Frequently Asked Questions About The Oregon Political Tax Credit
What Is It?
Oregon law allows Oregon taxpayers to contribute up to $50, or $100 for a married couple who file jointly, to a qualified political cause andget the full amount, up to this $50 or $100 limit, back as a “political action tax credit”Â on their Oregon tax return. You get to decide how this part of your Oregon taxes are spent, by sending your contribution to PEAPAC before the end of the year! It’s a perfectly legal way to “redeem” some of your tax dollars, sending them to us instead of the State of Oregon. Either way, if you pay Oregon state taxes, you will pay out this money. The only question is to whom will you send it â€” a group like PEAPAC or the State of Oregon.
Is This A Deduction?
No! It’s a credit, which is much better!Â Whether you file long form or short, this is a credit,Â notÂ a deduction. It’s not like your home mortgage interest deduction or contributions to a charity,Â but a dollarâ€‘forâ€‘dollar credit!Â In other words if your total state taxes for 2018 were $500 and you and your spouse made a $100 contribution to PEAPAC you would only pay $400 in taxes.Â In essence, its a free gift to PEAPAC!
Can I Take the Credit If I File Using Form 40S?
Yes!Â From the Official Oregon Form 40S Instructions For Line 21:
Political contribution [PCC]. Fill in your total political contributions, but not more than $100 on a joint return or $50 on all others. The contribution must have been made during 2018. It must have been a donation of money to any of the following:
â€”A political party
â€”A qualified candidate (or the candidate’s principal campaign committee) for federal, state, or local office to be voted on in Oregon.
â€”A political action committee certified in OregonÂ (That’s us!)
Are There Limits To My Contribution?
Yes.Â The maximum allowable credit for a married couple filing jointly isÂ $100. The limit for individual taxpayers isÂ $50. This does not prevent you from contributing more to us, butÂ the credit applied to your taxes is limited to $100 for couples or $50 for singles.
Will I Get The Credit If I Paid No Oregon Taxes This Whole Year?
No,Â your Oregon taxes must equal or exceed your contribution in order to receive the full credit.
Will My Refund Check Be Bigger If I Take The Credit?
Yes!Â Your refund check will be increased by the amount of your political tax credit, up to $50 per single or $100 per married couple filing jointly.
Do I Need to Keep Records Of My Credit?
Yes. While you don’t need to attach any proof to your state return, you should keep the receipt we’ll send you, as well as your cancelled check.Â
Is There A Deadline?
Yes!Â Contributions must be an December 31st to get the credit on your 2018 Oregon tax return.
Where do I go to make a contribution?
Use our donate form below.Â We are required by law to record your name and occupation, and that of our spouse, if a joint contribution.Â