It is asking me to enter my 2022 Oregon tax liability but I have no idea what that is or how to find it?

[frederickcusiman]

It is saying the answer is on OR-40 forms but I don't have any of those. And all my attempts to search for the answer have come up with nothing.

[DMarkM1]

Yes, that is your prior year Oregon state tax return.  TurboTax is attempting to help you reduce the interest penalty for under payment on your Oregon state tax return.  One way to do that is by showing that in 2022 your Oregon tax liability was zero or you did not file in 2022.  

You'll need to find your copy of your 2022 Oregon state return.  The main resident Oregon return form is a form OR-40.  Line 31 on that form should be your tax liability.  If it shows zero you will enter that in the box on your 2023 return asking for your 2022 OR tax liability and the penalty interest on your OR return will be removed.       

[Daveh110]

With the huge Oregon Kicker this year, that form is worth some effort to find!

[fanfare]

I found Oregon is pretty efficient at correcting errors, enter a small number and they will correct your return with the actual amount, giving you a refund,

[X1Twylite2X]

I do not have a Oregon State tax return.  How do I know what my liability is?

[BillM223]

Are you saying that you did not have an Oregon return for 2022, or that you don't have an Oregon return for 2023?

If yes for 2023, but no for 2022, then just enter zero for the 2022 tax liability.

[AK93]

I had this same issue for this year's 2024 taxes. My line 31 however is "income after additions." Is that the right number to put for the liability? 

I had put in line 1 from my "2023 oregon federal tax liability subtraction worksheet" which was a completely different number than my line 31 of the OR-40. Essentially - the number I entered was not zero for the tax liability, and I know I owed interest. I didn't notice a change in the interest amount when I tried out two different numbers from different lines on the OR-40 form when I was unclear which one to enter.

Do I need to do anything if the number I entered there is wrong? I just paid the interest and the state tax I owed. I asked two different CPAs on turbotax and they said the line I was reading off sounded right, but it's worded so confusingly. Is this question just to confirm to OR that I indeed owe interest?

Also, where would you find the exact amount of refundable credits? I don't believe I had any.

[BillM223]

AK93

I don't believe you are working on the kicker, since there is not one on your 2024 return. Are you working on underpayments of estimated taxes or what?

@AK93 

[AK93]

I somehow was not having state taxes pulled from my paycheck last Jan-March so I’m paying back that and the associated interest. 

[MarilynG1]

TurboTax is trying to figure if you owe an Underpayment Penalty or not.  It's asking for Oregon Tax Liability for last year, so you need your 2023 Oregon return to find that amount.

If you didn't owe tax last year, and don't this year, there may be no penalty involved.  If you owe this year, but didn't last year, TurboTax may then ask about expected income for 2025.

Here's more info on Oregon Penalties and Interest.

@AK93 

[AK93]

I was looking at the initial post from someone last year above. My line 31 however is "income after additions." Is that the right number to put for the liability? 

I had put in line 1 from my "2023 oregon federal tax liability subtraction worksheet" which was a completely different number than my line 31 of the OR-40. Essentially - the number I entered was not zero for the tax liability, and I know I owed interest. I didn't notice a change in the interest amount when I tried out two different numbers from different lines on the OR-40 form when I was unclear which one to enter.

Do I need to do anything if the number I entered there is wrong? I just paid the interest and the state tax I owed. I asked two different CPAs on turbotax and they said the line I was reading off sounded right, but it's worded so confusingly. Is this question just to confirm to OR that I indeed owe interest?

Also, where would you find the exact amount of refundable credits? I don't believe I had any.

[BrittanyS]

You can find the tax owed on line 45 of the 2022 OR-40 Oregon Individual Tax return.  Line 38 of the 2022 OR-40 Oregon Individual Tax return will show your total refundable credits.  If you did not enter the correct amount you should go back to the interview question and enter the correct values.  See the copy of the 2022 return below for reference:

• 2022 Form OR-40

@AK93