For corporations with a federal due date of April 15, 2020, the Oregon return filing and return payment due date for tax year 2019is automatically extended from May 15, 2020 to July 15, 2020. Note: Fiscal year returns due after May 15, 2020 and 2020 estimatedtax payments are not extended. Visit for updated information. The body of these instructions has NOT beenupdated with this information.Oregon Corporation Excise TaxForm OR-20 Instructions2019Table of contentsReal Estate Mortgage Investment Conduits (REMICs). 9Important reminders. 2What’s new. 2Form changes and looking ahead. 3Estimated tax payments. 3Filing informationFiling checklist and remindersDue date of return, Extensions. 9Payments. 9Assembling and submitting returns. 9Form instructionsWho must file with Oregon?. 4Filing requirements: consolidated returns, unitarybusiness, insurance affiliates, separate returns. 5E-file. 5Federal audit changes, Amended returns. 6Protective claims. 6Heading and checkboxes. 9Questions. 11Line instructionsAdditions. 11Subtractions. 13Tax. 15Credits. 16LIFO benefit recapture. 17Net excise tax. 17Payments, penalty, interest, and UND. 17Schedule ES—Estimated tax payments, otherprepayments, and refundable credits. 17Total due or refund. 19Schedule OR-AF instructions. 19Special filing requirementsAgricultural or horticultural cooperatives. 6Exempt organizations. 6Homeowners associations. 7Insurers. 7Interest charge domestic internationalsales corporations (IC-DISCs). 7Interstate broadcasters. 8Limited liability companies (LLCs). 8Political organizations. 8Publicly traded partnerships. 8Real Estate Investment Trusts (REITs) and RegulatedInvestment Companies (RICs). 8Do you have questions?. 19Appendix A, 2019 Schedule OR-ASC-CORP code list. 20Appendix B, 2019 Tax rates and minimum tax table. 22Appendix C, Alternative apportionment. 23Information contained herein is a guide. For complete details of law, refer toOregon Revised Statutes (ORS) and Oregon Administrative Rules (OAR).ImportantIf your registered corporation or insurance company isn’t doing business in Oregon and has no Oregon-source income,then you don’t need to file a corporation tax return.Go electronic!Fast Accurate SecureFile corporate tax returns through the Federal/State Electronic Filing Program. If you’re mandated to e-file your federal return, you’re required to e-file your Oregon return.With approved third-party software, you can e-file your return with all schedules, attachments, and required federalreturn. You can also conveniently include an electronic payment with your e-filed original return. See “E-file.”Visit us online: w Registration and account status. Online payments. Forms, instructions, and law. Announcements and FAQs.150-102-020-1 (Rev. 03-31-20)1Form OR-20 Instructions

International issues and SB 851 (2019)(Forms OR-20 and OR-20-INC)Important remindersRevenue Online. Revenue Online provides convenient,secure access to tools for managing your Oregon taxaccount. With Revenue Online, you may:During the 2019 Regular Legislative Session, Oregonlawmakers passed SB 851 to provide guidance to taxpayers for federal changes under the Tax Cuts and Jobs Act(TCJA). See SB 851 for full context of these changes. Forcorporation income and excise taxpayers, changes areretroactive to tax years that begin on or after January 1,2018. These changes don’t apply to taxpayers who fileForm OR-20-INS or OR-20-S. Relevant changes for FormOR-20 and Form OR-20-INC filers: View your tax account. Make payments. View correspondence we sent you. Check the status of your refund.For more information and instructions on setting up yourRevenue Online account, visit intangible low-taxed income (GILTI) additionOregon tax credits. Some credits allow a carryforwardof any unused amount. When you prepare your current year return, refer to your prior year Schedule ORASC-CORP to see if you have unused credit(s) to carryforward.Any amount deducted as GILTI under IRC Section 250 mustbe included in Oregon income. Generally, the federal deduction is taken on line 29b of federal Form 1120 and doesn’timpact the Oregon return. However, if any amount wasomitted or deducted in determining federal income carriedto line 1 of your Oregon return, it must be added back beforea subtraction can be claimed. Report the Oregon addition (ifany) on Schedule OR-ASC-CORP using code number 186.Visit w