January 1 2023 – New Reporting and Withholding Requirements
Small-business owners are reminded the state’s new paid leave program is now in effect.
According to a Oregon Employment Department (OED) news release, “Starting January 1, 2023, employers will be required to start withholding contributions to Paid Leave Oregon, the state’s new program … Employers will report subject employee wages, contributions based on those wages, and employer contributions on a revised quarterly employer tax report (Form OQ).
“Payments will be made to the Oregon Department of Revenue (DOR) on or before the due date of the Form OQ (the last day of the month following the quarter to which the report relates). Revenue will then transfer the funds to OED.”
Furthermore, according to the department, “Paid Leave Oregon changed the way we count employees based on partner and community feedback, as it has been a consistent area of confusion since we started Community Conversations and other engagement meetings. This change aligns Paid Leave more closely with the way employees are counted for the Unemployment Insurance program. The rules are available online under definitions and methods, and we have a guide and chart to help employers determine their employee count.”