10 Things You Should Know About Oregon’s $5.61 Billion Kicker

  1. When they file their taxes next year, Oregonians will once again be able to claim their portion of a state revenue surplus. The Oregon Office of Economic Analysis (OEA) has confirmed a surplus for the 2021-2023 biennium, triggering a record $5.61 billion “kicker” for the 2023 tax year.

  2. The $5.61 billion kicker is the largest in Oregon history. It’s nearly three times larger than the previous record kicker of $1.9 billion two years ago. The 2021-23 biennium is the fifth straight with a kicker and the current kicker is larger than the total of the kickers in the four previous biennia.

  3. The kicker will be returned to taxpayers as a credit on their 2023 tax returns filed in 2024. For most taxpayers this will increase the amount of their refund or decrease the amount of Oregon personal income tax they owe.

  4. Personal income taxpayers can determine the amount of their kicker using a What’s My Kicker? Calculator available on Revenue Online. To use the calculator, taxpayers will need to enter their name, Social Security Number, and filing status for 2022 and 2023. Taxpayers can also simply taxpayers can multiply their 2022 tax liability before any credits—line 22 on the 2022 Form OR-40—by 44.28 percent.

  5. To claim their kicker, Oregonians must file a 2023 Oregon Personal Income Tax return. Taxpayers are eligible to claim the kicker if they filed a 2022 tax return and had tax due before credits. Even taxpayers who don’t have a filing obligation for 2023, still must file a 2023 tax return to claim their credit.

  6. The Oregon Legislature created the “kicker” in 1979. Essentially, when the total revenue collected in a biennium exceeds the official revenue projection for the biennium by more than 2 percent, all of the surplus revenue is returned to taxpayers. Voters enshrined the “kicker” into the Oregon Constitution in 2000.

  7. The state may use all or part of a taxpayer’s kicker to pay any state debt they owe, such as tax due for other years, child support, court fines, or school loans.

  8. Taxpayers can donate their kicker with a checkbox on their tax return to the Oregon State School Fund for K-12 public education, but they must donate the entire amount. The donation is permanent and cannot be taken back.

  9. Free tax preparation services are available for both federal and Oregon tax returns. Some software companies offer free software use and e-filing for eligible taxpayers. Visit the Department of Revenue website to take advantage of the software and free offers and get more information about free tax preparation services.

  10. For more information, go to the Oregon surplus “kicker” credit page of the Department of Revenue website.

About Author

Robin is a Public Information Officer for the Oregon Department of Revenue.

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