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OR HB2197

Bill

Status

Failed

6/27/2025

Primary Sponsor

Werner Reschke

Click for details

Origin

House of Representatives

2025 Legislative Measures

AI Summary

  • Creates an Oregon tax subtraction for financial institutions on interest income from qualified loans for agricultural real estate, rural single-family residences, and coastal fishing boats
  • Exempts the same qualified interest income from the Corporate Activity Tax (CAT) by excluding it from the definition of commercial activity
  • Qualified agricultural loans must have 5-40 year maturity, be secured by first lien, and have loan-to-value ratio under 85% (or have private mortgage insurance for amounts exceeding 85%)
  • Rural residences must be located in USDA-defined rural areas outside metropolitan statistical areas or in cities with fewer than 2,500 inhabitants
  • Applies to tax years beginning January 1, 2026 through January 1, 2032; takes effect 91 days after the 2025 legislative session adjourns

Legislative Description

Relating to tax incentives for financial institution lending in rural areas; 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