[5]
By Oregon Department of Revenue,
Press Release,
Oregon’s Statewide Transit Tax (STT) is a one-tenth of 1 percent or .001 payroll tax first enacted by the Oregon Legislature in House Bill (HB) 2017 (2017).
With the certification of Initiative Petition 302 [6] by the Oregon Secretary of State on December 30, 2025, the STT remains unchanged.
During a special session in 2025, the Legislature adopted HB 3991, signed into law by Governor Tina Kotek in November. It includes amendments to Oregon Revised Statutes (ORS) 320.550 to increase the rate to two-tenths of 1 percent or .002 beginning January 1, 2026. HB 3991 provides emergency funding to keep Oregon’s roads, bridges, and transit systems safe and working.
The Secretary of State’s certification of Initiative Petition 302 will refer parts of HB 3991 to Oregon voters for consideration. The current STT rate will remain in effect pending election results.
The Oregon Department of Revenue will update employers of any future rate changes on our website [7].