

As used in this chapter, unless the context requires otherwise: “Centrally assessed corporation” means every corporation the property of which is assessed by the Department of Revenue under ORS 308.505 to 308.674. “Department” means the Department of Revenue. “Consolidated federal return” means the return permitted or required to be filed by a group of af…

317.013 Adoption of parts of Internal Revenue Code and application of federal laws and regulations

Those portions of the Internal Revenue Code, and any other laws of the United States pertaining to the determination of taxable income of corporate taxpayers, are adopted by reference as a part of this chapter. Those portions of the Internal Revenue Code and other laws of the United States have full force and effect under this chapter unless modified by othe…

317.015 [Repealed by 1957 c.632 §1 (314.075 and 314.080 enacted in lieu of 316.025, 316.030, 317.015 and 317.020)]

317.016 [1967 c.274 §§2,3,5; 1975 c.705 §10; repealed by 1983 c.162 §57]

317.017 [1985 c.802 §48; repealed by 1997 c.839 §69]

317.018 Statement of purpose

It is the intent of the Legislative Assembly: To make the Oregon corporate excise tax law, insofar as it relates to the measurement of taxable income, identical to the provisions of the federal Internal Revenue Code, as in effect and applicable for the tax year of the taxpayer, to the end that taxable income of a corporation for Oregon purposes is the same …

317.019 Application of Payment-in-kind Tax Treatment Act of 1983

The Payment-in-kind Tax Treatment Act of 1983 (P.L. 98-4, as amended by section 1061 of P.L. 98-369) shall apply in deriving Oregon taxable income under this chapter, notwithstanding that the Act is not part of the Internal Revenue Code.

317.020 [Repealed by 1957 c.632 §1 (314.075 and 314.080 enacted in lieu of 316.025, 316.030, 317.015 and 317.020)]

317.021 [1985 c.802 §60; 1987 c.293 §34; renumbered 314.031 in 1993]

317.022 [1983 c.162 §41; 1984 c.1 §8; repealed by 2005 c.94 §84]

317.025 Omission of previously enacted savings clauses from Oregon Revised Statutes

The omission from the Oregon Revised Statutes of those statutes which were part of Acts amending the statutes that constitute the source of this chapter and which provided savings clauses for the statutes amended, is not intended as a repeal of them. Such statutes shall, in so far as they are applicable, continue to be so applicable.

317.030 Effect of chapter

Nothing in this chapter shall be construed to repeal the present capital stock tax or annual corporation license fee otherwise provided for by law.

317.035 Effect of subsequent repeal of chapter

In the event of repeal of this chapter, unless otherwise specifically provided in the repeal, this chapter shall remain in full force for the assessment, imposition and collection of the tax and all interest, penalty or forfeitures which have accrued or may accrue in relation to any such tax for the calendar year in which the tax is repealed.

317.038 Computation of Oregon taxable history

Nothing contained in this chapter shall be construed to require a corporation to include an item of income, or to permit a corporation to deduct an expense item, more than once in computing Oregon taxable income. The changes to the corporate excise and income tax laws by chapter 162, Oregon Laws 1983, shall not be applied to preclude a corporation from taki…

317.045 [1989 c.625 §19; repealed by 1991 c.457 §24]

317.055 [Amended by 1957 c.607 §1; subsection (2) of 1961 Replacement Part derived from 1957 c.607 §11 and 1957 s.s. c.5 §1; 1963 c.571 §2; repealed by 1975 c.368 §8]

317.056 [1975 c.368 §3; 1983 c.162 §4; 1999 c.21 §43; repealed by 2009 c.403 §7]

317.057 [1999 c.30 §2; 2009 c.541 §18; repealed by 2013 c.614 §1]

317.060 [Amended by 1957 c.607 §2; subsection (2) of 1961 Replacement Part derived from 1957 c.607 §11 and 1957 s.s. c.5 §1; 1963 c.571 §3; repealed by 1975 c.368 §8]

IMPOSITION OF TAX

317.061 Tax rate

The rate of the tax imposed by and computed under this chapter is: Six and six-tenths percent of the first $1 million of taxable income, or fraction thereof; and Seven and six-tenths percent of any amount of taxable income in excess of $1 million.

317.063 Tax rate imposed on certain long-term capital gain from farming; requirements

As used in this section: “Farming” means: Raising, harvesting and selling crops; Feeding, breeding, managing or selling livestock, poultry, fur-bearing animals or honeybees or the produce thereof; Dairying and selling dairy products; Stabling or training equines, including but not limited to providing riding lessons, training clinics and schooling shows…

317.065 [Repealed by 1975 c.368 §8]

317.066 [1977 c.597 §2; repealed by 1983 c.162 §57]

317.067 Tax on homeowners association income

A tax is hereby imposed for each taxable year on the homeowners association taxable income of every homeowners association at the rate provided in ORS 317.061 and as though the homeowners association were a corporation. As used in this section, “homeowners association” has the meaning given that term in section 528(c) of the Internal Revenue Code.

317.070 Tax on centrally assessed, mercantile, manufacturing and business corporations and financial institutions

Every centrally assessed corporation, the property of which is assessed by the Department of Revenue under ORS 308.505 to 308.674, and every mercantile, manufacturing and business corporation and every financial institution doing business within this state, except as provided in ORS 317.080 and 317.090, shall annually pay to this state, for the privilege of …

317.071 [1977 c.887 §8; 1981 c.778 §40; 1981 c.894 §30; renumbered 317.111]

317.072 [1967 c.592 §9; 1969 c.340 §3; 1973 c.831 §9; 1977 c.795 §12; 1977 c.866 §11; 1981 c.408 §2; 1983 c.637 §7; renumbered 317.116]

317.073 [1959 c.631 §6; repealed by 1969 c.520 §49]

317.074 [1955 c.592 §2; 1957 c.607 §4; subsection (5) derived from 1957 c.607 §11 and 1957 s.s. c.5 §1; repealed by 1969 c.520 §49]

317.075 [Repealed by 1955 c.592 §4]

317.076 [1969 c.600 §9; renumbered 317.122]

317.077 [1977 c.839 §10; 1979 c.439 §2; renumbered 317.128]