for possible updates to theseinstructions.What’s newGlobal intangible low-taxed income (GILTI) subtractionNote: Not all information in the “What’s new” and “Looking ahead” sections pertain to all taxpayers or form types.If applicable, refer to House Bills (HB) or Senate Bills (SB)as shown.SB 851 allows an 80 percent subtraction of GILTI amountsunder IRC Section 951A that are included in your Oregon income. Report the Oregon subtraction on ScheduleOR-ASC-CORP using code number 381. Don’t use FormOR-DRD for this subtraction.GeneralApportionment: You must exclude from your sales factor of your apportionment formula GILTI amounts yousubtracted from Oregon income. The remaining GILTIamounts may or may not be includable in the sales factorof your apportionment formula, depending on your specific facts and circumstances, and application of Oregonlaw. See ORS 314.280 and 314.605 to 314.675 and supporting administrative rules.Tie to federal tax lawIn general, Oregon is tied to the federal definition of taxable income as of December 31, 2018; however, Oregon isstill disconnected from: Federal subsidies for prescription drug plans (IRC§139A; ORS 317.401). Deferral of certain deductions for tax years beginningon or after January 1, 2009 and before January 1, 2011may require subsequent Oregon modifications (IRC§168(k) and §179; ORS 317.301).Foreign derived intangible income (FDII)Oregon is connected with the FDII deduction on yourfederal return for tax year 2018 and forward. Generally,the federal deduction amount is reported on federalForm 8993, Part IV, line 8. Report your Oregon subtraction on Schedule OR-ASC-CORP using code number 382.Don’t use Form OR-DRD for this subtraction.Disaster relief companiesORS 401.690 provides that corporate excise tax can’t beimposed on a company if the sole reason for operatingin Oregon is performance of disaster relief services oremergency related work on critical infrastructure. Thistax exemption is now permanent. See HB 2127 (2019).IRC Section 245A foreign-source portion dividendsOregon allows a 100 percent subtraction of the foreignsource portion of dividends from certain foreign corporations under IRC Section 245A for tax year 2018 andforward. The subtraction is allowed only if the amountis included in federal taxable income reported on line1 of your Oregon return. Generally, the federal deduction amount is reported on federal Form 1120, ScheduleC, line 13. Report your Oregon subtraction on ScheduleOR-ASC-CORP using code number 383. Don’t use FormOR-DRD for this subtraction.Interstate broadcasters (Form OR-20)For tax years beginning on or after January 1, 2014, andbefore January 1, 2020, an interstate broadcaster’s apportionment is determined based on the commercial domicile method. Gross receipts are sourced to Oregon if thecommercial domicile of the customer is in this state orthe customer is a resident of this state. See ORS 314.680 to314.690 and SB 193 (2019) for more information.150-102-020-1 (Rev. 03-31-20)2Form OR-20 Instructions

Subtractions (Forms OR-20 and OR-20-INC)Looking aheadIncome on a composite returnShort line railroad rehabilitation tax creditA corporate owner of a pass-through entity (PTE) maysubtract its share of distributive income that has alreadybeen reported on an Oregon composite return. Reportyour Oregon subtraction on Schedule OR-ASC-CORPusing code number 341. See Publication OR-OC andOAR 150-314-0515 for more information.The short line railroad rehabilitation tax credit is a newtax credit awarded for railroad rehabilitation. The credit istransferable and any unused portion may be carried forward up to 5 years. The credit is calculated as the least of: 1,000 per mile of a Tier 1 short line railroad owned bya taxpayer, 3,500 per mile of a Tier 2 short line railroad owned bya taxpayer, or 50% of the short line railroad rehabilitation project costspaid or incurred by a taxpayer during the tax year inwhich the credit is claimed.CreditsThe following credits have been extended to 12/31/2025: Oregon Cultural Trust contribution (ORS 315.675). 807Not available on Form OR-20-S. Agricultural workforce housing (ORS 315.164). 835Not available on Form OR-20-INC. Crop donation (ORS 315.156). 843 Employer scholarship (ORS 315.237). 