Can you deduct the new Portland Metro/county taxes from your 2021 Oregon state return? If so, how?

[Otherbarry]

This is a tricky one - Multnomah County and the Metro Area have two new local taxes for Tax Year 2021 (SHS, Pre-k).  They aren't withheld for this tax year so they must be paid all at once via the City of Portland's website, similar to the Arts Tax.  Can they be deducted as Local Taxes on your Oregon state tax return (OR-A line 5)?

In a normal year where they're being withheld, I'd suspect they can (e.g.: You can enter the 2018 Portland Oregon Arts tax in the Es... ).  However, in order to pay this year's, you need your AGI, which you cannot get without filing, and you can't file without entering the deduction, which would change your AGI.  This seems to create a chicken-egg scenario.

Does anyone know how to find an answer?

[RaifH · Accepted solution]

You can only deduct the tax paid in the year that you pay it. It sounds like you have not yet paid these taxes because you need your 2021 AGI. That means you can report it on your 2022 tax return in the same place you report the Portland Arts Tax. (Since that post, TurboTax has added a specific field for the Portland Arts Tax. I don't know if next year there will be something similar for these new local taxes.)