317.078 [1969 c.600 §5; 1983 c.162 §35; renumbered 317.650]

317.080 Exempt corporations

The following corporations are exempt from the taxes imposed by this chapter: Organizations described in subsection (c) and subsection (j) of section 501 of the Internal Revenue Code unless the exemption is denied under subsection (h), (i) or (m) of section 501 or under section 502, 503 or 505 of the Internal Revenue Code. Organizations described in sectio…

317.083 [1981 c.778 §36; renumbered 317.386]

317.084 [1987 c.911 §8e; repealed by 2005 c.80 §7]

317.085 [Repealed by 1957 c.607 §10]

317.087 [1981 c.720 §18; renumbered 317.133]

317.090 Minimum tax

As used in this section: “Oregon sales” means: If the corporation apportions income under ORS 314.650 to 314.665 for Oregon tax purposes, the total sales of the taxpayer in this state during the tax year, as determined for purposes of ORS 314.665; If the corporation does not apportion income for Oregon tax purposes, the total sales in this state that the …

317.092 Exemption of payments to tenant of manufactured dwelling park upon termination of rental agreement

Amounts received by a taxpayer under ORS 90.645 (1) are exempt from the taxes imposed by this chapter.

317.095 [1955 c.592 §§3,6; repealed by 1965 c.479 §1 (317.096 enacted in lieu of 317.095)]

317.096 [1965 c.479 §2 (enacted in lieu of 317.095); repealed by 1983 c.162 §57]

CREDITS (Generally)

317.097 Lending institution loans for housing; rules

As used in this section: “Annual rate” means the yearly interest rate specified on the note, and not the annual percentage rate, if any, disclosed to the applicant to comply with the federal Truth in Lending Act. “Bonds” means a bond, as defined in ORS 286A.001, if issued on behalf of the Housing and Community Services Department, or bonds, as defined in O…

317.098 [1979 c.561 §6; 1983 c.162 §8; renumbered 317.392]

317.099 [1989 c.1071 §§10,10a; repealed by 1991 c.863 §69]

317.100 [1979 c.483 §2; repealed by 1989 c.626 §12]

317.102 [1979 c.578 §9; 1985 c.749 §2; 1987 c.605 §2; 1989 c.887 §2; 1991 c.714 §7; 1991 c.877 §24; repealed by 1993 c.730 §7 (315.104 enacted in lieu of 316.094, 317.102 and 318.110)]

317.103 [1981 c.894 §§15,16; 1989 c.765 §4; 1991 c.457 §10; repealed by 1993 c.730 §35 (315.356 enacted in lieu of 316.141, 316.142 and 317.103)]

317.104 [1979 c.512 §14; 1981 c.894 §13; 1989 c.765 §5; 1991 c.711 §7; repealed by 1993 c.730 §33 (315.354 enacted in lieu of 316.140 and 317.104)]

317.105 [Repealed by 1983 c.162 §57]

317.106 [1985 c.684 §14; 1989 c.765 §6; 1989 c.958 §11; repealed by 1993 c.730 §31 (315.324 enacted in lieu of 316.103 and 317.106)]

317.110 [Amended by 1953 c.385 §9; 1973 c.233 §1; repealed by 1983 c.162 §57]

317.111 Weatherization loan interest; commercial lending institutions

A credit against taxes otherwise due under this chapter for the taxable year shall be allowed commercial lending institutions in an amount equal to the difference between: The maximum amount of interest allowed to be charged during the taxable year under section 6b, chapter 887, Oregon Laws 1977, for loans made before November 1, 1981, by the lending instit…

317.112 Energy conservation loans to residential fuel oil customers or wood heating residents; rules

A credit against taxes otherwise due under this chapter for the taxable year shall be allowed to a commercial lending institution in an amount equal to the difference between: The amount of finance charge charged during the taxable year including interest on the loan and interest on any loan fee financed at an annual rate of six and one-half percent, by the…

317.113 [1987 c.591 §15; 1989 c.381 §§9,12,15; 1991 c.877 §§25,26,27; 1991 c.916 §§21,22,23; 1993 c.18 §§83,84,85; repealed by 1997 c.170 §33]

317.114 [1987 c.682 §6; 1991 c.877 §28; 1991 c.929 §2; repealed by 1993 c.730 §23 (315.208 enacted in lieu of 316.132, 317.114 and 318.160)]

317.115 [1997 c.534 §15; 1999 c.21 §47; 2001 c.584 §8; 2011 c.730 §73; repealed by 2015 c.701 §36]

317.116 [Formerly 317.072; 1987 c.596 §3; 1989 c.802 §3; repealed by 1993 c.730 §29 (315.304 enacted in lieu of 316.097 and 317.116)]

317.120 [1969 c.681 §5; repealed by 1983 c.162 §57]

317.122 [Formerly 317.076; 1995 c.786 §14; 2007 c.716 §2; repealed by 2025 c.36 §4]

(Long Term Enterprise Zones)

317.124 Long term enterprise zone facilities

As used in this section: “Facility” has the meaning given that term in ORS 285C.400. “Payroll costs” means the costs of paying employee salary, wages and other remuneration in cash or property, and employee benefit costs, including but not limited to workers’ compensation, health, life or other insurance premium payments, payroll taxes and contributions to…

317.125 Other tax credits limited; exception

Notwithstanding any other provision of law creating a tax credit against corporate excise or income taxes, a taxpayer claiming a tax credit under ORS 317.124 may not claim any type of tax credit otherwise authorized by law against taxes that are otherwise due under this chapter that are equal to or less than the tax credit threshold amount computed under ORS…

317.127 Long Term Enterprise Zone Fund

The Long Term Enterprise Zone Fund is established, separate and distinct from the General Fund. Amounts credited to the Long Term Enterprise Zone Fund are continuously appropriated to the Department of Revenue for the purpose of making the distributions to local taxing districts described in ORS 317.131. Amounts in the Long Term Enterprise Zone Fund remain…

317.128 [Formerly 317.077; repealed by 1987 c.769 §20]

