Oregon Revised Statutes
As used in ORS 321.005 to 321.185 and 321.560 to 321.600, unless the context requires otherwise: “Consumer Price Index for All Urban Consumers, West Region (All Items)” means the Consumer Price Index for All Urban Consumers, West Region (All Items), as published by the Bureau of Labor Statistics of the United States Department of Labor. “Forestland” means …
The prevention and suppression of, and preparedness for, forest fires on forestlands for the preservation of forest resources and the continuous growth of timber on lands suitable therefor, are declared to be the public policy of the State of Oregon. The Legislative Assembly recognizes that: The forested areas situated within eastern Oregon predominate in P…
The Legislative Assembly finds that it is in the interest of the State of Oregon that the public as a whole share responsibility for protecting the forests of this state, by making funds available for suppression of fires.
For the calendar years beginning January 1, 2026, and January 1, 2027, there is levied a privilege tax of 90.00 cents per thousand feet, board measure, upon taxpayers for the privilege of harvesting of all merchantable forest products harvested on forestlands. Subject to ORS 321.145, the proceeds of the tax shall be transferred as provided in ORS 321.152 (2)…
In addition to the taxes levied under ORS 321.015 (1) to (4), there hereby is levied a privilege tax upon taxpayers on the harvesting of all merchantable forest products harvested on forestlands in the amount provided in subsection (2) of this section. The rate of tax levied in subsection (1) of this section shall be established annually at the beginning of…
For purposes of determining the moneys available in the Oregon Forest Land Protection Fund described in ORS 477.750 as of February 16, such shall be the balance shown on such date less the total of: The unexpended balance as of February 16 of the amount budgeted to be expended from the account for the fiscal year in which the determination is made; and The…
The taxes levied under ORS 321.015 shall be due and payable annually, on or before April 15, for the preceding calendar year. The tax shall be delinquent if not paid by the due date, which shall be determined without regard to any extension of time for filing the return. Subject to the provisions relating to estimated tax payments provided in subsections (4…
The revenue from the taxes levied by ORS 321.005 to 321.185 and 321.560 to 321.600 shall be remitted to the State Treasurer who shall deposit it in a suspense account established under the provisions of ORS 293.445. Notwithstanding the provisions of ORS 291.238, the amount of moneys necessary to pay refunds of the taxes levied under ORS 321.015 (1) to (4) h…
Subject to ORS 321.145 (2), moneys remaining in the Department of Revenue’s suspense account referred to in ORS 321.145 on February 10, May 10, August 10 and November 10 of each year shall be transferred to the respective appropriation accounts described in subsections (2) to (5) of this section. That part of the moneys derived from taxes levied by ORS 321.…
There hereby is established in the State Treasury in the General Fund an account to be known as the Forest Research and Experiment Account, which account hereby is appropriated continuously to the Higher Education Coordinating Commission for distribution to Oregon State University for the purposes of ORS 526.215 and 526.225. The Forest Research and Experime…
FORESTLAND VALUATION
As used in ORS 321.201 to 321.222, “forestland” means either forestland, as defined in ORS 321.257, that is located in western Oregon or forestland, as defined in ORS 321.805, that is located in eastern Oregon.
The Legislative Assembly finds that an accurate system of annually determining forestland values in this state is vital to achieving a fair and equitable system of taxing the forest resources of this state. The Legislative Assembly declares that an annual determination of forestland values is the process that best achieves an accurate assessment of forestlan…
The Department of Revenue by rule shall develop valuation models to be used to value forestland in western Oregon and eastern Oregon. The valuation models may consider forestland sales, stumpage values, immediate harvest values, log prices or other commercially reasonable factors or data that promote real market value analysis of forestland.
Pursuant to the valuation models adopted by the Department of Revenue under ORS 321.207 and for the purpose of certifying specially assessed values of forestland under ORS 321.354 and 321.833, for each tax year the Department of Revenue shall give notice of proposed specially assessed values of forestland. The values shall be proposed by the department on or…
At any time, the Department of Revenue may convene a forestland value advisory committee to assist the department in developing a valuation model under ORS 321.207 or in determining specially assessed values of forestland. If the department convenes a committee, it shall be composed of members appointed by the Director of the Department of Revenue. In appoin…
On or before June 1 of each assessment year, the Department of Revenue shall adopt specially assessed values of forestland, as of the assessment date for that year. The department shall certify the specially assessed values of forestland in eastern Oregon to the county assessors of eastern Oregon and the specially assessed values of forestland in western Ore…
At any time following certification of the specially assessed values under ORS 321.216 and before July 1 of the tax year, five or more taxpayers owning in the aggregate not less than five percent of the total forestland in a single land market area may appeal any or all of the specially assessed values so certified. Appeals under this section shall be made …
Any appeal of forestland value that does not involve an appeal of a specially assessed value certified under ORS 321.216 shall be made to the property value appeals board in the manner prescribed in ORS 309.100.
