Oregon’s Kicker Is Back — What You Need to Know for 2025

Oregon residents can expect a welcome tax break on their 2025 state income tax returns: the Oregon kicker credit is officially back. This unique tax refund mechanism is triggered when actual state revenue exceeds projections by more than 2 percent. For the 2023–2025 biennium, the surplus reached $1.41 billion, qualifying taxpayers for a kicker credit.

What Is the Oregon Kicker Credit?

The kicker is a refundable tax credit applied to your Oregon personal income tax return. It is not a rebate check, but a credit that either reduces your tax liability or increases your refund. For 2025, the credit will equal 9.863 percent of your 2024 Oregon personal income tax liability.

How Much Will You Receive?

If your 2024 Oregon tax liability was $5,000, your kicker credit will be $493.15. Only your 2024 Oregon personal income tax liability is used to calculate the credit. Federal taxes and prior-year liabilities do not apply.

What Should You Do Now?

Keep a copy of your 2024 tax return. You will need it to calculate your kicker credit when filing in 2026. The Oregon Department of Revenue offers a calculator to help estimate your credit amount.

Don’t leave money on the table.

For timely updates on federal and Oregon tax developments, visit jrcpa.com. Our team regularly shares practical insights to help clients stay informed and prepared for changes that may affect their tax planning. To stay in the loop, we invite you to sign up for our mailing list and receive updates directly to your inbox.

If you have questions or need assistance preparing your return, contact us. We are here to help you make the most of your Oregon tax benefits.