Oregon taxpayers may see an even larger “kicker,” a credit on their 2019 personal state income tax returns, than previously anticipated. Previously, taxpayers were expected to receive an average $370 million refund in 2020 — now that kicker tax refund may grow much larger.
The Oregon Department of Revenue noted that the kicker for 2018 jumped from $1.5 billion to $1.6 billion (a, $118 million increase in unexpected surplus), translating to a larger reward for the state’s taxpayers.
The “kicker” rebate is surplus returned to taxpayers when revenue into state coffers exceeds what the Oregon Office of Economic Analysis projected. This is a sign that Oregon personal income is growing strong and healthy.
Residents haven’t received a kicker since 2007. To figure out how much of a kicker they might receive, taxpayers should multiply their 2018 tax liability (before credits) by 17.171 percent. Only people who filed 2018 tax returns are eligible for the kicker. They will see the credit on their 2019 taxes, which will be filed in 2020.
However, the Department of Revenue issued a caveat: the state may use all or part of the refund to pay a taxpayer’s outstanding debts such as school loans, court fines, or child support owed.
— Follow more tax news at Oregon Tax News.com