Is there an Oregon State income tax credit?
Yes. All Oregon residents are eligible to receive a refundable state income tax credit up to $340 for joint filers and up to $170 for single filers on contributions made to an Oregon College Savings Plan account. The tax credit provides the same maximum credit to all Oregonians who are saving for education after high school, including college, trade school, certificate programs, or any other higher education pathway through the Oregon College Savings Plan. The tax credit is periodically adjusted for inflation, so please check back on our website for the most up to date numbers.
Your annual income determines how much you need to contribute to earn the full tax credit. See how much you need to save to claim the credit.
| Adjusted Gross Income (AGI) of the contributor | Percentage of Contributions eligible for tax credit | Contribution needed to maximize $170 tax credit for single filer | Contribution needed to maximize $340 tax credit for joint filer |
|---|---|---|---|
| Less than $30K | 100% | $170 contribution | $340 contribution |
| $30,001-$70K | 50% | $340 contribution | $680 contribution |
| $70,001-$100K | 25% | $680 contribution | $1,360 contribution |
| $100,001-$250K | 10% | $1,700 contribution | $3,400 contribution |
| More than $250K | 5% | $3,400 contribution | $6,800 contribution |
Worth noting, recapture provisions apply. This means that if you withdrew funds for non-qualified expenses from your Oregon College Savings Plan account and you claimed a tax benefit for that year’s contribution, the state of Oregon will recapture any Oregon State income tax benefits that you accrued on the principal portion of that withdrawal. This is also the case when funds are withdrawn for the purpose of enrollment or attendance at an elementary or secondary school. Read through our Plan Disclosure Booklet (PDF) for more information.
