ORS 305.220
Interest on deficiency, delinquency or refunds

  • adjustments in rates
  • rules
  • computation

(1)

Unless specifically provided otherwise by statute or by rule of the Director of the Department of Revenue adopted pursuant to subsection (3) of this section, every deficiency or delinquency arising under any law administered by the Department of Revenue shall bear simple interest at the rate of 10 percent per annum, to be computed on a daily basis.

(2)

Unless specifically provided otherwise by statute or by rule of the director adopted pursuant to subsection (3) of this section, every refund arising under any law administered by the department shall, subject to subsections (3) and (5) of this section and ORS 305.222 (Determination of interest rate), bear simple interest at the rate of 10 percent per annum, to be computed on a daily basis.

(3)

Intentionally left blank —Ed.

(a)

If the director determines that the rates of interest for deficiencies, delinquencies and refunds established in subsections (1) and (2) of this section are at least one percentage point more or less than the prevailing rates of interest established by the Internal Revenue Service for underpayments arising under the federal tax laws to which one percentage point has been added, the director may adopt, by rule, adjusted interest rates. The director shall not adopt adjusted interest rates more than once in a calendar year. Notice of intent to adopt adjusted interest rates shall be given in the manner provided in ORS 183.335 (Notice), not less than three months before the proposed effective date of the adjusted rates.

(b)

In establishing the adjusted interest rates to be adopted under this subsection:

(A)

The director shall take into consideration the current interest rates established by the Internal Revenue Service for underpayments arising under the federal tax laws.

(B)

To any interest amount determined by taking into consideration the current interest rates established by the Internal Revenue Service for underpayments under subparagraph (A) of this paragraph, which interest amount shall be expressed at a rate per annum, there shall be added one percent.

(4)

If the director adopts an adjusted interest rate for deficiencies and delinquencies, the director shall adopt an adjusted interest rate for refunds that is equal to the adjusted interest rate for deficiencies and delinquencies.

(5)

Any change in the rate of interest applicable to deficiencies, delinquencies or refunds resulting from the adoption of adjusted interest rates by the director under this section shall apply to deficiencies, delinquencies and refunds outstanding on the effective date of the rule, or arising on or after that date, but only with respect to interest periods beginning on or after that date. [1982 s.s.1 c.16 §2; 1987 c.647 §5; 2001 c.114 §§2,4; 2017 c.278 §3]

Source: Section 305.220 — Interest on deficiency, delinquency or refunds; adjustments in rates; rules; computation, https://www.­oregonlegislature.­gov/bills_laws/ors/ors305.­html.

Notes of Decisions

Interest rate described in ORS 305.222 applies to Forest Products Harvest Tax and Western Oregon Privilege Tax deficiencies for period beyond 60 days’ delinquency. Thomas Creek Lumber and Log Co. v. Dept. of Revenue, 19 OTR 259 (2007), aff’d 344 Or 131, 178 P3d 217 (2008)