SPECIAL ASSESSMENT OF WESTERN OREGON FORESTLAND
As used in ORS 321.257 to 321.390, unless the context requires otherwise: “Department” means the Department of Revenue. “Forestland” means land in western Oregon that is being held or used for the predominant purpose of growing and harvesting trees of a marketable species and has been designated as forestland or land in western Oregon, the highest and best…
The Legislative Assembly finds that: Multiple taxation through a yearly ad valorem levy on both trees and forestland managed in sustained yield timber operations discourages conservation, private ownership and investment of capital. The interests of this state, its residents and its future residents are best served by sustained yield practices and taxing p…
The purposes of ORS 321.257 to 321.390 are: To impose with respect to forestlands in western Oregon a special assessment program whereby the value of forestland is determined as prescribed in ORS 321.201 to 321.222. To establish a special assessment program as a means of: Recognizing the long-term nature of the forest crop and fostering the public policy …
The following forestland may not be assessed under ORS 321.257 to 321.390: Forestland assessed by the Department of Revenue pursuant to ORS 308.505 to 308.674, 308.805 to 308.820 and 308.990. Except as provided in ORS 321.347, land that is prepared using intensive cultivation and tilling and on which all unwanted plant growth is controlled continuously for…
All timber in western Oregon shall be exempt from ad valorem property taxation.
For the purposes of ORS 321.257 to 321.390: All land in western Oregon valued as forestland for ad valorem property tax purposes on January 1, 1977, shall retain that classification for the purposes of ORS 321.257 to 321.390 unless it is specifically excluded from the provisions thereof or unless it is removed from that classification as provided in ORS 321…
For each tax year, forestland shall be assigned by the Department of Revenue to land classes as defined in ORS 321.257. Land classes assigned under subsection (1) of this section may be changed thereafter by the department upon the initiative of the department, or upon the request of an owner, if further investigation reveals that the basis for the land cla…
Subject to subsection (2) of this section, land that is changed from farm use special assessment under ORS 308A.050 to 308A.128 to special assessment as forestland under ORS 321.257 to 321.390, at the election of the owner made under rules adopted by the Department of Revenue, shall not be valued under ORS 308.205, 308.232 and 321.257 to 321.390 for the tax …
The Department of Revenue shall identify the forestland that is held in common ownership of 5,000 acres or more as of the assessment date for each tax year. Forestland that the department has identified under paragraph (a) of this subsection that, for the previous tax year, was subject to small tract forestland assessment shall be disqualified from small tr…
An owner of land desiring that it be designated as forestland shall make application to the county assessor on or before April 1 of the assessment year for which special assessment as forestland is first desired, and the owner may also do so within 30 days of receipt of notice of its assessment as omitted property. Notwithstanding subsection (1) of this sec…
When land has once been designated as forestland either as a result of an application being filed therefor or through the application of ORS 321.347 (3) or (4), it shall be valued as such until the assessor removes the forestland designation under paragraph (b) of this subsection. The county assessor shall remove the forestland designation upon: Notificati…
The tax roll shall show the notation “Forest Land-Potential Additional Tax Liability” for each parcel of land designated as forestland by the assessor upon application of the owner or by the application of ORS 321.347 (3) or (4). That notation shall not be made with respect to parcels of undesignated forestland.
