How to Calculate 2016 Oregon State Income Tax by Using State Income Tax Table
1. Find your income exemptions
2. Find your pretax deductions, including 401K, flexible account contributions ...
3. Find your gross income
4. Check the 2016 Oregon state tax rate and the rules to calculate state income tax
5. Calculate your state income tax step by step
6. If you want to simplify payroll tax calculations, you can download
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Tax rate used in calculating Oregon state tax for year 2016
State Abbreviation:
OR
State Tax Withholding State Code:
41
Acceptable Exemption Form:
W-4
Basis For Withholding:
State or Federal Exemptions
Acceptable Exemption Data:
S, M, H / Number of Exemptions
TSP Deferred:
Yes
Special Coding:
None
Additional Information:
If a state income tax certificate has not been processed or if a valid state exemption code is not present, the Federal exemption code will be used in the computation of state tax or if an invalid marital status (other than S, M, or H) is present with the number of state exemptions, the highest Oregon withholding rate (Single) with the number of exemptions will be used in the computation of state tax.
Withholding Formula >(Oregon Effective 2016)<
Subtract the nontaxable biweekly Thrift Savings Plan contribution from the gross biweekly wages.
Subtract the nontaxable biweekly Federal Health Benefits Plan payment(s) (includes dental and vision insurance program, and flexible spending account - health care and dependent care deductions) from the amount computed in step 1.
Add the taxable biweekly fringe benefits (taxable life insurance, etc.) to the amount computed in step 2 to obtain the adjusted gross biweekly wages.
Multiply the adjusted gross biweekly wages times 26 to obtain the gross annual wages.
Subtract the employee’s annualized Federal withholding tax from annualized gross pay to
determine annualized taxable wages. The annualized Federal withholding tax to be deducted cannot
exceed the maximum amount shown in the following table based on marital status and the
annualized gross pay calculated in Step 4.
Tax Withholding Table
Single (Regardless of the Number of Exemptions)
If the Amount of Taxable Income Is:
The Maximum Federal Deduction Amount Is:
Over:
But Not
Over:
$ 50,000
$ 125,000
$ 6,500
125,000
130,000
5,200
130,000
135,000
3,900
135,000
140,000
2,600
140,000
145,000
1,300
145,000
and over
0
Tax Withholding Table
Married (Regardless of the Number of Exemptions)
If the Amount of Taxable Income Is:
The Maximum Federal Deduction Amount Is:
Over:
But Not
Over:
$ 50,000
$ 250,000
$ 6,500
250,000
260,000
5,200
260,000
270,000
3,900
270,000
280,000
2,600
280,000
290,000
1,300
290,000
and over
0
Determine the standard deduction allowance by applying the following guideline and subtract this amount from the annual wages.
If the Employee is:
The Standard Deduction is:
Single claiming less than 3 exemptions
>$2,155
Single claiming 3 or more exemptions
$4,315
Married
$4,315<
If the employee’s annualized gross wages calculated in Step 4 are less than $50,000, calculate the annual tax amount on the adjusted taxable wages using one of the tables below:
Tax Withholding Table
Married or
Single (With Three or More Exemptions)
If the Amount of Taxable Income Is:
The Amount of Oregon Tax Withholding Should Be:
Over:
But Not
Over:
Of Excess
Over:
$ 0
$ 6,700
$195
plus
5%
$ 0
6,700
16,900
530
plus
7%
6,700
16,900
and over
1,244
plus
9%
16,900
Single
(With Less Than Three Exemptions)
If the Amount of Taxable Income Is:
The Amount of Oregon Tax Withholding Should Be:
Over:
But Not
Over:
Of Excess
Over:
$ 0
$ 3,350
$ 195
plus
5%
$ 0
3,350
8,450
363
plus
7%
3,350
8,400
and over
720
plus
9%
8,450
If the employee’s annualized gross wages calculated in Step 4 are $50,000 or more, calculate the annual tax amount on the adjusted taxable wages using one of the tables below:
Tax Withholding Table
Married or
Single (With Three or More Exemptions)
If the Amount of Taxable Income Is:
The Amount of Oregon Tax Withholding Should Be:
Over:
But Not
Over:
Of Excess
Over:
$ 0
$ 39,185
$0
plus
0%
$ 0
39,185
250,000
1,049
plus
9%
39,185
250,000
and over
22,028
plus
9.9%
250,000
Single
(With Less Than Three Exemptions)
If the Amount of Taxable Income Is:
The Amount of Oregon Tax Withholding Should Be:
Over:
But Not
Over:
Of Excess
Over:
$ 0
$ 41,345
$ 0
plus
0%
$ 0
41,345
125,000
525
plus
9%
41,345
125,000
and over
11,014
plus
9.9%
125,000
Multiply the number of exemptions by $195 and subtract from the annual tax calculated
above to obtain the annual Oregon tax withholding.
Divide the annual Oregon tax withholding by 26 to obtain the biweekly Oregon tax withholding.<
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