305.005
Definitions 305.015
Policy 305.025
Department of Revenue 305.035
Director of Department of Revenue 305.045
Duties of director 305.057
Delegation of authority 305.060
Offices of department 305.063
Department of Revenue Administration Account 305.065
Deputy director 305.075
Employees 305.078
Authority of Department of Revenue to require fingerprints 305.079
Charges for maps, documents or publications 305.081
Definitions 305.084
Financial institution data match system 305.086
Delinquent child support obligor 305.088
Disclosure of transmission prohibited 305.091
Authorized purposes 305.094
Rules 305.100
Rules 305.102
Local budget and property tax law 305.105
Declaratory rulings by department 305.110
Duty to construe tax laws 305.120
Enforcement of tax laws 305.125
Application of administrative rules 305.127
Means of providing notice required by department 305.130
Department as party to actions involving property subject to certain tax liens 305.140
Power to release real property from certain tax liens 305.145
When interest required to be waived 305.150
Closing agreements 305.155
Cancellation of uncollectible tax 305.157
Extending statutory periods of limitation 305.160
Reports from public officers 305.170
Complaints concerning tax laws 305.180
Effect of tax warrant for purposes of out-of-state collection 305.182
Filing of warrants for unpaid taxes 305.184
Certificate of outstanding warrants 305.190
Subpoenaing and examining witnesses, books and papers 305.192
Disclosure of books and papers relating to appraisal or assessment of industrial property 305.193
Disclosure of tax information to designated persons 305.195
Written interrogatories 305.200
Witness fees and mileage 305.215
Conflicting claims for personal income tax items 305.217
When deduction for amounts paid as wages or remuneration permitted 305.220
Interest on deficiency, delinquency or refunds 305.222
Determination of interest rate 305.225
Request of assistance by law enforcement agency 305.228
Penalty for second dishonored payment of taxes 305.229
When penalties not imposed 305.231
Department of Revenue to transfer moneys to Drug Treatment and Recovery Services Fund 305.239
Qualifications of persons representing taxpayer 305.242
Representation before department or magistrate of designated partnership tax matters 305.245
Representation before tax court magistrate by officer or employee of county or department 305.260
Representation before department or magistrate by former department personnel prohibited 305.261
Department to establish program to assist tax practitioners 305.262
Department to establish program dedicating resources to assisting representatives of corporations 305.263
Order requiring filing report or return 305.265
Deficiency notice 305.267
Extension of time to issue notice of deficiency or assessment 305.270
Refund of excess tax paid 305.271
Refund transfer or assignment prohibited 305.275
Persons who may appeal due to acts or omissions 305.280
Time for filing appeals 305.285
Correction of tax and assessment rolls for subsequent tax years during pendency of appeal 305.286
Potential refund credit in property tax appeals 305.287
Determination of real market value of property tax account or components 305.288
Valuation changes for residential property substantial value error or for good and sufficient cause 305.290
Extension of time for making assessment due to bankruptcy 305.295
Cancellation of tax, penalty or interest 305.305
Procedure where deficiency based on federal or other state audit report 305.330
Tax liability of reorganized business entity 305.375
Disposition of penalties 305.380
Definitions for ORS 305.385 305.385
Agencies to supply licensee and contractor lists 305.390
Subpoenas of records containing information on industrial plant for use to determine value of different industrial plant 305.392
Process for limiting scope of third-party subpoena 305.394
When industrial plant owner may choose not to produce information sought by subpoena 305.396
Protection of confidentiality of industrial property information obtained by subpoena 305.398
Disclosure and use of industrial property confidential information obtained by third-party subpoena 305.400
Payment of costs of subpoena compliance 305.403
Appeal of value of state-appraised industrial property in tax court 305.404
Oregon Tax Court 305.405
Oregon Tax Court 305.410
Authority of court in tax cases within its jurisdiction 305.412
Jurisdiction to determine value 305.415
Service of papers and process 305.418
When transmitted complaint or petition considered to be filed 305.419
Tax, penalty and interest payable before appeal 305.420
Issuance of subpoenas 305.422
Waiver of penalty for failure to timely file property return 305.425
Proceedings to be without jury and de novo 305.427
Burden of proof in tax court proceedings 305.430
Hearings to be open to public 305.437
Damages for frivolous or groundless appeal or appeal to delay 305.440
Finality of unappealed decision of tax court 305.445
Appeals to Supreme Court 305.447
Recovery by taxpayer of certain costs and expenses upon appeal to Supreme Court 305.450
Publication of tax court decisions 305.452
Election and term of judge 305.455
Qualifications of judge 305.460
Salary, expenses, disability and retirement of judge and magistrates 305.470
Presiding judge 305.475