317.129 Tax payments of long term enterprise zone facilities credit claimants

Notwithstanding ORS 317.850, corporate income or excise tax payments of a taxpayer allowed a tax credit under ORS 317.124 shall be deposited in the Long Term Enterprise Zone Fund established in ORS 317.127, to the extent those payments do not exceed an amount estimated by the Department of Revenue to equal 30 percent of the tax credit threshold amount determ…

317.131 Distribution of funds to local governments

For each tax year in which a taxpayer is allowed a credit under ORS 317.124, the Department of Revenue shall distribute to the local taxing districts in which the facility that is the basis of the credit is located an amount of tax payments that corresponds to the amount of payments deposited under ORS 317.129. Amounts to be distributed under subsection (1)…

317.133 [Formerly 317.087; 1985 c.802 §22; 1991 c.877 §29; repealed by 1993 c.730 §9 (315.134 enacted in lieu of 316.084, 317.133 and 318.080)]

317.134 [1991 c.928 §4; repealed by 1993 c.730 §25 (315.234 enacted in lieu of 316.133 and 317.134)]

317.135 [1987 c.682 §5; 1989 c.625 §20; 1991 c.457 §11; 1991 c.877 §31; repealed by 1993 c.730 §21 (315.204 enacted in lieu of 316.134, 317.135 and 318.175)]

317.140 [1987 c.911 §8d; 1991 c.877 §32; repealed by 1993 c.730 §37 (315.504 enacted in lieu of 316.104 and 317.140)]

317.141 [1991 c.859 §6; repealed by 1993 c.730 §27 (315.254 enacted in lieu of 316.151, 317.141 and 318.085)]

317.142 [1989 c.893 §§5,6; repealed by 1991 c.877 §41]

317.145 [1989 c.924 §4; 1991 c.858 §11; 1991 c.877 §33; repealed by 1993 c.730 §11 (315.138 enacted in lieu of 316.139 and 317.145)]

317.146 [1989 c.963 §4; 1991 c.766 §4; 1991 c.877 §34; repealed by 1993 c.730 §19 (315.164 enacted in lieu of 316.154 and 317.146)]

(Agriculture Workforce Housing)

317.147 Agriculture workforce housing loans; credit transfers; rules

As used in this section: “Agriculture workforce housing” has the meaning given that term in ORS 315.163. “Lending institution” means a bank, mortgage banking company, trust company, savings bank, credit union, national banking association, federal savings and loan association, federal credit union maintaining an office in this state, nonprofit community de…

317.148 [1985 c.521 §2; 1991 c.877 §30; repealed by 1993 c.730 §17 (315.156 enacted in lieu of 316.091, 317.148 and 318.104)]

317.149 [1991 c.652 §10; repealed by 1993 c.730 §39 (315.604 enacted in lieu of 316.155 and 317.149)]

317.150 [1985 c.438 §4; 1991 c.877 §23; repealed by 1993 c.730 §13 (315.148 enacted in lieu of 316.098, 317.150 and 318.102)]

(Education and Research)

317.151 Contributions of computers or scientific equipment for research to educational organizations

A credit is allowed against the taxes otherwise due under this chapter. The amount of the credit shall equal 10 percent of the fair market value of certain qualified charitable contributions, as described in this section. To qualify for the credit allowed under subsection (1) of this section, the charitable contribution must: Be a charitable contribution o…

317.152 [1989 c.911 §2; 1991 c.457 §12; 1993 c.726 §42; 1993 c.813 §11; 1995 c.79 §167; 1995 c.556 §14; 1995 c.746 §9; 1997 c.839 §33; 1999 c.90 §25; 2001 c.660 §50; 2003 c.739 §12; 2005 c.832 §51; 2011 c.730 §§8,8a; repealed by 2025 c.36 §4]

317.153 [1989 c.911 §3; repealed by 2025 c.36 §4]

317.154 [1989 c.911 §4; 1995 c.746 §10; 2001 c.660 §51; 2003 c.739 §13; 2005 c.832 §52; 2011 c.730 §9; 2013 c.750 §38; repealed by 2025 c.36 §4]

317.155 [Amended by 1969 c.600 §10; repealed by 1983 c.162 §57]

317.156 [1967 c.274 §4; repealed by 1983 c.162 §57]

317.160 [Repealed by 1983 c.162 §57]

317.165 [Amended by 1981 c.812 §2; repealed by 1983 c.162 §57]

317.170 [Amended by 1955 c.99 §1; subsection (3) derived from 1955 c.99 §2; 1981 c.812 §1; repealed by 1983 c.162 §57]

317.175 [Amended by 1955 c.128 §1; subsection (4) derived from 1955 c.128 §2; repealed by 1983 c.162 §57]

317.180 [Repealed by 1957 c.632 §1 (314.280 enacted in lieu of 316.205 and 317.180)]

317.185 [Repealed by 1957 c.632 §1 (314.285 enacted in lieu of 316.210 and 317.185)]

DISSOLUTION OF TAXPAYER

317.190 Effect on reporting income

In the case of the dissolution of a taxpayer, gains, profits and income are to be returned for the tax year in which they are received by the taxpayer, unless they have been reported at an earlier period in accordance with the approved method of accounting followed by the taxpayer. If a taxpayer is dissolved, there shall also be included in computing Oregon …

317.195 Effect on deductions allowed

In the case of the dissolution of a taxpayer there shall be allowed as deductions for the taxable period in which the taxpayer dissolved, regardless of the fact that the taxpayer may have kept its books and made its returns on the basis of cash receipts and disbursements, amounts accrued up to the date of dissolution if not otherwise properly allowable in re…

317.197 [1969 c.600 §§3,4,6; 1973 c.402 §22; 1981 c.705 §4; 1983 c.162 §32; renumbered 317.655]

317.199 [1969 c.600 §7; 1983 c.162 §33; renumbered 317.660]

317.205 [Repealed by 1959 c.389 §1 (317.206 enacted in lieu of 317.205)]

317.206 [1959 c.389 §2 (enacted in lieu of 317.205); subsection (4) derived from 1959 c.389 §11; 1971 c.283 §3; repealed by 1983 c.162 §57]

317.210 [Repealed by 1983 c.162 §57]

317.215 [Amended by 1953 c.385 §9; 1957 c.338 §1; part of subsections (10) and (11) of 1957 Replacement Part derived from 1957 c.338 §3; repealed by 1959 c.389 §3 (317.216 enacted in lieu of 317.215)]

