2021 Oregon Revised Statutes
Chapter 315 - Personal and Corporate Income or Excise Tax Credits
Section 315.304 - Pollution control facilities.


(2) For a facility certified under ORS 468.170, the maximum credit allowed in any one tax year shall be the lesser of the tax liability of the taxpayer or the applicable percentage of the certified cost of the facility, as determined under ORS 468.173 or 468.183, multiplied by the certified percentage allocable to pollution control, divided by the number of years of the facility’s useful life. The number of years of the facility’s useful life used in this calculation shall be the remaining number of years of useful life at the time the facility is certified but not less than one year nor more than 10 years.
(3) To qualify for the credit the pollution control facility must be erected, constructed or installed in accordance with the provisions of ORS 468.165 (1) and must be certified for tax relief under ORS 468.155 to 468.190.
(4) To qualify for a tax credit under this section:
(a) The taxpayer who is allowed the credit must be:
(A) The owner, including a contract purchaser, of the trade or business that utilizes Oregon property requiring a pollution control facility to prevent or minimize pollution;
(B) A person who, as a lessee or pursuant to an agreement, conducts the trade or business that operates or utilizes such property; or
(C) A person who, as an owner, including a contract purchaser, or lessee, owns or leases a pollution control facility that is used:
(i) In a business that is engaged in a production activity described in 40 C.F.R. 430.20 (as of July 1, 1998); or
(ii) For recycling, material recovery or energy recovery as defined in ORS 459.005; and
(b) The facility must be owned or leased during the tax year by the taxpayer claiming the credit and must have been in use and operation during the tax year for which the credit is claimed.
(5) Regardless of when the facility is erected, constructed or installed, a credit under this section may be claimed by a taxpayer:
(a) For a facility qualifying under ORS 468.165 (1)(a) or (b), only in those tax years which begin on or after January 1, 1967.
(b) For a facility qualifying under ORS 468.165 (1)(c), in those tax years which begin on or after January 1, 1973.
(c) For a facility qualifying under ORS 468.165 (1)(d), in those tax years which begin on or after January 1, 1984.
(6) For a facility certified under ORS 468.170, the maximum total credit allowable shall not exceed one-half of the certified cost of the facility multiplied by the certified percentage allocable to pollution control.
(7) The credit provided by this section is not in lieu of any depreciation or amortization deduction for the facility to which the taxpayer otherwise may be entitled under ORS chapter 316, 317 or 318 for such year.
(8) Upon any sale, exchange or other disposition of a facility, notice thereof shall be given to the Environmental Quality Commission who shall revoke the certification covering such facility as of the date of such disposition. Notwithstanding ORS 468.170 (4)(c), the transferee may apply for a new certificate under ORS 468.170, but the tax credit available to such transferee shall be limited to the amount of credit not claimed by the transferor. The sale, exchange or other disposition of shares in an S corporation as defined in section 1361 of the Internal Revenue Code or of a partner’s interest in a partnership shall not be deemed a sale, exchange or other disposition of a facility for purposes of this subsection.
(9) Any tax credit otherwise allowable under this section which is not used by the taxpayer in a particular year may be carried forward and offset against the taxpayer’s tax liability for the next succeeding tax year. Any credit remaining unused in such next succeeding tax year may be carried forward and used in the second succeeding tax year, and likewise, any credit not used in that second succeeding tax year may be carried forward and used in the third succeeding tax year, but may not be carried forward for any tax year thereafter. Credits may be carried forward to and used in a tax year beyond the years specified in ORS 468.170.
(10) The taxpayer’s adjusted basis for determining gain or loss shall not be further decreased by any tax credits allowed under this section.
(11) A person described in subsection (4)(a)(C) of this section may, but need not, operate the facility or conduct a trade or business that utilizes property requiring the facility. If more than one person has an interest under subsection (4)(a)(C) of this section in the facility, only one person may claim the credit allowed under this section. However, portions of the facility may be certified separately in the same manner as provided in ORS 468.170 (8) if ownership of the portions is in more than one person. The person claiming the credit as between an owner, including a contract purchaser, and lessee under this subsection shall be designated in a written statement signed by both the lessor and lessee of the facility. This statement shall be filed with the Department of Revenue not later than the final day of the first tax year for which a tax credit is claimed.
(12)(a) A taxpayer may not be allowed a tax credit under this section for any tax year during which the taxpayer is convicted of a felony under ORS 468.922 to 468.956 that is related to the facility for which the tax credit would otherwise be claimed, or for the four tax years succeeding the tax year during which the taxpayer is convicted.
(b) The amount of any tax credit that is otherwise allowable under this section but for paragraph (a) of this subsection shall be considered to be claimed by the taxpayer for purposes of determining the amount of tax credit that may be claimed in a tax year in which paragraph (a) of this subsection permits the taxpayer to claim the credit. [1993 c.730 §30 (enacted in lieu of 316.097 and 317.116); 1993 c.560 §110a; 1995 c.746 §1; 1997 c.99 §5; 1997 c.325 §39; 1999 c.1101 §1; 2001 c.928 §4]
Note: Section 3, chapter 928, Oregon Laws 2001, provides:
Sec. 3. (1) Notwithstanding ORS 315.304 (9), in the case of a pollution control facility for which unexpired tax credits exist as of the tax year of the taxpayer that begins in the 2001 calendar year, if the facility is in use and operation during the tax year immediately following the third succeeding tax year described in ORS 315.304 (9), any credit under ORS 315.304 remaining unused may be carried forward to that fourth succeeding tax year. If the facility is in use and operation during the tax year immediately following the fourth succeeding tax year, any credit under ORS 315.304 remaining unused may be carried forward to that fifth succeeding tax year. If the facility is in use and operation during the tax year immediately following the fifth succeeding tax year, any credit under ORS 315.304 remaining unused may be carried forward to that sixth succeeding tax year, but may not be carried forward to any tax year thereafter.
(2) For purposes of this section, unexpired tax credits include credits claimed pursuant to ORS 315.304 (2) and credits carried over from previous tax years pursuant to ORS 315.304 (9). [2001 c.928 §3]