Notwithstanding ORS 308.210, 311.405 or 311.410, if land designated as forestland is subject to disqualification by the county assessor as a result of the discovery that the land is no longer forestland, the disqualification shall be deemed to occur as of the January 1 assessment date of the assessment year in which the discovery occurs. This section applie…
The State Forester shall identify all of the forestlands that fail to meet the minimum stocking required under ORS 527.610 to 527.770 and that are therefore underproductive as described under ORS 526.455. At any time the State Forester has reason to believe that forestland is not being managed as forestland, the State Forester shall review the owner’s manag…
Land described in ORS 321.267 (3) (relating to hardwood timberland, including hybrid cottonwood timberland) shall be assessed as farm use land under ORS 308A.050 to 308A.128. If land is or becomes land described under ORS 321.267 (3) and the land is not located within an exclusive farm use zone, the owner shall make application for special valuation as farm…
GENERALLY
No person shall harvest or cause to be harvested any timber from land in Oregon without first having notified the State Forester in writing with a copy to the Department of Revenue on forms prepared by the State Forester and the department of intent to harvest pursuant to ORS 321.005 to 321.185, 321.560 to 321.600 and 321.700 to 321.754. The notification sh…
The provisions of ORS chapters 305 and 314 as to the audit and examination of reports and returns, determination of deficiencies, liens, assessments, claims for refund, conferences and appeals to the Oregon Tax Court, and the procedures relating thereto, apply to the determination of taxes, penalties and interest imposed under ORS 321.005 to 321.185, 321.560…
If any tax imposed by ORS 321.005 to 321.185, 321.560 to 321.600 or 321.700 to 321.754, or any portion of the tax, is not paid within 30 days after the date that the written notice and demand for payment required under ORS 305.895 is mailed, the Department of Revenue may issue a warrant for the payment of the amount of the tax, with the added penalties, inte…
If any taxpayer neglects or refuses to make a return required to be made by ORS 321.005 to 321.185, 321.560 to 321.600 or 321.700 to 321.754, the Department of Revenue is authorized to determine the tax due, based upon any information in its possession or that may come into its possession. The department shall give the taxpayer written notice of the tax and …
All taxes, interest and penalties due and unpaid under ORS 321.005 to 321.185, 321.560 to 321.600 or 321.700 to 321.754 constitute a debt due the State of Oregon and may be collected, together with interest, penalty and costs, by appropriate judicial proceeding, which remedy is in addition to all other existing remedies. However, no proceeding for the collec…
ORS 321.005 to 321.185, 321.560 to 321.600 and 321.700 to 321.754 shall be enforced and the taxes imposed by ORS 321.005 to 321.185, 321.560 to 321.600 and 321.700 to 321.754 shall be collected by the Department of Revenue, which shall have the power to prescribe forms and to adopt rules for the ascertainment, assessment and collection of the taxes imposed b…
Except as otherwise specifically provided by law, it shall be unlawful for the Department of Revenue or any officer or employee of the department to divulge or make known in any manner the amount of the tax or any particulars set forth or disclosed in any report or return required to be filed under ORS 321.045 or 321.741 or any appraisal data collected to ma…
The Department of Revenue may: Furnish to any taxpayer or authorized representative, upon request of the taxpayer or authorized representative, a copy of the taxpayer’s forest products harvest tax report or return required by ORS 321.045 or 321.741 that is filed with the department for any year, or a copy of any report filed by the taxpayer in connection wi…
Violation of ORS 321.682 is subject to a fine not exceeding $5,000 or, if committed by an officer or employee of the state, dismissal or removal from office or employment, or both fine and dismissal or removal from office or employment. SMALL TRACT FORESTLAND PROGRAM
As used in ORS 321.700 to 321.754: “Common ownership” means direct ownership by one or more individuals or ownership by a corporation, partnership, association or other entity in which an individual owns a majority interest. “Contiguous” means having a common boundary that is greater than a single point. “Contiguous parcels”: Includes parcels separated b…
The Legislative Assembly finds that: Oregon forests are dynamic ecosystems that make vital contributions to all Oregonians. Environmental benefits of forests include habitats for diverse life forms, clean and oxygenated air, clean, filtered and recycled water and stabilized productive soil. Economic benefits of forests include renewable raw material for pap…
An owner of forestland seeking to have the forestland qualified under ORS 321.700 to 321.754 shall apply to the county assessor of the county in which the forestland is located for qualification of the forestland as small tract forestland. If the forestland to be qualified is located in more than one county, the owner shall apply for qualification to the cou…
To qualify for small tract forestland assessment under ORS 321.700 to 321.754 for each tax year: The owner of the land that is the subject of an application filed under ORS 321.706 must own or hold common ownership interest in at least 10 acres of Oregon forestland but less than 5,000 acres of Oregon forestland; The land that is the subject of the applicat…
An owner of small tract forestland shall notify the county assessor: When the owner acquires, either directly or through common ownership, one or more tax lots that are contiguous to small tract forestland owned or held in common ownership by the owner; When the owner acquires, either directly or through common ownership, additional forestland that results…
The county assessor shall disqualify land as small tract forestland upon: Sale or transfer of the small tract forestland; Discovery by the assessor that the land is no longer forestland; The owner’s owning or holding in common ownership more than 5,000 acres of Oregon forestland; The owner’s owning or holding in common ownership less than 10 acres of Ore…