317.216 [1959 c.389 §4 (enacted in lieu of 317.215); last sentence derived from 1959 c.389 §11; 1969 c.103 §2; 1969 c.493 §92; 1971 c.283 §4; 1977 c.866 §5; repealed by 1983 c.162 §57]

317.220 [Amended by 1953 c.385 §9; 1975 c.650 §3; 1977 c.795 §13; repealed by 1983 c.162 §57]

317.225 [Amended by 1981 c.705 §5; repealed by 1983 c.162 §57]

317.228 [1969 c.681 §6; repealed by 1983 c.162 §57]

317.230 [Amended by 1953 c.385 §9; repealed by 1959 c.389 §5 (317.231 enacted in lieu of 317.230)]

317.231 [1959 c.389 §6 (enacted in lieu of 317.230); subsection (9) derived from 1959 c.389 §11; repealed by 1983 c.162 §57]

317.235 [Repealed by 1959 c.389 §7 (317.236 enacted in lieu of 317.235 and 317.240)]

317.236 [1959 c.389 §8 (enacted in lieu of 317.235 and 317.240); subsection (7) derived from 1959 c.389 §11; repealed by 1983 c.162 §57]

317.238 [1965 c.460 §2; 1981 c.812 §3; repealed by 1983 c.162 §57]

317.239 [1965 c.460 §§3,4; repealed by 1981 c.812 §4]

317.240 [Repealed by 1959 c.389 §7 (317.236 enacted in lieu of 317.235 and 317.240)]

317.241 [1959 c.389 §10 (enacted in lieu of 317.242); subsection (4) derived from 1959 c.389 §11; 1969 c.493 §93; repealed by 1983 c.162 §57]

317.242 [1953 c.385 §9; repealed by 1959 c.389 §9 (317.241 enacted in lieu of 317.242)]

317.245 [Repealed by 1983 c.162 §57]

317.247 [1955 c.354 §2; 1957 c.338 §2; part of subsection (4) derived from 1957 c.338 §3; subsection (5) enacted as 1963 c.180 §2; 1969 c.128 §1; repealed by 1983 c.162 §57]

317.248 [1971 c.283 §2; repealed by 1983 c.162 §57]

317.249 [1953 c.385 §9; 1975 c.705 §5; repealed by 1983 c.162 §57]

317.250 [Amended by 1953 c.385 §9; repealed by 1975 c.705 §12]

317.251 [1965 c.154 §4; 1969 c.493 §94; 1979 c.580 §1; repealed by 1983 c.162 §57]

317.252 [1965 c.178 §4; repealed by 1983 c.162 §57]

317.255 [Amended by 1953 c.385 §9; 1979 c.517 §1; repealed by 1983 c.162 §57]

317.256 [1955 c.609 §2; 1979 c.517 §2; repealed by 1983 c.162 §57]

MODIFICATIONS TO TAXABLE INCOME

317.259 Modifications generally

Federal taxable income, adopted under ORS 317.013 and 317.018, shall be modified as provided by law. Each modification authorized under law shall be allowed only to the extent that the modification is allocated and apportioned to Oregon income, except as otherwise specifically provided by law.

317.260 [Repealed by 1983 c.162 §57]

317.262 [1953 c.385 §9; repealed by 1983 c.162 §57]

317.265 [Amended by 1955 c.422 §1; subsection (4) derived from 1955 c.422 §2; 1957 c.607 §5; subsection (5) derived from 1957 c.607 §11 and 1957 s.s. c.5 §1; repealed by 1983 c.162 §57]

317.267 Dividends received by corporation from certain other corporations

To derive Oregon taxable income, there shall be added to federal taxable income: Amounts received as dividends from corporations deducted for federal purposes pursuant to section 243 or 245 of the Internal Revenue Code, except section 245(c) of the Internal Revenue Code; Amounts deducted for income repatriated, deemed or otherwise, under section 965 of the…

317.270 [Amended by 1957 c.88 §1; repealed by 1983 c.162 §57]

317.273 Dividend income received by domestic corporation from certain foreign corporations

To derive Oregon taxable income, there shall be subtracted from federal taxable income dividend income with respect to the “gross-up” provisions of section 78 of the Internal Revenue Code.

317.275 [Repealed by 1983 c.162 §57]

317.277 [1977 c.506 §2; repealed by 1983 c.162 §57]

317.280 [Amended by 1953 c.385 §9; 1955 c.584 §1; repealed by 1983 c.162 §57]

317.281 [1983 c.162 §14a; 1985 c.802 §22a; repealed by 1989 c.625 §81]

317.283 Nonrecognition of transactions with related domestic international sales corporation; tax treatment of commissions

To derive Oregon taxable income, federal taxable income shall be modified to the extent necessary to not recognize for Oregon tax purposes any transaction between the taxpayer and a related domestic international sales corporation. The taxpayer shall be considered to have entered directly into any transactions with third parties that are treated for federal …

317.285 [Amended by 1957 s.s. c.15 §9; 1971 c.724 §1; 1977 c.89 §1; 1981 c.613 §4; 1983 c.162 §29; renumbered 317.368]

317.286 Nonrecognition of transactions with related foreign sales corporation

To derive Oregon taxable income, federal taxable income shall be modified to the extent necessary to not recognize for Oregon tax purposes any transaction between the taxpayer and a related foreign sales corporation. The taxpayer shall be considered to have entered directly into any transactions with third parties that are treated for federal income tax purp…

317.287 [1961 c.608 §4; repealed by 1975 c.705 §12]

317.288 [1983 c.162 §15; repealed by 1984 c.1 §18]

317.290 [Amended by 1983 c.162 §30; renumbered 317.374]

317.292 [1957 c.19 §2; repealed by 1983 c.162 §57]

317.295 [Amended by 1953 c.385 §9; 1955 c.722 §1; 1961 c.565 §1; subsection (4) enacted as 1961 c.565 §2; 1971 c.246 §1; repealed by 1983 c.162 §57]

317.296 [1983 c.162 §16; repealed by 1984 c.1 §18]

317.297 [1957 s.s. c.15 §§11,12; 1959 c.92 §2; 1983 c.162 §36; renumbered 317.476]