Structure 2021 Oregon Revised Statutes

2021 Oregon Revised Statutes

Volume : 08 - Revenue and Taxation

Chapter 315 - Personal and Corporate Income or Excise Tax Credits

Section 315.004 - Definitions; adoption of parts of Internal Revenue Code and application of federal laws and regulations; technical corrections.

Section 315.037 - Tax expenditures applicable for limited time.

Section 315.047 - List of tax credits with revenue impact in excess of projection.

Section 315.051 - Report by Legislative Revenue Officer.

Section 315.053 - Restriction on types of transferees.

Section 315.056 - Conditions for transfer of tax credit.

Section 315.058 - Agency to provide tax credit approval information to Department of Revenue.

Section 315.061 - Suspension, revocation or forfeiture.

Section 315.068 - Claim of right income repayment adjustments.

Section 315.104 - Reforestation; rules.

Section 315.106 - Reforestation credit preliminary certificate; application; limitation calculation; rules; fee.

Section 315.108 - Annual reforestation credit cost limitation.

Section 315.113 - Voluntary removal of riparian land from farm production; rules.

Section 315.119 - On-farm processing facilities.

Section 315.123 - Minimum production and processing volume requirements; record- keeping requirements.

Section 315.138 - Screening devices, by-pass devices or fishways; rules.

Section 315.141 - Biomass production or collection; fee; rules; documentation.

Section 315.144 - Transfer of biomass credit; rules.

Section 315.154 - Definitions for crop donation credit.

Section 315.156 - Crop donation; forms.

Section 315.163 - Definitions for ORS 315.163 to 315.169.

Section 315.164 - Agriculture workforce housing projects; rules.

Section 315.167 - Agriculture workforce housing credit application; procedure; rules.

Section 315.169 - Agriculture workforce housing contributor credit; transfer of agriculture workforce housing owner or operator credit; continued eligibility; rules.

Section 315.174 - Livestock killed by wolf.

Section 315.176 - Bovine manure production or collection; rules.

Section 315.184 - Annual limitation on total amount of tax credits; proportionate reduction.

Section 315.204 - Dependent care assistance; rules.

Section 315.208 - Dependent care facilities.

Section 315.213 - Contributions to Office of Child Care.

Section 315.237 - Employee and dependent scholarship program payments.

Section 315.262 - Working family child care; rules.

Section 315.264 - Working family household and dependent care expenses; rules.

Section 315.266 - Earned income; use of individual taxpayer identification number in alternative; rules.

Section 315.271 - Individual development accounts.

Section 315.272 - Certain individual development account withdrawals.

Section 315.304 - Pollution control facilities.

Section 315.326 - Renewable energy development contributions; auction of tax credits; certification; rules.

Section 315.329 - Funding in lieu of tax credit certification.

Section 315.331 - Energy conservation projects.

Section 315.336 - Transportation projects.

Section 315.341 - Renewable energy resource equipment manufacturing facilities.

Section 315.354 - Energy conservation facilities.

Section 315.356 - Other grants as offset to cost of energy conservation facility; changes in eligibility for participation in other programs.

Section 315.357 - Time limit applicable to energy conservation tax credit.

Section 315.465 - Biofuels and fuel blends.

Section 315.469 - Biodiesel used in home heating.

Section 315.506 - New business facility in reservation enterprise zone or reservation partnership zone.

Section 315.507 - Electronic commerce in designated enterprise zone.

Section 315.508 - Recordkeeping requirements; disallowance of credit.

Section 315.514 - Film production development contributions; auction of tax credits; rules.

Section 315.516 - Funding in lieu of tax credit certification.

Section 315.517 - Water transit vessels.

Section 315.523 - Employee training.

Section 315.529 - Definitions.

Section 315.533 - Qualified equity investments.

Section 315.536 - Transferability of credit.

Section 315.591 - Definitions.

Section 315.593 - Short line railroad rehabilitation projects; rules.

Section 315.595 - Preliminary certification; application; allocation priority; rules.

Section 315.597 - Final certification; rules.

Section 315.599 - Fees; appropriation for expenses.

Section 315.610 - Long term care insurance.

Section 315.613 - Credit available to persons providing rural medical care and affiliated with certain rural hospitals.

Section 315.616 - Additional providers who may qualify for credit.

Section 315.619 - Credit for medical staff at type C hospital.

Section 315.622 - Rural emergency medical services providers.

Section 315.624 - Medical care to residents of Oregon Veterans’ Home.

Section 315.628 - Health care services under TRICARE contract.

Section 315.631 - Certification of health care providers; reports.

Section 315.640 - University venture development fund contributions.

Section 315.643 - Opportunity Grant contributions; auction of tax credits; certification; rules.

Section 315.646 - Funding in lieu of tax credit certification.

Section 315.650 - Higher education savings account or ABLE account contributions.

Section 315.653 - Forfeiture of prior tax relief; disallowed withdrawal or distribution.

Section 315.675 - Trust for Cultural Development Account contributions.