What is a kicker? Oregon's kicker tax refund explained
PORTLAND, Ore. (KOIN) -- A potentially record-setting kicker tax refund is coming to Oregonians in 2024, and state lawmakers are hearing proposed changes in committees.
But what is it?
Oregon's Constitution has the state operating under a biennial budget, starting on July 1 of odd-number years for the next two years.
In 1979, Oregon lawmakers enacted a law that required funds to be "kicked back" to Oregon taxpayers if the total actual General Fund revenues were 2% or more than predicted.
The Oregon Office of Economic Analysis, which is within the Oregon Department of Administrative Services, determines whether there's a surplus and then the kicker amount taxpayers would receive every two years, according to the Oregon Department of Revenue.
A November 2012 voter-approved ballot measure amended the kicker provision regarding the revenue of corporate income and excise taxes to be kept in the General Fund to provide more funding for K-12 public education. Dollars collected by personal income tax in the General Fund were not impacted by this ballot measure.
Finally, the kicker provision, which used to be sent as a check, returns to Oregon state taxpayers as a tax credit for the next year's tax return. The kicker amount a taxpayer would see would be an identical proportion of their personal income tax liability for the previous year.
The kicker provision has been paid out to taxpayers 12 times since it was passed by lawmakers in 1979 and then approved by Oregon voters as a measure in 1980.
The Oregon Office of Economic Analysis estimates "the typical Oregon taxpayer will receive a $790 credit on their tax returns" in 2024.
The final figures for the 2024 kicker will be certified this fall.