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I. Important: Your responsibility to pay state withholding tax:

We understand that the economy may create new challenges for businesses. We want to remind all employers to send employees’ personal income tax withholding payments on time to the Oregon Department of Revenue.

Under Oregon law, business owners can be held personally responsible for paying withholding tax, no matter what type of business you own. If you get a past due notice from us, call the number on the notice immediately.

If you haven’t made a required withholding deposit during the current quarter, please call 503-945-8091 for assistance.

For more information, visit www.oregon.gov/DOR/BUS/ and click “Payroll Tax Basics.”

Elizabeth Harchenko, Director, Oregon Department of Revenue

II. Tax Updates:

1. Withholding Tax Tables: At this time, there are no changes to the Withholding Tax Tables. You can still use the tax tables from 2007 that are located on our website @ http://www.oregon.gov/DOR/BUS/index.shtml

2. The new transit rates are: TriMet for 2009=0.006718
Lane Transit for 2009=$0.0065

3. Employment Tax rates for new employers: New Employer rate=2.4%
Wage Base: =$31300.00

4. 2009 Workers’ Benefit Fund Assessment (“Cents-Per-Hour”) Rate:
For calendar year 2009, the Department of Consumer & Business Services has set the Workers’ Benefit Fund assessment rate at 2.8 cents, unchanged from calendar years 2007 and 2008

What is the Workers Benefit Fund?
This fund pays for programs that provide benefits to injured workers and their beneficiaries, as well as providing money to help employers assist injured workers return to work. Employers who fail to provide workers’ compensation coverage required by law are still subject to the Workers Benefit Fund Assessment.

The rate of 2.8 cents per hour is paid by both employer and employee, with 1.4 cents per hour paid by the employer and 1.4 cents deducted from the employee’s wages.

Each quarter, employers use Forms OQ and OTC (or approved electronic equivalents) to report and pay the full assessment amount to the state through Oregon’s Combined Payroll Tax Reporting System.
For more information on the Workers’ Benefit Fund assessment contact 503-378-2372; e-mail wbfassess.fabs@state.or.us or visit www.oregon.gov/DCBS/FABS/wbf.shtml

III. Important reminders:

a. Be sure to update your contact information if you have made changes within the last year. Important information such as forms and 2009 tax rates are going out shortly and this ensures that you receive this information timely.
If you need to make changes simply complete the “Change in Status” form located @ http://www.oregon.gov/DOR/BUS/forms-payroll.shtml

b. Always use your Business Identification Number (BIN) anytime you make contact with the Department of Revenue. It allows us to locate the correct tax information quickly and accurately. We may not be able to locate your information using your FEIN.

IV. Educational Opportunities:

“W4 Information and Reporting Responsibilities” :
Weds, December 3^rd 10:00-11:30

Small Business Development Center
1445 SW Willamette St. Rm.   117
Eugene OR.

Contact the office @ (541) 463-5255 for further information.

The Payrolltax-News e-mail list provides employers with complete and up to date payroll tax information. information. Employers can request additional information by e-mailing payroll.help.dor@state.or.us

Questions about list content and subscription problems should be directed to the list owner:

Cathy Tavares
Oregon Department of Revenue
cathleen.m.tavares@state.or.us
503 945-8762