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OR HB2109

Bill

Status

Failed

6/27/2025

Primary Sponsor

Werner Reschke

Click for details

Origin

House of Representatives

2025 Legislative Measures

AI Summary

  • Raises the threshold for "substantial understatement" of net tax from $2,400 (individuals) and $3,500 (corporations) to a single $1 million threshold for all taxpayers before the 20% penalty applies

  • Eliminates the distinction between individual taxpayers and corporations for understatement penalty thresholds

  • Resets the cost-of-living adjustment baseline for the threshold to September 2025-August 2026, with adjustments beginning January 1, 2027

  • Applies to tax years beginning on or after January 1, 2025

  • Takes effect on the 91st day following adjournment of the 2025 legislative session

Legislative Description

Relating to the penalty for understatement of net tax; prescribing an effective date.

Last Action

In committee upon adjournment.

6/27/2025

Committee Referrals

Revenue1/17/2025

Full Bill Text

No bill text available