How do I claim the Oregon Kicker Credit?

The Oregon Surplus Credit, commonly referred to as the Kicker Credit, is a refundable credit available when Oregon revenues exceed projections and a surplus credit is authorized for the tax year.

For tax year 2025, eligible taxpayers may claim the credit on their Oregon return if they meet Oregon's eligibility requirements.

The kicker is triggered when Oregon’s actual revenue for a two-year budget period exceeds the forecasted revenue by more than 2%. When this happens, the surplus is returned to taxpayers in the form of a credit on their state income tax return. The kicker is only available in odd-numbered years (e.g., 2023, 2025). Oregon does not have a surplus "kicker" credit to claim on 2022, 2024, or 2026 returns.

Program Entry

Oregon Return → Credits → Refundable Credits → Surplus Credit (Kicker)

Who Qualifies for the Kicker Credit?

To qualify for the 2025 Oregon Kicker Credit, you generally must have:

• Filed an Oregon income tax return for the prior qualifying tax year; and
• Had Oregon tax liability for that prior year.

Eligibility and the credit amount are determined using information from the prior year's Oregon return.

How Is the Kicker Credit Calculated?

The Oregon Department of Revenue calculates the Kicker Credit based on the taxpayer's prior-year Oregon tax liability.

Most taxpayers do not need to calculate the credit manually.

When the prior-year Oregon return information is available, the software will calculate and populate the allowable credit.

How Do I Enter the Kicker Credit in the Program?

To enter or review the Kicker Credit:

1. Go to State
2. Select Credits
3. Select Refundable Credits
4. Locate Surplus Credit (Kicker)

If additional information is required, enter the requested prior-year Oregon tax information.

How Does This Affect My Return?

The Kicker Credit is a refundable credit.

This means it:

• Reduces Oregon tax liability; and
• May increase your refund, even if no Oregon tax is owed.

Notes

• The Kicker Credit is based on information from a prior Oregon tax return.
• Taxpayers who did not file a qualifying Oregon return for the prior year may not be eligible.
• The credit amount is determined under Oregon's surplus credit provisions and may vary from taxpayer to taxpayer.
• Retain a copy of the prior-year Oregon return in case additional information is needed to verify the credit.