Oregon Investment Advantage

With a multi-year income tax holiday, this program helps businesses start or locate new operations in most Oregon counties.

Companies setting up operations in an eligible county can be certified at least eight times to annually deduct or subtract taxable income related to those operations, potentially eliminating any state business income tax liability for that period, which begins at least 24 months after the commencement of new operations.

Requirements of the certified facility include:

  • creation of at least five new full-time, year-round jobs that receive minimum level of compensation;
  • facility operations are the first of their kind anywhere in Oregon for that company (which often is an existing Oregon business); and
  • they do not compete with local existing businesses.

Having five or more facility employees receiving sufficient compensation is a requirement with each application for annual certification. The uniqueness of operations to the company and other requirements generally pertain only to the time of application for preliminary certification, which is also when the county's per capita income level is set for purposes of minium compensation. The application for preliminary certification is due to Business Oregon before hiring or any work commences on the facility, and the process for approval involves a 60-day period, during which local governments could potentially object.