317.298 [1961 c.505 §§2,3; 1969 c.493 §95; 1979 c.580 §2; repealed by 1983 c.162 §57]

317.299 [1969 c.600 §8; 1983 c.162 §34; renumbered 317.665]

317.300 [Amended by 1953 c.385 §9; repealed by 1983 c.162 §57]

317.301 Deferral of deduction for certain amounts deductible under federal law

There shall be added to federal taxable income for Oregon tax purposes the difference between the amount allowable as a deduction under section 108 of the Internal Revenue Code as applicable to the tax year of the taxpayer and the amount allowable as a deduction under section 108 of the Internal Revenue Code as amended and in effect on December 31, 2008, as …

317.303 Deduction or adjustment for certain federal credits

If a taxpayer has taken a federal credit, which requires as a condition of the use of the federal credit the reduction of a corresponding deduction or basis, and the federal credit is not allowable for Oregon purposes, the taxpayer shall be allowed the deduction or appropriate adjustment to basis to derive Oregon taxable income.

317.304 Addition for unused qualified business credits

There shall be added to federal taxable income the amount taken as a deduction on the taxpayer’s federal return for unused qualified business credits under section 196 of the Internal Revenue Code.

317.305 [1957 c.74 §2; repealed by 1983 c.162 §57]

317.307 Reduction for charitable contribution deduction under federal law; subtraction

There shall be subtracted from federal taxable income the amount by which a corporation must reduce its charitable contribution deduction under section 170(d)(2)(B) of the Internal Revenue Code (relating to carryovers of excess contributions for corporations).

317.309 Interest and dividends received from obligations of state or political subdivision

To derive Oregon taxable income, there shall be added to federal taxable income the amount of any interest or dividends received during the taxable year from obligations of a state or any political subdivision of a state (including Oregon), exempt from federal taxation under the Internal Revenue Code. However, the amount added under this subsection shall be …

317.310 Balance in bad debt reserve of financial institution which has changed from reserve method to specific charge-off method of accounting

To derive Oregon taxable income of a financial institution which has changed from the reserve method of accounting to the specific charge-off method of accounting for federal tax purposes, there shall be subtracted from federal taxable income amounts which the financial institution recognized pursuant to section 585(c)(3) of the Internal Revenue Code. To de…

317.311 Application of section 243 of Tax Reform Act of 1986

Section 243 of the Tax Reform Act of 1986 (P.L. 99-514) does not apply for purposes of determining taxable income under this chapter.

317.312 Federal depreciation expenses of certain health care service contractors

To derive Oregon taxable income, for certain health care service contractors for which federal tax exempt status was denied by section 501(m) of the Internal Revenue Code, and for which all assets owned by the health care service contractor prior to the effective date of the denial of exempt status are treated as placed in service on such effective date for …

317.314 Taxes on net income or profits imposed by any state or foreign country; nondeductible taxes and license fees; taxes paid to foreign country for certain income

To derive Oregon taxable income, there shall be added to federal taxable income taxes upon or measured by net income or profits imposed by any foreign country (including withholding taxes upon the payment of dividends arising from sources within such foreign country), this state or any state or territory deducted in computing federal taxable income. There s…

317.319 Capital Construction Fund; deferred income; nonqualified withdrawals

To derive Oregon taxable income: There shall be added to federal taxable income an amount equal to the amount of income which the taxpayer defers under section 607 of the Merchant Marine Act of 1936 -- Capital Construction Fund (46 U.S.C. 1177), as amended, or under section 7518 of the Internal Revenue Code. There shall be subtracted from federal taxable i…

317.320 [1969 c.493 §73; 1973 c.402 §23; repealed by 1983 c.162 §57]

317.322 Addition of long term care insurance premiums if credit is claimed

The amount of any long term care insurance premiums paid or incurred by a taxpayer during the tax year shall be added to taxable income if: The amount is taken into account as a deduction on the taxpayer’s federal return for the tax year; and The taxpayer claims the credit allowed under ORS 315.610 for the tax year.

317.325 [1973 c.115 §5; repealed by 1983 c.162 §57]

317.326 [1983 c.162 §21; repealed by 2001 c.509 §19]

317.327 Modification of taxable income when deferred gain is recognized as result of out-of-state disposition of property; rules

If gain is deferred upon the voluntary or involuntary disposition of property in an exchange that qualifies for deferral under section 1031 or 1033 of the Internal Revenue Code, and the property acquired in the exchange has a situs outside of this state, upon the sale or other disposition of the acquired property in a transaction in which gain or loss is rec…

317.328 [1979 c.414 §4; 1983 c.162 §31; renumbered 317.381]

317.329 Basis for stock acquisition

A corporation shall have the same basis for state excise or income tax purposes as for federal income tax purposes for assets: If the corporation engages in a qualified stock purchase on or after August 31, 1982, and elects (or is treated as having elected) section 338 of the Internal Revenue Code; or If the corporation, before August 31, 1982, engaged in …

317.330 [1973 c.753 §5; repealed by 1979 c.414 §7]

317.333 [1983 c.162 §22; repealed by 1987 c.293 §70]

317.335 [1973 c.753 §6; repealed by 1979 c.414 §7]

317.339 [1983 c.162 §23; repealed by 1984 c.1 §18]

317.342 [1985 c.802 §49; repealed by 1997 c.839 §69]

317.344 Net operating loss carryback and carryover

There shall be added to federal taxable income the amount of any net operating loss carryback or carryover allowed in arriving at federal taxable income.

317.346 Net operating loss subtraction allowed to agricultural sector business taxpayer

As used in this section, “eligible taxpayer” means a taxpayer primarily doing business in 2017 North American Industry Classification System code 111, crop production, or code 112, animal production and aquaculture. After making the addition required under ORS 317.344, an eligible taxpayer may elect to subtract from federal taxable income a deduction for ne…

317.349 Transaction treated as lease purchase under federal law

To derive Oregon taxable income, federal taxable income shall be modified to the extent necessary to not treat as a lease purchase or in any other way recognize for Oregon tax purposes a transaction entered into pursuant to section 168(f) (8) of the Internal Revenue Code as that section was in effect prior to January 1, 1987, or as applicable under section 2…

317.350 [1959 c.631 §§4,5; repealed by 1983 c.162 §57]

317.351 ORS 317.349 not applicable to finance leases

Notwithstanding ORS 317.349, finance leases as described in section 168(f)(8) of the Internal Revenue Code, as that section was amended and in effect for purposes of ORS 317.349, shall be accorded the same treatment for Oregon tax purposes as they are for federal tax purposes.