Offices of tax court 305.480
State Court Administrator as administrator and clerk 305.485
Records 305.487
Findings and policy 305.489
Considerations in adopting rules 305.490
Filing fees 305.492
Fees and expenses of witnesses 305.493
Fees for transcripts or copies of records 305.494
When shareholder may represent corporation in tax court proceedings 305.498
Magistrates 305.501
Appeals to tax court to be heard by magistrate division 305.505
Magistrate division records 305.525
Notice to taxpayer of right to appeal 305.560
Appeals procedure generally 305.565
Stay of collection of taxes, interest and penalties pending appeal 305.570
Standing to appeal to regular division of tax court 305.575
Authority of tax court to determine deficiency 305.580
Exclusive remedies for certain determinations 305.583
Interested taxpayer petitions for certain determinations 305.585
Local government petitions concerning taxes of another local government under 1990 Measure 5 305.586
Legislative findings 305.587
Tax court findings 305.589
Judicial declarations 305.591
Court determination that 1990 Measure 5 tax limit is inapplicable 305.605
Application of tax laws within federal areas in state 305.610
Reciprocal recognition of tax liability 305.612
Reciprocal offset of tax refunds in payment of liquidated debt or certain amounts payable 305.615
Apportionment of moneys received from United States in lieu of property taxes 305.620
Collection and distribution of local taxes on income and sales 305.625
State and political subdivisions are employers for purpose of withholding city or county income tax 305.630
Compliance with city or county income tax ordinance required 305.635
Rate of withholding to be designated by city or county 305.640
Discrimination among employers prohibited 305.645
Department of Revenue to provide services to political subdivisions 305.653
Multistate Tax Compact 305.660
Director of department to represent state 305.665
Appointment of consultants from political subdivisions imposing taxes having multistate impact 305.675
Application of compact provisions relating to interstate audits 305.676
Mediation and arbitration laws not applicable to Multistate Tax Commission processes 305.685
Multistate Tax Commission Revolving Account 305.690
Definitions for ORS 305.690 to 305.753 305.695
Oregon Charitable Checkoff Commission 305.700
Officers 305.715
Determination of eligibility 305.720
Qualification for entity for contributions by checkoff 305.725
Application of entity 305.730
Financial report of entity 305.740
Commission examination for continuing eligibility 305.745
Inclusion of eligible entities on schedule of tax return 305.747
Administrative expenses 305.753
State Treasurer may solicit donations to eligible entities 305.754
Designation of contribution to political party on income tax return 305.756
Oregon Political Party Fund 305.757
Payments to treasurers of political parties 305.758
Payment to political party considered contribution for purposes of campaign finance regulation 305.759
Contribution to political party on income tax return not to be claimed as tax credit 305.760
Paying over funds to State Treasurer and writing checks for refunds 305.762
Election for direct deposit of personal income tax refund 305.765
Refund of taxes adjudged invalid 305.770
Report of taxpayers paying invalid tax 305.775
Interest on amount of refund in certain cases 305.780
Taxes due prior to year in which suit brought 305.785
Appropriation 305.790
Manner of payment of certain costs and expenses 305.792
Surplus refund donations to education 305.794
Transfer to State School Fund 305.796
Election to contribute refund to account in Oregon 529 Savings Network 305.800
Taxpayer Advocate 305.801
Authority of Taxpayer Advocate to issue order to department 305.802
Report to Legislative Assembly 305.803
Rulemaking by department 305.804
Duty of tax professional to notify department of breach of security 305.806
Posting of information about debtors with delinquent tax debt on department website 305.810
Verification of return, statement or document filed under tax laws 305.815
False return, statement or document prohibited 305.820
Date when writing, remittance or electronic filing deemed received by tax officials 305.822
Prohibition on state or local tax on Internet access 305.823
Local government tax on telephone services prohibited 305.830
Collection of fines, penalties and forfeitures 305.840
Forms furnished by county assessors 305.842
Application of Internal Revenue Code to certain property tax laws 305.845
Remedies exclusive 305.850
Use of collection agency 305.860
Statement of rights of taxpayers 305.865
Taxpayer rights 305.870
Personnel evaluation not based on amount of taxes collected 305.875
Rights of taxpayer in meeting or communication with department 305.880
Waiver of interest or penalty when department misleads taxpayer 305.885
Right of clear explanation 305.890
Right to enter into agreement to satisfy liability in installment payments 305.895
Action against property before issuance of warrant prohibited 305.900
Short title 305.990
Criminal penalties 305.992
Civil penalty for failure to file return for three consecutive years 305.994
Civil penalties imposed on financial institution
Green check means up to date. Up to date

Current through early 2024

§ 305.220’s source at oregon​.gov