Topic: Oregon Corporate Activity Tax: What You Need to Know
The Panel: Joe Connors, Vice President, Columbia Bank Dan Eller, Shareholder, Schwabe Williamson & Wyatt Jason Hall, CPA, CCIFP, Partner, Hoffman Stewart & Schmidt Darrin Oelke, AFSB, Regional Underwriting Officer —Construction Services, Travelers Bond & Specialty Insurance Randy Williams, Vice President, Finance and CFO R&H Construction
Description: Join the Portland Chapter of CFMA for a panel discussion regarding Oregon’s Corporate Activities Tax (“CAT”). The panel includes a variety of business experts and will consider such questions as:
How will the CAT impact construction companies doing business in Oregon? What should your sub-contractors and vendors know about the CAT? What questions should you be asking your CPA and Tax Attorney? What do your Surety and Banker want you to know about this new tax?
The Oregon Corporate Activity Tax On May 16, Governor Kate Brown signed House Bill 3427, imposing the Corporate Activity Tax (CAT). The Tax will be owed by companies with annual in-state revenues exceeding $1 million and is anticipated to raise $1 billion per year in additional taxes. The CAT applies to virtually all forms of business, including C and S corporations, individuals, joint ventures, partnerships, trusts, estates, and any entity that is disregarded for federal income tax purposes, such as certain limited liability companies. The CAT will apply in addition to Oregon’s existing taxes and does not directly affect the current excise/income tax system. The CAT will apply to “taxable commercial activity” in excess of $1 million at the rate of 0.57 percent, plus a flat tax of $250 on the taxpayer’s first $1 million of taxable commercial activity. Taxpayers whose taxable commercial activity does not exceed $1 million are exempt from the Oregon CAT. The tax is imposed on the person receiving the commercial activity and is not imposed directly on the purchaser.