317.355 [Repealed by 1957 c.632 §1 (314.385 enacted in lieu of 316.545 and 317.355)]

317.356 Basis on disposition of asset; adjustments to reflect depreciation, depletion, other cost recovery, federal credits and other differences in Oregon and federal basis

Upon the taxable sale, exchange or disposition of any asset, federal taxable income shall be increased or decreased by an amount that will reflect one or more of the following: The difference in basis that results from the difference in depreciation, depletion or other cost recovery, or expense claimed under section 179 of the Internal Revenue Code, allowed…

317.360 [Repealed by 1975 c.760 §3]

317.362 Reversal of effect of gain or loss in case of timber, coal, domestic iron ore

To derive Oregon taxable income, federal taxable income shall be modified to reverse the effect of section 631 of the Internal Revenue Code.

317.363 Expenses of marijuana-related trade or business

Section 280E of the Internal Revenue Code applies to all trafficking in controlled substances in Schedule I or Schedule II that is prohibited by federal law or the laws of this state, other than conduct authorized under: ORS 475C.005 to 475C.525 or 475C.700 to 475C.919; or ORS 475A.210 to 475A.722.

317.365 [Repealed by 1957 c.632 §1 (314.365 enacted in lieu of 316.550 and 317.365)]

317.368 [Formerly 317.285; 1984 c.1 §12; 1985 c.802 §26; repealed by 1999 c.580 §10]

317.370 [Repealed by 1957 c.632 §1 (314.420 enacted in lieu of 316.620, 317.370 and 317.420)]

317.374 Depletion

To the extent that the amount allowed as a deduction for depletion under section 611 of the Internal Revenue Code exceeds, or is less than, the amount determined as the Oregon depletion allowance under subsection (2) or (3) of this section, to derive Oregon taxable income, the difference shall be added to or subtracted from federal taxable income. For purpo…

317.375 [Repealed by 1957 c.632 §1 (314.295 enacted in lieu of 316.560 and 317.375)]

317.377 [1989 c.625 §23; 1993 c.726 §45; renumbered 317.479 in 1995]

317.379 Exemption of income from exercise of Indian fishing rights

Income derived from the exercise of rights of any Indian tribe to fish secured by treaty, Executive order or Act of Congress is exempt from the tax imposed by this chapter if section 7873 of the Internal Revenue Code does not permit a like federal tax to be imposed on such income.

317.380 [Repealed by 1957 c.632 §1 (314.380 enacted in lieu of 316.565 and 317.380)]

317.381 [Formerly 317.328; 1985 c.802 §27; repealed by 1987 c.293 §70]

317.383 [1991 c.863 §35; repealed by 2009 c.33 §26]

317.386 Energy conservation payments exempt

Any amount received as a cash payment for energy conservation measures under ORS 456.594 to 456.599 and 469.631 to 469.687 is exempt from the tax imposed under this chapter.

317.388 Claim of right income repayment adjustment when credit is claimed

There shall be added to federal taxable income any amount taken as a deduction under section 1341 of the Internal Revenue Code in computing federal taxable income for the tax year, if the taxpayer has claimed a credit for claim of right income repayment adjustment under ORS 315.068.

317.390 [Amended by 1957 c.607 §6; 1959 c.156 §2; subsection (3) derived from 1959 c.156 §3; repealed by 1969 c.166 §8]

317.391 Small city business development exemption

For each tax year in which a business firm has received an annual certification for a facility under ORS 285C.506, the income of the business firm that is apportionable to the certified facility shall be exempt from tax under this chapter. The income of a business firm that is exempt under this section shall be determined by multiplying the taxable income o…

317.392 [Formerly 317.098; repealed by 1993 c.475 §3]

317.394 Qualifying film production labor rebates

If the amount received as a labor rebate under section 1, chapter 559, Oregon Laws 2005, is included in federal taxable income for federal tax purposes, then the amount shall be subtracted from federal taxable income for purposes of determining Oregon taxable income under this chapter.

317.395 [Amended by 1957 c.607 §7; renumbered 317.504]

317.398 Qualified production activities income

Except as otherwise provided in this section, a taxpayer that is allowed a deduction for qualified production activities income under section 199 of the Internal Revenue Code for federal tax purposes shall add the amount deducted to federal taxable income for purposes of the tax imposed by this chapter. In the case of a taxpayer that is a specified agricultu…

317.401 Addition for federal prescription drug plan subsidies excluded for federal tax purposes

A taxpayer that is allowed an exclusion from gross income under section 139A of the Internal Revenue Code for federal tax purposes shall add the amount excluded to federal taxable income for purposes of the tax imposed by this chapter. [2005 c.832 §45] (Temporary provisions relating to exemption for certain sales of manufactured dwelling parks) Note: Secti…

317.405 [Amended by 1955 c.587 §1; repealed by 1957 c.632 §1 (314.405 enacted in lieu of 316.605 and 317.405)]

317.410 [Amended by 1953 c.385 §9; 1955 c.581 §2; 1957 c.20 §1; repealed by 1957 c.632 §1 (314.410 enacted in lieu of 316.610 and 317.410)]

317.415 [Amended by 1953 c.385 §9; 1955 c.581 §1; repealed by 1957 c.632 §1 (314.415 enacted in lieu of 316.615 and 317.415)]

317.420 [Amended by 1955 c.356 §1; repealed by 1957 c.632 §1 (314.420 enacted in lieu of 316.620, 317.370 and 317.420)]

317.425 [Repealed by 1957 c.632 §1 (314.425 enacted in lieu of 316.625 and 317.425)]

317.430 [Repealed by 1957 c.632 §1 (314.430 enacted in lieu of 316.630 and 317.430)]

317.435 [Repealed by 1957 c.632 §1 (314.435 enacted in lieu of 316.635 and 317.435)]

