By Nicole Burke, Attorney in the Business & Taxation Law Practice Group
The first quarterly payment for Oregon’s new Corporate Activity Tax (CAT) is due by April 30, 2020. If you anticipate that your business may have a CAT liability of more than $5,000 for the calendar year, your business must pay this quarterly estimated tax payment. The due date has not been extended due to COVID-19.
However, the Department of Revenue has addressed concerns about the difficulties of estimating CAT liability due to the impact of COVID-19. The Department of Revenue will not penalize businesses that underpay for the first quarter, so long as the business has made a good faith effort in estimating its tax obligation. A business may demonstrate a good faith effort by using the best information currently available and by maintaining records related to its calculation of the quarterly estimated tax payment.
You can learn more about the CAT by visiting our Blog Post from earlier this year or by visiting the Department of Revenue website. You can make your first quarterly payment by mail using this voucher or online at this website. Please contact our office if you have questions concerning the CAT and how to comply.
Nicole Burke is an attorney in the Business & Taxation Law practice group and a member of the Dental industry team. The information in this article is not intended to provide legal advice. For professional consultation, please contact Nicole at firstname.lastname@example.org at Saalfeld Griggs PC. 503.399.1070. © 2020 Saalfeld Griggs PC