Upcoming Action Dates for Oregon’s Pass-Through Entity Elective Tax
May 25, 2022
In July 2021, Oregon established an elective Pass-Through Entity Tax (PTE-E), a business alternative income tax in response to the $10,000 cap on the federal State and Local Tax (SALT) deduction added in the 2017 federal Tax Cuts and Jobs Act. Read more about Oregon’s elective Pass-Through Entity Tax on our blog or at the State of Oregon website.
Here are the upcoming relevant dates to be aware of:
| DATE | REQUIRED ACTION |
|---|---|
| June 6 | PTE-E information will be released on the Oregon Revenue Online system and paper voucher available (OR-21-V) |
| June 15 | First estimated payment due (First 50%) |
| September 15 | Third quarter estimated payment due (additional 25%) |
| December 31 | According to IRS Notice 2020-75, in order for tax to be deductible in 2022 tax return, payment must be made by end of the year. |
| January 15 | Final estimated payment due (Final 25%) |
| March 15 | PTE-E Election required on timely filed return (unless extended) |
| April 15 | PTE-E Form Due (separate form required; currently pending release) |
Important Reminders:
- It’s not too late to talk with your CPA about whether the PTE-E tax is a good fit for you. Your CPA can help guide you along the specific steps you need to take.
- Remember that registering for a PTE-E account on Oregon’s Revenue Online website is not the same thing as making the election.
- It is possible to register for a PTE-E account and make estimated tax payments, and then decide not to make the election after all. In this case, a refund request can be submitted.