847The project must be certified through the Oregon Department of Transportation. The tax credit applies to taxyears beginning on or after January 1, 2020, and beforeJanuary 1, 2026. See Sections 6-17 of HB 2164 (2019).Form changesCommercial activity tax (CAT)Legislation in 2019 (HB 3427 and HB 2164) establishedthe Oregon CAT to be imposed on all types of businessentities. The CAT is in addition to Oregon’s current corporation excise and income taxes. The new tax applies totax years beginning on or after January 1, 2020. For moreinformation visit w adjustments (Forms OR-20 and OR-20-INC)The adjustment for tax paid on a composite return thatwas previously claimed on Form OR-20, line 15 or FormOR-20-INC, line 9 is no longer valid. Income that hasalready been reported on a composite return is now anOregon subtraction. See Publication OR-OC and OAR150-314-0515 for more information.Estimated tax paymentsRequirementsSchedule OR-ASC-CORP code changes(Appendix A)Oregon estimated tax payment requirements aren’t thesame as federal estimated tax payment requirements.You must make estimated tax payments if you expect toowe tax of 500 or more. This includes Oregon’s minimum tax. See ORS 314.505 to 314.518 and supportingadministrative rules.New codes (Forms OR-20, OR-20-INC)Global intangible low-taxed income (GILTI) addition.186Income on a composite return.341Global intangible low-taxed income (GILTI) subtraction.381Foreign derived intangible income (FDII).382IRC Section 245A foreign-source portion dividends. 383If you don’t make estimated payments as required, youmay be subject to interest on underpayment of estimatedtax (UND). If you have an underpayment of estimatedtax, refer to Form OR-37. See ORS 314.525 and supportingadministrative rules.Deleted codes (Forms OR-20, OR-20-INC)Repatriation addition (due to IRC §965). 184Listed jurisdiction amounts previously includedin Oregon income. 380Repatriation subtraction (due to IRC §965). 377Payment due datesEstimated tax payments are due quarterly, as follows:Deleted codes (Forms OR-20, OR-20-INC, OR-20-INS, OR-20-S) Calendar year filers: April 15, June 15, September 15,and December 15. Fiscal year filers: The 15th day of the 4th, 6th, 9th, and12th months of your fiscal year. If the due date falls on a Saturday, Sunday, or legalholiday, use the next regular business day.Cancellation of debt (COD) income §108(i). 365Alternative fuel vehicle fund (auction)(Note following ORS 315.336). 865Contributions of computers or scientific equipment(carryforward only). 842150-102-020-1 (Rev. 03-31-20)3Form OR-20 Instructions

Payment optionsIf your expected net tax changes during the year, refigure your estimated tax payments using the Estimated taxpayments’ worksheet.Important: For details about making payments withyour return, see “Filing checklist.”To avoid additional charges for UND, you must pay theamount of any prior underpayment plus the amount ofthe current required payment (ORS 314.515 and supporting administrative rules).Estimated payments may be made by electronic fundstransfer (EFT), online, or by mail.EFT. You must make your Oregon estimated paymentsby EFT if you’re required to make your federal estimatedpayments by EFT. We may grant a waiver from EFT payments if you’d be disadvantaged by the requirement(ORS 314.518 and supporting administrative rules).Example: During the year, Corporation A’s expected nettax increased from 2,000 to 6,000. Corporation A madetimely first and second quarter estimated payments of 500 before its expected net tax increased.Corporation A should make four payments of 1,500 eachduring the year. Because of its increased net tax, Corporation A will be subject to UND charges for the first andsecond quarters. To avoid UND charges for the third andfourth quarters, Corporation A must make timely payments of 3,500* for the third quarter and 1,500 for thefourth quarter.If you don’t meet the federal requirements for mandatory EFT payments, you may still make voluntary EFTpayments.For more information, visit can make EFT payments through Revenue Online orthrough your financial institution. To learn more aboutRevenue Online or to make an EFT payment, visit If you pay by EFT, don’t send FormOR‑20-V, Oregon Corporation Tax Payment Voucher.