Bill
Bill > HB3811
OR HB3811
Relating to a tax credit for overtime wages paid to agricultural workers; prescribing an effective date.
summary
Introduced
02/27/2025
02/27/2025
In Committee
03/04/2025
03/04/2025
Crossed Over
Passed
Dead
Introduced Session
2025 Legislative Measures
Bill Summary
The statement includes a measure digest written in compliance with applicable readability standards. Digest: The Act changes the tax credit for farm work overtime paid. (Flesch Readability Score: 74.8). Modifies the tax credit allowed for wages paid as overtime pay to agriculture workers. Increases the percentage of wages allowed as a credit. Allows a taxpayer to receive an advance payment of credit during the year in which wages are paid. Removes the annual cap on agricultural overtime credits allowed to all taxpayers in the state. Applies to tax years beginning on or after January 1, 2026. Takes effect on the 91st day following adjournment sine die.
AI Summary
This bill modifies the tax credit for overtime wages paid to agricultural workers in Oregon, making several key changes to encourage fair compensation and provide financial support to farmers. The bill increases the tax credit calculation from a percentage-based method to a multiplier of 1.18 times the total excess overtime wages paid, while excluding any overtime hours worked beyond 60 hours per week. A significant new provision allows eligible taxpayers to receive an advance payment of the credit during the same calendar year the overtime wages are paid, with the Department of Revenue establishing a formal process for these advance payments. The bill removes previous annual caps on agricultural overtime credits and requires taxpayers to submit detailed applications to the Department of Revenue, including information about overtime hours and wages. Taxpayers must be Oregon residents to qualify for advance payments, and the department will conduct reconciliation reviews to ensure proper credit claims. The changes will apply to tax years beginning on or after January 1, 2026, and take effect 91 days after the 2025 legislative session adjourns. Additionally, the bill repeals two existing statutes related to the previous overtime wage credit structure.
Committee Categories
Labor and Employment
Sponsors (1)
Last Action
Referred to Labor and Workplace Standards with subsequent referral to Revenue. (on 03/04/2025)
Official Document
bill text
bill summary
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bill summary
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bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://olis.oregonlegislature.gov/liz/2025R1/Measures/Overview/HB3811 |
| Open Government Impact Statement for HB3811 INTRO | https://olis.oregonlegislature.gov/liz/2025R1/Downloads/MeasureAnalysisDocument/86777 |
| BillText | https://olis.oregonlegislature.gov/liz/2025R1/Downloads/MeasureDocument/HB3811/Introduced |
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