317.440 [Repealed by 1957 c.632 §1 (314.440 enacted in lieu of 316.640, 317.440 and 317.445)]

317.445 [Repealed by 1957 c.632 §1 (314.440 enacted in lieu of 316.640, 317.440 and 317.445)]

317.450 [Amended by 1957 c.607 §8; 1961 c.504 §4; repealed by 1969 c.166 §8]

317.455 [Repealed by 1957 c.632 §1 (314.445 enacted in lieu of 316.650 and 317.455)]

317.460 [Repealed by 1957 c.632 §1 (subsections (1) and (2) of 314.450 enacted in lieu of 316.655 and 317.460)]

317.465 [Repealed by 1957 c.632 §1 (314.455 enacted in lieu of 316.660 and 317.465)]

317.470 [Amended by 1953 c.385 §9; 1955 c.585 §1; repealed by 1957 c.632 §1 (314.460 enacted in lieu of 316.665 and 317.470)]

317.475 [Repealed by 1957 c.632 §1 (314.465 enacted in lieu of 316.670 and 317.475)]

317.476 Net losses of prior years

In computing Oregon taxable income there shall be allowed as a deduction an amount equal to the aggregate of the Oregon net losses of prior years to the extent provided in this section. As used in this section, “Oregon net loss” means Oregon net loss as defined in ORS 317.010 (9). In computing Oregon net loss for any taxable year the Oregon net loss for a …

317.478 Pre-change and built-in losses

That portion of the pre-change and built-in losses which the taxpayer deducted pursuant to section 382 of the Internal Revenue Code shall be added to federal taxable income under ORS 317.344 or otherwise. Pre-change losses and recognized built-in losses, subject to the limitation under section 382 of the Internal Revenue Code, shall not be considered in det…

317.479 Limitation on use of preacquisition losses to offset built-in gain

Preacquisition losses, as described under section 384 of the Internal Revenue Code, to the extent allocated or apportioned to Oregon, with the additions, subtractions, modifications and other adjustments required for purposes of this chapter, shall not be considered in determining the taxable income or loss under ORS 317.010. If any preacquisition loss, as …

317.480 [Repealed by 1957 c.632 §1 (314.470 enacted in lieu of 316.675 and 317.480)]

317.485 Loss carryforward after reorganization; construction

Unless specifically required otherwise under this chapter, nothing in this chapter shall be construed to require that after a reorganization a loss carryforward may be allowed only if the income against which the loss is offset is from substantially the same business activities or assets which incurred the loss.

317.488 [1999 c.358 §4; 2011 c.301 §4; repealed by 2025 c.36 §4]

317.491 Contribution to charitable organization subject to disqualification order

Except as provided in subsection (2) of this section, in addition to any other modification to federal taxable income under this chapter there shall be added to federal taxable income the amount of any charitable contribution that: Is allowed as a deduction for federal tax purposes for the tax year under section 170 of the Internal Revenue Code; Is attribu…

317.493 Addition of purchase price of purchased winning lottery ticket

If the amount of the purchase price of a lottery ticket that is purchased in violation of ORS 461.610 is allowed as a deduction for federal tax purposes, the amount of the purchase price shall be added to federal taxable income for Oregon tax purposes.

317.504 [Formerly 317.395; repealed by 2025 c.371 §9]

317.505 [Repealed by 1957 c.632 §1 (314.805 enacted in lieu of 316.705 and 317.505; and 314.815 enacted in lieu of 316.720 and 317.505)]

RETURNS AND PAYMENT OF TAX

317.510 Requiring additional reports and information

The Department of Revenue may order additional reports or such other information it deems necessary in addition to the regular reports provided in this chapter. All reports and returns, as provided in this chapter, shall be upon standard forms, adopted by the department, with no more detailed information relating to the taxpayer’s business than is necessary …

317.514 [1983 c.162 §37; repealed by 1984 c.1 §18]

317.515 [Renumbered 317.845]

317.520 [Repealed by 1957 c.632 §1 (314.820 enacted in lieu of 316.725 and 317.520)]

317.525 [Repealed by 1957 c.632 §1 (314.825 enacted in lieu of 316.730 and 317.525)]

317.530 [Repealed by 1957 c.632 §1 (314.830 enacted in lieu of 316.735 and 317.530)]

317.535 [Amended by 1957 c.76 §1; repealed by 1957 c.632 §1 (314.835 enacted in lieu of 316.740 and 317.535)]

317.540 [Repealed by 1957 c.632 §1 (314.840 enacted in lieu of 316.745 and 317.540)]

317.545 [Repealed by 1957 c.632 §1 (314.845 enacted in lieu of 316.750 and 317.545)]

317.550 [Repealed by 1957 c.632 §1 (314.855 enacted in lieu of 316.760 and 317.550)]

317.590 [Amended by 1953 c.309 §2; 1955 c.35 §1; 1957 c.528 §4; renumbered 317.850]

317.605 [Amended by 1953 c.331 §2; renumbered 314.210]

317.610 [Renumbered 314.220]

317.615 [Renumbered 314.230]

FOREIGN INCOME; DOMESTIC INTERNATIONAL SALES CORPORATIONS; INSURERS

317.625 Income from sources without the United States

Income from sources without the United States, as defined in section 862 of the Internal Revenue Code, shall be accounted for in the computation of Oregon taxable income as required by ORS chapters 305 and 314 and this chapter without regard to sections 861 to 864 of the Internal Revenue Code. [1983 c.162 §38] (Temporary provisions relating to post-1986 def…

317.635 Domestic international sales corporation; exemption from minimum tax

Except as provided in ORS 317.283, a domestic international sales corporation, commonly referred to as “DISC,” as defined in section 992 of the Internal Revenue Code, shall be taxed in the manner provided for other corporations under this chapter and without regard to sections 991 to 996 of the Internal Revenue Code. An interest charge DISC formed on or bef…

317.650 Insurers; depreciation and basis provisions; confidentiality of returns; calendar year filing of returns required

ORS 317.356, relating to depreciation and basis, shall be applicable to every insurer. Notwithstanding ORS 314.835 or 314.840 or any other law concerning confidentiality of tax returns, the Department of Consumer and Business Services and the Department of Revenue may disclose to each other returns and all other information necessary to carry out ORS 731.85…

