Practitioner Tax Credit FAQ

Do I need to re-apply for the credit every year?

Yes. Once your initial application has been received and your practice is determined eligible, you will be sent a renewal form automatically every December. If you claim the credit on your tax return without submitting an application or renewal, the Department of Revenue will deny the credit.

Is there an application fee?

Yes. $25.00 per year.

Is there a deadline for submitting an application?

Yes - For renewals. The deadline for return of renewal forms is March 1 of each year.

No - For first time applicants. First time applicants may apply throughout the year.

I just heard about the credit, but have been practicing in a rural area for years. May I apply for prior years?

Yes. You may apply for the credit retroactively and, if determined eligible, can file amended Oregon tax returns for up to three years.

How many years will this credit be available?

Indefinitely. SB 438, which created the tax credit, was passed in the 1989 Oregon Legislative Session. The language of the bill stated that the credit was "not to exceed 10 years". That language was eliminated in the 1999 Oregon Legislative Session.

Do I have to live in Oregon to qualify for the credit?

No, but you do need to maintain a rural Oregon practice.

Do I have to practice full-time to qualify for the credit?

No. There is no minimum practice time requirement.

I practice in another state as well as in rural Oregon. Could I still be eligible for the credit?

Yes. An out of state practice has no bearing on eligibility for the Oregon tax credit.

I only practiced in rural Oregon for part of the year. Will my credit be pro-rated?

If your only Oregon practice during the year was in a qualifying area, the confirmation letter you receive from this office will state that you are eligible for 100% of the credit. However, if you are a partial-year resident of Oregon, the Oregon Department of Revenue will pro-rate the credit. If you practiced part of the year in a qualifying rural area and part of the year in a non-qualifying urban area in Oregon, your credit will be pro-rated.

Example: You practiced January through June in an ineligible urban area and July through December in an eligible rural area. The confirmation letter you receive will state that you are eligible for 50% of the credit.

Will the information I furnish on the application form be kept confidential?

Absolutely. Information you furnish is shared ONLY with the Oregon Department of Revenue. All personal data such as your home address, social security number, e-mail address or the fact that you even claim the credit is kept strictly confidential.

How soon after I submit my application or renewal can I expect a response?

In December & January, response time averages two - three weeks. The rest of the year, response time averages one week.

May I pay the fee by credit card?

No. The fee must be paid by check.

Once I receive confirmation of eligibility, how do I claim the credit on my tax return?

Contact the Oregon Department of Revenue at 800-356-4222 from January through April or at 503-378-4988 the rest of the year.

To see if you might qualify, and to get an application please contact Linda Peppler, Office Administrator, pepplerl@ohsu.edu, or 503-494-4450.