Oregon — The Oregon Office of Economic Analysis (OEA) has confirmed a $1.41 billion revenue surplus for the 2023–2025 biennium, triggering the state’s tax surplus credit known as the “kicker.”
The surplus will be returned to taxpayers through a credit on 2025 Oregon personal income tax returns filed in 2026. The credit will either reduce a taxpayer’s balance owed or increase their refund; it will not be distributed as a check.
To qualify, taxpayers must have filed a 2024 return and must also file a 2025 return. The amount of the credit equals 9.863 percent of a filer’s 2024 personal income tax liability (Form OR-40, line 24). Those who claimed a credit for taxes paid to another state should subtract that amount before calculating their kicker.
Taxpayers can estimate their credit using the Oregon Department of Revenue’s “What’s My Kicker?” calculator, available through Revenue Online, by entering their 2024 and 2025 filing information. Even individuals with no 2025 filing obligation must submit a 2025 return to claim the credit.
OEA certified that actual revenue for the biennium, July 1, 2023, through June 30, 2025, exceeded the state forecast by more than 2 percent, meeting the constitutional threshold for the kicker. The $1.41 billion surplus is the fourth largest in Oregon history.
Established in 1979 and added to the state constitution in 2000, Oregon’s kicker law requires returning revenue exceeding forecasts by more than 2 percent. The Legislature shifted the payout method from mailed checks to tax credits in 2011.
Taxpayers may donate their entire kicker to the Oregon State School Fund to support K-12 education, or contribute part or all of their refund to one of 29 approved charities using Form OR-DONATE. The state may also apply kicker credits toward any outstanding debts, including unpaid taxes, child support, court fines, or student loans.
The Oregon Department of Revenue will announce the start date for 2025 return filing in January 2026. Officials recommend filing electronically and using direct deposit for the fastest refund.
For forms, refund status, or additional guidance, visit www.oregon.gov/dor, call 800-356-4222, or email questions.dor@oregon.gov.
About the Author