317.655 Taxable income of insurer; computation; exclusion for certain life insurance or annuity accounts

For purposes of the tax imposed under ORS 317.070, the Oregon taxable income of an insurer shall be the insurer’s “net gain from operations” or “net income” determined in the manner prescribed by the Department of Consumer and Business Services on its Annual Statement Form for the taxable year, as adjusted pursuant to ORS 317.010 (11) and 317.650 to 317.665.…

317.660 Allocation of net income where insurer has both in-state and out-of-state business

If the income of an insurer is derived from business done both within and without this state, the determination of Oregon taxable income shall be arrived at by multiplying the insurer’s net income by the insurance sales factor. The insurance sales factor shall consist of a fraction, the numerator of which is the amount of direct premiums (excluding reinsura…

317.665 Oregon net losses of insurer in prior years

In computing Oregon taxable income, an insurer shall be allowed as a deduction an amount equal to the aggregate Oregon net losses of prior years as defined in ORS 317.476.

317.667 Tax treatment of captive insurers

A captive insurer, as defined in ORS 735.150, making a valid election under section 831(b) of the Internal Revenue Code of 1986, as amended, shall be afforded the same tax treatment on receipt of premiums and tax on investment earnings for state income tax purposes as exists for federal income tax purposes except that the income tax rates on taxable income o…

317.705 Definitions

As used in ORS 317.705 to 317.715: “Affiliated group” means an affiliated group of corporations as defined in section 1504 of the Internal Revenue Code. “Unitary group” means a corporation or group of corporations engaged in business activities that constitute a unitary business. “Unitary business” means a business enterprise in which there exists directl…

317.710 Corporation tax return requirements; application to insurers; rules

A corporation shall make a return with respect to the tax imposed by this chapter as provided in this section. If the corporation is a member of an affiliated group of corporations making a consolidated federal return, it shall file a return and determine its Oregon taxable income as provided in ORS 317.715. The corporation’s tax liability shall be joint an…

317.713 Group losses as offset to income of subsidiary paying preferred dividends

If the use of group losses to offset income of a subsidiary paying dividends on preferred stock is limited under section 1503(f) of the Internal Revenue Code, a like limitation shall apply for purposes of this chapter. For purposes of applying section 1503(f) of the Internal Revenue Code, “group losses” and “separately computed taxable income” shall be deter…

317.715 Tax return of corporation in affiliated group making consolidated federal return

If a corporation required to make a return under this chapter is a member of an affiliated group of corporations making a consolidated federal return under sections 1501 to 1505 of the Internal Revenue Code, the corporation’s Oregon taxable income shall be determined beginning with federal consolidated taxable income of the affiliated group as provided in th…

317.716 [2015 c.755 §2; repealed by 2018 c.101 §35]

317.717 [2013 c.707 §4; 2015 c.755 §4; repealed by 2018 c.101 §35]

317.720 Computation of taxable income; excess loss accounts

To derive Oregon taxable income, there shall be subtracted from federal taxable income the amount of the excess loss account included under Treasury Regulations adopted under section 1502 of the Internal Revenue Code to the extent that the excess losses have not offset unitary income. However, in no event shall excess losses be recaptured on account of Treas…

317.725 Adjustments to prevent double taxation or deduction; rules

If any provision of the Internal Revenue Code or of ORS 317.705 to 317.715, relating to the use of consolidated federal returns, requires that any amount be added to or deducted from federal consolidated taxable income or the Oregon taxable income subject to taxation under this chapter or ORS chapter 318 that previously had been added to or deducted from inc…

317.845 [Formerly 317.515; repealed by 1985 c.761 §27]

DISPOSITION OF REVENUE

317.850 Disposition of revenue

The net revenue from the tax imposed by this chapter, after deduction of refunds, shall be paid over to the State Treasurer and held in the General Fund as miscellaneous receipts available generally to meet any expense or obligation of the State of Oregon lawfully incurred. A working balance of unreceipted revenue from the tax imposed by this chapter may be…

317.853 Disposition of revenue from tax imposed at increased rate; estimate

For tax years beginning on or after January 1, 2013, and before January 1, 2017, any revenue that is received as a result of a rate of tax above 7.5 percent imposed under this chapter and that is in excess of the revenue that would be received under this chapter at a rate of 7.5 percent shall be deposited into the Oregon Rainy Day Fund established by ORS 293…

317.910 [1959 c.356 §3; repealed by 1983 c.162 §57]

UNRELATED BUSINESS INCOME OF CERTAIN EXEMPT CORPORATIONS

317.920 Tax imposed on unrelated business income of certain exempt corporations

Notwithstanding ORS 317.080, a corporation otherwise exempt from tax under ORS 317.080 (1), (2), (3), (4), (7) or (9) shall be subject to the tax imposed by and in accordance with the provisions of this chapter, but only as to its unrelated business taxable income, as defined under the Internal Revenue Code. Subsection (1) of this section shall not apply to…

317.930 Exceptions and limitations

In addition to the exclusions and modifications contained in section 512(b) of the Internal Revenue Code, in determining unrelated business taxable income: There shall be excluded, in the case of any school, college or university, which rents real property to its students or faculty, all rents derived therefrom, providing that such property is actually a pa…

317.940 [1959 c.356 §5; repealed by 1983 c.162 §57]

317.950 Assessment of deficiency

If the Department of Revenue finds that unrelated business taxable income, or any portion thereof, has not been assessed, it may, at any time within three years after the return was filed, or in case no return was filed within five years from the time the return should have been filed, compute the tax and give notice to the corporation of the amount due, inc…

317.990 [Repealed by 1957 c.632 §1 (314.991 enacted in lieu of 316.990 and 317.990)]

PENALTIES

317.991 Civil penalty; noncompliance with ORS 317.097 relating to credit for housing rehabilitation loans

The Director of the Housing and Community Services Department may assess a civil penalty against any project owner in an amount not to exceed three times the value of the tax credit available in any year on a project during which the owner does not comply with the provisions of ORS 317.097 and the rules promulgated thereunder. Notwithstanding the provisions…