Oregon Office of Rural Health

Rural Practitioner Tax Credit for Dentists

Rural Practitioner Tax Credit for Dentists

Eligibility Criteria

Oregon-licensed dentists who practice in a frontier county in Oregon. The following counties are in that category:

  • Baker
  • Gilliam
  • Grant
  • Harney
  • Lake
  • Malheur
  • Morrow
  • Sherman
  • Wallowa
  • Wheeler

Or

Oregon-licensed dentists who practice in an Oregon town with less than 5,000 population that is 25 or more miles from another source of full-time general dental care.

Those Oregon towns are:

  • Antelope
  • Cave Junction
  • Detroit
  • Gold Beach
  • Idanha
  • Maupin
  • Oakridge
  • Ukiah
  • Westfir

Must provide a minimum of 20 hours per week of patient care, averaged over the month in a eligible rural area.

Eligible DMDs and DDSs must attest to being willing throughout the tax year to serve patients with Medicare and Medicaid coverage. The practitioner must accept patients insured by Medicare and Medicaid until one's patient panel reaches a threshold of 20 percent Medicare and 15 percent Medicaid, or the same percentage as in the county population if that percentage is less.

There are tiers which dictate the maximum possible tax credit amount. Those tiers are as follows based upon the location of your practice site (measured in a straight line, not road miles):

  • Tier 1: 10-20 miles from the centroid of a community with a population of 40,000 or more = $3,000
  • Tier 2: 20-50 miles from the centroid of a community with a population of 40,000 or more = $4,000
  • Tier 3: 50+ miles from the centroid of a community with a population of 40,000 or more = $5,000

    Cities listed by tier represented as a spreadsheet Excel | PDF, and as a map.

Please note: these tiers are part of the general rules for all eligible licenses. Dentists must meet the geographic conditions outlined at the top of this section.

Signed Attestation. In addition, eligible dentists must sign an attestation to:

  • Reasonably accommodate the oral health needs of patients in their communities regardless of the source of payment for their care; AND
  • Have a verifiable written agreement with the rural hospital in their communities to treat emergency dental patients either on the hospital premises or in their operatories regardless of the source of payment for their care.

Bolded lines are new rules beginning tax year 2018.

Oregon-licensed dentists who practice in a frontier county in Oregon. The following counties are in that category:

  • Baker
  • Gilliam
  • Grant
  • Harney
  • Lake
  • Malheur
  • Morrow
  • Sherman
  • Wallowa
  • Wheeler

Or

Oregon-licensed dentists who practice in an Oregon town with less than 5,000 population that is 25 or more miles from another source of full-time general dental care.

Those Oregon towns are:

  • Antelope
  • Cave Junction
  • Detroit
  • Gold Beach
  • Idanha
  • Maupin
  • Oakridge
  • Ukiah
  • Westfir

Must provide a minimum of 20 hours per week of patient care, averaged over the month in a eligible rural area.

Has an individual adjusted gross income not in excess of $300,000 for the tax year.

The program's sunset date is December 31, 2021. Should the program be discontinued at that time, a taxpayer who meets the eligibility requirements for tax year 2021, could be allowed the credit through tax year 2030, as long as they maintain all eligibility requirements.

An eligible taxpayer may not claim the credit for more than a total of 10 tax years beginning on or after January 1, 2018.

Eligible dentists must attest to being willing throughout the tax year to serve patients with Medicare and Medicaid coverage. The practitioner must accept patients insured by Medicare and Medicaid until his/her patient panel reaches a threshold of 20 percent Medicare and 15 percent Medicaid, or the same percentage as in the county population if that percentage is less.

There are tiers that dictate the maximum possible tax credit amount. Those tiers are as follows based upon the location of your practice site (measured in a straight line, not road miles):

  • Tier 1: 10-20 miles from the centroid of a community with a population of 40,000 or more = $3,000
  • Tier 2: 20-50 miles from the centroid of a community with a population of 40,000 or more = $4,000
  • Tier 3: 50+ miles from the centroid of a community with a population of 40,000 or more = $5,000

    Cities listed by tier represented as a spreadsheet Excel | PDF, and as a map.