Notwithstanding ORS 321.716 (1)(a), if the sale or transfer of small tract forestland is to a person who, following the date of the sale or transfer, does not own or hold in common ownership less than 10 acres or 5,000 acres or more of forestland in Oregon, the sold or transferred forestland may remain small tract forestland, if: Within 30 days after the da…
Small tract forestland shall have a specially assessed value per acre: Equal to 20 percent of the specially assessed value per acre determined under ORS 321.354, if located in western Oregon; or Equal to 20 percent of the specially assessed value per acre determined under ORS 321.833, if located in eastern Oregon. For each land class, the maximum assessed…
A severance tax is imposed at the time of the harvest of timber from small tract forestland. The tax is imposed on the owner of timber at the time of harvest, and remains a liability of the owner of timber until paid. The tax is imposed at the rate of: $3.89 per thousand feet, board measure, of timber harvested in western Oregon; or $3.03 per thousand fe…
The Department of Revenue shall: Provide notice to an owner of timber harvested from lands assessed as small tract forestland, as shown on a State Forestry Department Notification of Operations permit issued during a calendar year, that a severance tax return is required from the owner; and Make a severance tax return form available to the owner. The depa…
The severance tax imposed under ORS 321.726 is due and payable annually, on or before April 15 of each year, with respect to all timber harvested during the previous calendar year. At the time at which the severance tax is paid and on or before April 15 of each year, each taxpayer who has harvested any timber during the previous calendar year shall prepare …
Revenue from the severance tax imposed in western Oregon under ORS 321.726 shall be paid over by the Department of Revenue to the State Treasurer and deposited in a suspense account established under ORS 293.445. After the payment of refunds, the balance of the suspense account shall be transferred to the Western Oregon Timber Severance Tax Fund established …
The Western Oregon Timber Severance Tax Fund is established in the State Treasury, separate and distinct from the General Fund. Interest earned by the Western Oregon Timber Severance Tax Fund shall be retained by the Western Oregon Timber Severance Tax Fund. Moneys are continuously appropriated from the Western Oregon Timber Severance Tax Fund for use in re…
The Eastern Oregon Timber Severance Tax Fund is established in the State Treasury, separate and distinct from the General Fund. Interest earned by the Eastern Oregon Timber Severance Tax Fund shall be retained by the Eastern Oregon Timber Severance Tax Fund. Moneys are continuously appropriated from the Eastern Oregon Timber Severance Tax Fund for use in re…
SPECIAL ASSESSMENT OF EASTERN OREGON FORESTLAND
As used in ORS 321.805 to 321.855, unless the context requires otherwise: “Cultured Christmas trees” means trees: Grown on lands used exclusively for that purpose, capable of preparation by intensive cultivation methods such as plowing or turning over the soil; Of a marketable species; Managed to produce trees meeting U.S. No. 2 or better standards for C…
The purposes of ORS 321.805 to 321.855 are: To impose with respect to forestland in eastern Oregon a special assessment program whereby the assessed value of forestland is determined as prescribed in ORS 321.201 to 321.222. To establish a special assessment program as a means of: Recognizing the findings in ORS 321.817 without discriminating in favor of e…
It is hereby found that: Multiple taxation through a yearly ad valorem levy on both trees and forestland managed in sustained yield timber operations discourages conservation, private ownership and investment of capital. The interests of this state, its residents and its future residents are best served by sustained yield practices and tax policies that en…
Lands assessed by the Department of Revenue pursuant to ORS 308.505 to 308.674 or 308.805 to 308.820 may not be assessed under ORS 321.805 to 321.855. Land used exclusively for growing cultured Christmas trees may not be assessed under ORS 321.805 to 321.855. Land that is used to grow hardwood timber, including but not limited to hybrid cottonwood, may not…
All timber in eastern Oregon shall be exempt from ad valorem property taxation.
The Department of Revenue shall identify the forestland that is held in common ownership of 5,000 acres or more as of the assessment date for each tax year. Forestland that the department has identified under paragraph (a) of this subsection that, for the previous tax year, was subject to small tract forestland assessment shall be disqualified from any smal…
An owner of land desiring that it be designated as forestland for purposes of ORS 321.805 to 321.855 shall make application to the county assessor on or before April 1 of the assessment year for which special assessment as forestland is first desired, and the owner may also do so within 30 days of receipt of notice of its assessment as omitted property. Not…
When land has once been designated as forestland as a result of an application being filed therefor it shall be valued as such until the county assessor removes the forestland designation under paragraph (b) of this subsection. The county assessor shall remove the forestland designation upon: Notification by the taxpayer to the assessor to remove the desig…
Notwithstanding ORS 308.210, 311.405 or 311.410, if land designated as forestland is subject to disqualification by the county assessor as a result of the discovery that the land is no longer forestland, the disqualification shall be deemed to occur as of the January 1 assessment date of the assessment year in which the discovery occurs. This section applie…
ORS 308A.700 to 308A.733 apply whenever land designated as forestland as a result of an application being filed therefor under ORS 321.805 to 321.855 thereafter becomes disqualified.
Land described in ORS 321.824 (3) (relating to hardwood timberland, including hybrid cottonwood timberland) shall be assessed as farm use land under ORS 308A.050 to 308A.128. If land is or becomes land described under ORS 321.824 (3) and the land is not located within an exclusive farm use zone, the owner shall make application for special valuation in the …
PENALTY
Violation of any provision of ORS 321.005 to 321.185 and 321.560 to 321.600 is a Class A misdemeanor. CHAPTER 322 [Reserved for expansion] _______________