Oregon Form OQ The quarterly Combined Payroll Tax report

What Form OQ covers

Oregon runs several payroll taxes through one report. The 2026 Combined Payroll Tax instructions lay out the boxes on Form OQ:

• State income tax withholding, boxes 1a to 4a.
• Statewide Transit Tax, the 0.1 percent tax taken from workers, boxes 1b to 4b.
• TriMet and Lane Transit District tax, boxes 5a to 9b, if the work is in those districts.
• Unemployment insurance, boxes 12 to 22.
• Paid Leave Oregon contributions, in the same block as unemployment.
• The Workers’ Benefit Fund assessment, boxes 27 to 31, figured on hours worked.
• Box 32, the total payment.

Form 132, the Employee Detail Report, goes with it. Form 132 lists each worker by Social Security number, with hours worked, state withholding, transit wages and tax, unemployment wages, and Paid Leave wages. The booklet says the unemployment wage total on Form 132 must match box 13a on Form OQ.

The Oregon page on this site covers the account you need first: the Business Identification Number, or BIN, from the Department of Revenue.

Who files

The booklet says every active employer registered with the Department of Revenue or the Employment Department files Form OQ each quarter. That includes a quarter with no payroll. It also covers employers with paid workers covered by workers’ compensation insurance, employers with an approved Paid Leave equivalent plan, and payers who withhold on pensions.

Household employers file differently. They use Form OA, the annual domestic report, which has its own rules.

2026 due dates

The third-quarter report is due November 2, 2026, because October 31 falls on a Saturday. The fourth-quarter report is due February 1, 2027. The year-end return, Form OR-WR, is a separate filing on Revenue Online, due by January 31 of the next year per the booklet.

How to file

The booklet says you can file Form OQ, Schedule B, and Form 132 online through Frances Online, the Employment Department portal, or on paper by mail. It strongly encourages filing online.

If you had no payroll in the quarter, you still file. Enter 0 on lines 1a, 1b, 5a, 5b, 13a, 13b, and 27. The booklet says a blank box does not count as a filed return. Form 132 and Schedule B are not needed for a no-payroll report. You can also file a no-payroll report by phone at 503-378-3981.

Schedule B is only for employers who deposit state withholding semiweekly or by the next banking day. It lists the Oregon tax withheld on each payroll date.

How to pay

Unemployment tax, the Workers’ Benefit Fund, transit taxes, and Paid Leave are due with the report. State withholding follows the federal deposit schedule. The booklet says you deposit quarterly if your federal liability is under $2,500 for the quarter. Larger employers deposit monthly, semiweekly, or the next business day, matching their federal schedule. Form 941 covers that federal $2,500 rule.

Pay on Revenue Online under “Make a Payment,” or log in and choose “Make OTC payment.” To pay by check, send a current-year Form OR-OTC-V voucher with each payment, one per quarter. Make the check out to the Oregon Department of Revenue.

The 2026 rates on the form

The Employment Department sets your unemployment rate and mails it on a notice. Put that rate in your payroll software. What is SUTA? explains how the wage base and the rate combine.

Paid Leave has a size rule. Employers with fewer than 25 workers still withhold the employee share but do not owe the employer share. The Oregon page has the details.

Hours worked, and why they matter

Form 132 asks for whole hours worked by each person. The Workers’ Benefit Fund assessment is figured on those hours, not on wages. The booklet says to use 520 hours for a full-time worker if you do not track hours. A salaried worker still needs an hours figure.

Late filing and payment

Each agency on the form sets its own penalty. The booklet lists:

• Withholding and transit tax: a 5 percent late-payment penalty, another 20 percent if more than a month late, and another 25 percent if the Department of Revenue assesses unreported tax.
• Unemployment: if you file more than 10 days late and had a warning or penalty in the last three years, $11 per employee, with a $100 minimum and $2,800 maximum. Interest is 1.5 percent a month on unpaid tax.
• Paid Leave: a late-filing penalty of 2 percent of employee wages under the same conditions, and 1.5 percent monthly interest.
• Workers’ Benefit Fund: $50 to $2,000 if more than 10 days late.

A late state unemployment payment can also cost you federal credit. Form 940 and FUTA tax explains how.

Fixing a filed report

Use the amended versions: Form OQ/OA Amended, Schedule B Amended, and Form 132 Amended. The Employment Department forms page says to use them even if you filed the original online. The booklet says unemployment, Paid Leave, and Workers’ Benefit Fund changes can go back three years. Send Form OR-OTC-V if the amendment comes with a payment.

Closing the account

Until the account is closed, Form OQ is due each quarter. To close it, file the Business Change in Status Form, 150-211-156, with the date of your final payroll. The booklet says to tell your workers’ compensation insurer too.

Next step

Payroll software can prepare Form OQ and Form 132 on plans that say they file Oregon. You still own the BIN, the rate notice, and the Frances Online login. The methodology page explains how we grade that split. Gusto is one plain link. Patriot is the other service on this site. The Oregon page has the full first-hire list.