Starting July 1, 2018 all Oregon employers must start withholding the transit tax (.1% or .001) from employees residing in Oregon (regardless of where the work is performed) and nonresident employees who perform service in Oregon.

STT is reported quarterly for OQ filers and reported annual for farmers and domestic filers. Employers are required to file the quarterly statewide transit tax return even if there was no payroll during the reporting period. Please note that you will see it on the form WR as well as W2.  Oregon residents working out of state will report and pay with their individual Oregon tax return. 

If you use Paychex or Surepayroll please note they will meet the withholding and reporting requirements.  If you currently use QuickBooks, make sure you have updated to the newest payroll tax update. 

Call us if you have any further questions and our QuickBooks staff will be able to help you.    

More information can be found on the Oregon State site: