ORS 315.613
Credit available to persons providing rural medical care and affiliated with certain rural hospitals


(1)

An annual credit against the taxes otherwise due under ORS chapter 316 shall be allowed to a resident or nonresident individual who is:

(a)

Certified as eligible under ORS 442.563 (Certifying certain individuals providing rural health care for tax credit);

(b)

Licensed under ORS chapter 677;

(c)

Engaged in the practice of medicine, and engaged for at least 20 hours per week, averaged over the month, during the tax year in a rural practice; and

(d)

Has adjusted gross income not in excess of $300,000 for the tax year. The limitation in this paragraph does not apply to a physician who practices as a general surgeon, specializes in obstetrics, specializes in family or general practice and provides obstetrical services or practices emergency medicine in a county that is a frontier rural practice county under rules adopted by the Office of Rural Health.

(2)

The amount of credit allowed shall be based on the distance from a major population center in a qualified metropolitan statistical area at which the taxpayer maintains a practice or hospital membership:

(a)

If at least 10 miles but fewer than 20 miles, $3,000.

(b)

If at least 20 miles but fewer than 50 miles, $4,000.

(c)

If 50 or more miles, $5,000.

(3)

The credit shall be allowed during the time in which the individual retains such practice and membership if the individual is actively practicing in and is a member of the medical staff of one of the following hospitals:

(a)

A type A hospital designated as such by the Office of Rural Health;

(b)

A type B hospital designated as such by the Office of Rural Health if the hospital is:

(A)

Not within the boundaries of a metropolitan statistical area;

(B)

Located 30 or more miles from the closest hospital within the major population center in a metropolitan statistical area; or

(C)

Located in a county with a population of less than 75,000;

(c)

A type C rural hospital, if the Office of Rural Health makes the findings required by ORS 315.619 (Credit for medical staff at type C hospital);

(d)

A rural critical access hospital; or

(e)

A hospital:

(A)

Classified by the Centers for Medicare and Medicaid Services as a rural referral center in accordance with 42 U.S.C. 1395ww(d)(5)(C)(i); and

(B)

Classified by the Centers for Medicare and Medicaid Services as a sole community hospital in accordance with 42 U.S.C. 1395ww(d)(5)(D)(iii).

(4)

In order to claim the credit allowed under this section, the individual must remain willing during the tax year to serve patients with Medicare coverage and patients receiving medical assistance in at least the same proportion to the individual’s total number of patients as the Medicare and medical assistance populations represent of the total number of persons determined by the Office of Rural Health to be in need of care in the county served by the practice, not to exceed 20 percent Medicare patients or 15 percent medical assistance patients.

(5)

A nonresident individual shall be allowed the credit under this section in the proportion provided in ORS 316.117 (Proration between Oregon income and other income for nonresidents, part-year residents and trusts). If a change in the status of a taxpayer from resident to nonresident or from nonresident to resident occurs, the credit allowed by this section shall be determined in a manner consistent with ORS 316.117 (Proration between Oregon income and other income for nonresidents, part-year residents and trusts).

(6)

For purposes of this section, an “individual’s practice” shall be determined on the basis of actual time spent in practice each week in hours or days, whichever is considered by the Office of Rural Health to be more appropriate. In the case of a shareholder of a corporation or a member of a partnership, only the time of the individual shareholder or partner shall be considered and the full amount of the credit shall be allowed to each shareholder or partner who qualifies in an individual capacity.

(7)

As used in this section:

(a)

“Qualified metropolitan statistical area” means only those counties of a metropolitan statistical area that are located in Oregon if the largest city within the metropolitan statistical area is located in Oregon.

(b)

“Rural critical access hospital” means a facility that meets the criteria set forth in 42 U.S.C. 1395i-4 (c)(2)(B) and that has been designated a critical access hospital by the Office of Rural Health and the Oregon Health Authority.

(c)

“Type A hospital,” “type B hospital” and “type C hospital” have the meaning for those terms provided in ORS 442.470 (Definitions for ORS 442.470 to 442.507). [Formerly 316.143; 2009 c.595 §205; 2013 c.750 §11; 2015 c.701 §19; 2015 c.829 §7a; 2016 c.29 §1; 2017 c.610 §14; 2019 c.495 §1; 2021 c.525 §3a]
Note: Section 3, chapter 495, Oregon Laws 2019, provides:
Sec. 3. The amendments to ORS 315.613 (Credit available to persons providing rural medical care and affiliated with certain rural hospitals) and 442.563 (Certifying certain individuals providing rural health care for tax credit) by sections 1 and 2 of this 2019 Act apply to tax years beginning on or after January 1, 2020. [2019 c.495 §3]
Note: Section 25, chapter 913, Oregon Laws 2009, provides:
Sec. 25. (1) Except as provided in subsection (2) of this section, a credit may not be claimed under ORS 315.613 (Credit available to persons providing rural medical care and affiliated with certain rural hospitals) for tax years beginning on or after January 1, 2028.

(2)

A taxpayer who meets the eligibility requirements in ORS 315.613 (Credit available to persons providing rural medical care and affiliated with certain rural hospitals) for the tax year beginning on or after January 1, 2027, and before January 1, 2028, shall be allowed the credit under ORS 315.613 (Credit available to persons providing rural medical care and affiliated with certain rural hospitals) for any tax year:

(a)

That begins on or before January 1, 2037; and

(b)

For which the taxpayer meets the eligibility requirements of ORS 315.613 (Credit available to persons providing rural medical care and affiliated with certain rural hospitals).

(3)

Notwithstanding subsection (2) of this section, a taxpayer may not during the taxpayer’s lifetime claim the credit allowed under this section for more than a total of 10 tax years that begin on or after January 1, 2018. [2009 c.913 §25; 2013 c.750 §10; 2015 c.701 §18; 2015 c.829 §7; 2017 c.610 §13; 2021 c.525 §3]

Source: Section 315.613 — Credit available to persons providing rural medical care and affiliated with certain rural hospitals, https://www.­oregonlegislature.­gov/bills_laws/ors/ors315.­html.

Law Review Citations

43 WLR 363 (2007)

315.004
Definitions
315.037
Tax expenditures applicable for limited time
315.044
Statement of purpose
315.047
List of tax credits with revenue impact in excess of projection
315.051
Report by Legislative Revenue Officer
315.052
Limitation on transfer or sale of credit
315.053
Restriction on types of transferees
315.054
Federal tax credits allowable only as specified
315.056
Conditions for transfer of tax credit
315.058
Agency to provide tax credit approval information to Department of Revenue
315.061
Suspension, revocation or forfeiture
315.063
Waiver of substantiation by Department of Revenue
315.068
Claim of right income repayment adjustments
315.104
Reforestation
315.106
Reforestation credit preliminary certificate
315.108
Annual reforestation credit cost limitation
315.111
Legislative declarations regarding riparian land conservation
315.113
Voluntary removal of riparian land from farm production
315.117
Legislative findings and declarations regarding on-farm processing
315.119
On-farm processing facilities
315.123
Minimum production and processing volume requirements
315.138
Screening devices, by-pass devices or fishways
315.141
Biomass production or collection
315.144
Transfer of biomass credit
315.154
Definitions for crop donation credit
315.156
Crop donation
315.163
Definitions for ORS 315.163 to 315.169
315.164
Agriculture workforce housing projects
315.167
Agriculture workforce housing credit application
315.169
Agriculture workforce housing contributor credit
315.171
Tax credit limit for biennium
315.174
Livestock killed by wolf
315.176
Bovine manure production or collection
315.184
Annual limitation on total amount of tax credits
315.204
Dependent care assistance
315.208
Dependent care facilities
315.213
Contributions to Office of Child Care
315.237
Employee and dependent scholarship program payments
315.262
Working family child care
315.264
Working family household and dependent care expenses
315.266
Earned income
315.271
Individual development accounts
315.272
Certain individual development account withdrawals
315.304
Pollution control facilities
315.326
Renewable energy development contributions
315.329
Funding in lieu of tax credit certification
315.331
Energy conservation projects
315.336
Transportation projects
315.341
Renewable energy resource equipment manufacturing facilities
315.354
Energy conservation facilities
315.356
Other grants as offset to cost of energy conservation facility
315.357
Time limit applicable to energy conservation tax credit
315.465
Biofuels and fuel blends
315.469
Biodiesel used in home heating
315.506
New business facility in reservation enterprise zone or reservation partnership zone
315.507
Electronic commerce in designated enterprise zone
315.508
Recordkeeping requirements
315.514
Film production development contributions
315.516
Funding in lieu of tax credit certification
315.517
Water transit vessels
315.523
Employee training
315.526
Short title
315.529
Definitions
315.533
Qualified equity investments
315.536
Transferability of credit
315.591
Definitions
315.593
Short line railroad rehabilitation projects
315.595
Preliminary certification
315.597
Final certification
315.599
Fees
315.603
Tax credit limit for biennium
315.610
Long term care insurance
315.613
Credit available to persons providing rural medical care and affiliated with certain rural hospitals
315.616
Additional providers who may qualify for credit
315.619
Credit for medical staff at type C hospital
315.622
Rural emergency medical services providers
315.624
Medical care to residents of Oregon Veterans’ Home
315.628
Health care services under TRICARE contract
315.631
Certification of health care providers
315.640
University venture development fund contributions
315.643
Opportunity Grant contributions
315.646
Funding in lieu of tax credit certification
315.650
Higher education savings account or ABLE account contributions
315.653
Forfeiture of prior tax relief
315.675
Trust for Cultural Development Account contributions
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