1. (1) A taxpayer is eligible to apply for QJCTC certification for a tax year if the taxpayer meets all of the following requirements:

   1. (a) Industry eligibility. The taxpayer's primary business activity during the tax year for which the credit is sought falls within a qualified industry as defined in OAR 123-670-0011. A taxpayer may demonstrate industry qualification by doing one of the following:

      1. (A) Providing the NAICS code used on its most recent federal or Oregon state tax return, Oregon Secretary of State business registration, or Oregon unemployment insurance filing, which must be one of the qualifying NAICS codes listed for the applicable qualified industry in OAR 123-670-0011; or
      2. (B) Submitting a written statement describing how the taxpayer's primary business activity meets the definition of a qualified industry as described in OAR 123-670-0040, including a description of the taxpayer's principal products or services, the share of total receipts or employment attributable to the qualifying activity, and any NAICS code or codes used by the taxpayer.
   2. (b) Attestation regarding eligibility. In all cases, the taxpayer must attest to eligibility for the tax credit. A false or misleading attestation may result in revocation of the certification. OBDD may request additional documentation in support of claimed qualification as part of the application review process.
   3. (c) Creation of net new jobs. The taxpayer must have created one or more net new jobs during the tax year, as calculated under OAR 123-670-0070.
   4. (d) Wage threshold. Each position counted toward net new jobs must be paid an hourly rate of compensation, as defined in OAR 123-670-0010(7), equal to or greater than 150 percent of the applicable Oregon minimum wage under ORS 653.025 for the county in which the employee's primary work location is situated. The wage threshold is evaluated on a look-back basis using the employee's actual hourly rate of compensation paid during the measurement period. A taxpayer may satisfy this requirement by attesting that all counted positions met the wage threshold during the measurement period. OBDD may establish simplified calculation methods by which taxpayers demonstrate compliance, including use of monthly payroll records, quarterly wage reports, or other equivalent documentation as specified in the application form.
   5. (e) Certification. The taxpayer has received written certification of eligibility from OBDD prior to claiming the credit on an Oregon tax return.
2. (2) A taxpayer is not eligible for certification under these rules solely on the basis that the taxpayer provides services, supplies, or other support to a business operating in a qualified industry, if the taxpayer's own primary business activity does not independently fall within a qualified industry as defined in OAR 123-670-0011.
3. (3) A taxpayer that has had a certification revoked under ORS 315.061 and OAR 123-670-0100 may not apply for certification for any tax year subsequent to the tax year for which the certification was revoked.

Statutory/Other Authority

ORS 285A.075

Statutes/Other Implemented

Oregon Laws 2026, Chapter 142 & Oregon Laws 2026, Chapter 50

History

OBDD 9-2026, temporary adopt filed 06/02/2026, effective 06/05/2026 through 12/01/2026