Please note: these tiers are part of the general rules for all eligible license types. Dentists must meet the geographic conditions outlined at the top of this section.

Signed Attestation. In addition, eligible dentists must sign an attestation to:

  • Reasonably accommodate the oral health needs of patients in their communities regardless of the source of payment for their care; AND
  • Have a verifiable written agreement with the rural hospital in their communities to treat emergency dental patients either on the hospital premises or in their operatories regardless of the source of payment for their care.

Bolded lines are new rules beginning tax year 2020.

Oregon-licensed dentists who practice in a frontier county in Oregon. The following counties are in that category:

  • Baker
  • Gilliam
  • Grant
  • Harney
  • Lake
  • Malheur
  • Morrow
  • Sherman
  • Wallowa
  • Wheeler

Or

Oregon-licensed dentists who practice in an Oregon town with less than 5,000 population that is 25 or more miles from another source of full-time general dental care.

Those Oregon towns are:

  • Antelope
  • Cave Junction
  • Detroit
  • Gold Beach
  • Idanha
  • Maupin
  • Oakridge
  • Ukiah
  • Westfir

Or

Practice in a Tribal Clinic or Federally Qualified Health Center (FQHC) in a rural community with 5,000 or less population which is more than 25 miles from another Tribal Clinic or FQHC that provides dental care.

Must provide a minimum of 20 hours per week of patient care, averaged over the month in a eligible rural area.

Has an individual adjusted gross income not in excess of $300,000 for the tax year.

The program's sunset date is December 31, 2021. Should the program be discontinued at that time, a taxpayer who meets the eligibility requirements for tax year 2021, could be allowed the credit through tax year 2030, as long as they maintain all eligibility requirements.

An eligible taxpayer may not claim the credit for more than a total of 10 tax years beginning on or after January 1, 2018.

Eligible dentists must attest to being willing throughout the tax year to serve patients with Medicare and Medicaid coverage. The practitioner must accept patients insured by Medicare and Medicaid until his/her patient panel reaches a threshold of 20 percent Medicare and 15 percent Medicaid, or the same percentage as in the county population if that percentage is less.

There are tiers that dictate the maximum possible tax credit amount. Those tiers are as follows based upon the location of your practice site (measured in a straight line, not road miles):

  • Tier 1: 10-20 miles from the centroid of a community with a population of 40,000 or more = $3,000
  • Tier 2: 20-50 miles from the centroid of a community with a population of 40,000 or more = $4,000
  • Tier 3: 50+ miles from the centroid of a community with a population of 40,000 or more = $5,000

    Cities listed by tier represented as a spreadsheet Excel | PDF, and as a map.

Please note: these tiers are part of the general rules for all eligible license types. Dentists must meet the geographic conditions outlined at the top of this section.

Signed Attestation. In addition, eligible dentists must sign an attestation to:

  • Reasonably accommodate the oral health needs of patients in their communities regardless of the source of payment for their care; AND
  • Have a verifiable written agreement with the rural hospital in their communities to treat emergency dental patients either on the hospital premises or in their operatories regardless of the source of payment for their care.

Additional Information

Practitioners who have spent a partial year practicing in a qualifying area may be eligible for a pro-rated tax credit.

Once a practitioner is certified, the eligibility may be renewed by application each year if the practice site remains in a qualifying area. The ORH automatically mails renewal forms to eligible practitioners early in each January.

Each application must be accompanied by an annual $45.00 processing fee per year, which is refunded if the application cannot be approved.

How to Apply

Request an application from Eric Jordan: jordane@ohsu.edu. Please specify in your request:

  • Your licensure type: MD, DO, NP, PA, CRNA, DPM, DMD, DDS, or OD
  • Where it is that you practice in Oregon (example: Columbia Memorial Hospital, Astoria)
  • When it was that you began practicing at the above site/s

Application Timeline

You can expect to receive confirmation of your eligibility within six weeks (but probably sooner) during the months of January, February, and March and within two weeks the rest of the year.

Questions?

Contact Eric Jordan: jordane@ohsu.edu | 503-494-4451 | 866-674-4376, but remember that we cannot make a determination on your application until we receive and review it.