Social security is not taxed in Oregon. I cannot find where it is taken out of Oregon taxable income. Do I need to make an adjustment to the Oregon form?

[ThomasM]

You don't need to make any additional entry.  TurboTax will make that adjustment based on your input of social security benefits in the federal section.

You'll be able to see this adjustment on your Oregon tax return (form OR-40 for residents).  Take a look at page 2 and notice that your income begins on line 7 with the federal AGI number. Then you'll see on line 11 (in the Subtractions section) that Social Security is subtracted from taxable income.

That's how Oregon goes about figuring taxable income.  You just work your way down the page as your income gets adjusted, culminating in the taxable income total on line 21.

[Fairfax51]

I have the same question re: our 2021 Oregon return. Part-year resident form OR-40-P line 32 shows the subtraction amount on the federal column (32F) but shows no subtraction from the Oregon income column (32S). The result is a higher % of federal income is included in Oregon income on line 35.

[mcwherterdb]

I am a non-resident. Does that make a difference regarding my social security benefits being taxed?

Dave

[MonikaK1]

Oregon doesn’t tax your Social Security benefits. Any Social Security benefits included in your federal adjusted gross income (AGI) are subtracted on your Oregon return. 

As a nonresident, you need to file an Oregon return if your gross income from Oregon taxable sources was more than the threshold amount shown for your filing status:

Single ​$2,420​

Married filing jointly ​$4,840
Married filing separately (If spouse claims standard deduction) ​$2,420
Married filing separately (If spouse itemizes deductions) ​$0
Head of household ​$3,895
Qualifying surviving spouse ​$4,840

When you've completed your Federal and Oregon returns, the Oregon return should reflect that any Federally taxable Social Security was subtracted from the Federal income figure that is ultimately multiplied by the Oregon tax rate.

See this link for more information from the State of Oregon.

[mcwherterdb]

But the program is not subtracting social security from the income.

Dave

[ErnieS0]

There is no subtraction. TurboTax does not include taxable Social Security benefits in the first place in your Oregon income on the non-resident Oregon return. 

Check line 19 of the Oregon column on your Form OR-40-N.

@mcwherterdb

[mcwherterdb]

I live in Washington and the corporate headquarters is in Seattle but my work site is Portland OR.  Do I need to file Oregon Taxes?

[SharonD007]

Please clarify if you had withholding taking out of your pay for Oregon?

[mcwherterdb]

No I did not

[MayaD]

Nonresident telecommuters who work for an Oregon employer are taxed on the income earned from services performed in Oregon, including a portion sick pay or other benefits.

You need to file if your gross income from Oregon taxable sources while you were a nonresident, was more than the amount shown for your filing status. 

Filling status                                                                                    And your Oregon gross income is more than

Single                                                                                                          ​$2,420​
 

Married filing jointly    ​                                                                                 $4,840
 

Married filing separately (If spouse claims standard deduction)                ​ $2,420
 

Married filing separately (If spouse itemizes deductions)                           ​$0
 

Head of household                                                                                     ​$3,895
 

Qualifying surviving spouse                                                                       ​$4,840

How do I file a nonresident state return?