* 1,000 for the first-quarter underpayment, plus 1,000for the second-quarter underpayment, plus 1,500 forthe required third-quarter installment equals 3,500(ORS 314.525 and supporting administrative rules).Mail. If paying by mail, send each payment with aForm OR-20-V, payment voucher, to: Oregon Departmentof Revenue, PO Box 14950, Salem OR 97309-0950.Filing informationInclude on your check:Who must file with Oregon? Federal employer identification number (FEIN). Tax year. Daytime phone.Corporations that are doing business in Oregon, or withincome from an Oregon source, are required to file anOregon corporation tax return. If you have tangibleor intangible property or other assets in Oregon, anyincome you receive from that property or assets is Oregon source income. Public Law (Pub.L.) 86-272 providesexceptions to the Oregon filing requirement for certaincorporations doing business in Oregon.Estimated tax payments’ worksheet(Keep for your records—don’t file with your payment.)1. Oregon net income expected inupcoming tax year.1.2. Tax on Oregon net income (seeAppendix B).2.3. Subtract tax credits allowablein upcoming tax year. Taxcredits can’t be used to reduceminimum tax.3.4. Net tax (line 2 minus line 3).4.Exemption for emergency service providers. An outof-state emergency service provider is exempt from taxwhen operating solely for the purposes of performingdisaster or emergency-related work on critical infrastructure. Disaster or emergency-related work conducted byan out-of-state business may not be used as the sole basisfor determining that a corporation is doing business inOregon.Note: Oregon follows the federal entity classificationregulations. If an entity is classified or taxed as a corporation for federal income tax purposes, it will be treatedas a corporation for Oregon tax purposes.If the amount on line 4 is lessthan 500, stop. You don’t haveto make estimated tax payments.Caution: If your final taxliability when you file yourreturn is 500 or more, you maybe subject to UND.5. Amount of each payment.(Divide line 4 by the number ofpayments you need to make.This is usually 4.)150-102-020-1 (Rev. 03-31-20)Excise or income tax?Oregon has two types of corporate taxes: excise andincome. Excise tax is the most common. Most corporations don’t qualify for Oregon’s income tax.5.Excise tax is a tax for the privilege of doing business inOregon. It’s measured by net income. Excise tax filers are4Form OR-20 Instructions

subject to corporate minimum tax. Corporation excise taxlaws are in Chapter 317 of the Oregon Revised Statutes.corporations that filed a consolidated federal return, itmust file an Oregon return based on that federal return.An Oregon return, based on the federal consolidatedreturn, is required when two or more affiliated corporations are:Note: All interest on obligations of the 50 states and theirsubdivisions are subject to Oregon excise tax. Interest onobligations of the United States and its instrumentalitiesare also subject to tax if the interest is taxable under theInternal Revenue Code and Congress has not chosen toprevent the states from taxing the interest in question. Ataxpayer has the burden of showing that Oregon can’ttax the interest on a federal obligation. Included in a consolidated federal return; Unitary; and At least one of the affiliated corporations doing business in Oregon or have Oregon-source income.Note: S corporations can’t be included in consolidatedfederal returns. IRC §1361(b) provides that a corporationthat’s a Qualified Subchapter S Subsidiary (QSSS) isn’ttreated as a separate corporation. All income, deductions, and credits of the QSSS will be treated as belonging to the parent S corporation.Income tax is for corporations not doing business inOregon, but with income from an Oregon source. Incometax filers aren’t subject to corporate excise or minimumtax. Corporation income tax laws are in Chapter 318 ofthe Oregon Revised Statutes.Unitary business. A business that has, directly or indirectly between members or parts of the enterprise, eithera sharing or an exchange of value shown by:What form do I use?Except as provided by Pub.L. 86-272, all corporationsdoing business in Oregon must file Form OR-20, andare subject to the minimum excise tax. Any corporationdoing business in Oregon is also required to registerwith the Secretary of State, Corporation Division. Seewww. Centralized management or a common executive force; Centralized administrative services or functions resulting in economies of scale; or Flow of goods, capital resources, or services showingfunctional integration.“Doing business” means carrying on or being