Medical & Dental Practices Bookkeeping in Oregon

Registering to do business in Oregon runs through the Oregon Secretary of State and employer accounts through the Oregon Employment Department. Because Oregon has no sales tax account to maintain, there is one less registration to let lapse than in most states.

Beyond sales tax, Oregon levies the Corporate Activity Tax (CAT) on commercial activity sourced to Oregon, less a partial subtraction for cost inputs or labour, payable by the business. despite the name it is not limited to corporations. Registration is triggered at a lower level of activity than the tax itself, so a business can be required to register while owing nothing. The consequence for your books is direct: the cost-input subtraction means the books have to separate cost of goods and labour cleanly enough to compute it — a chart of accounts that lumps them into general expense makes the return needlessly expensive to prepare. It is registered and filed separately from anything the Oregon Secretary of State handles, and it accrues on revenue rather than on profit — so it is recorded as it builds, not discovered at year end.

Oregon does not levy a statewide general sales tax, so medical and dental practices services are not subject to one here. No sales tax, but the Corporate Activity Tax applies to commercial activity above a threshold and functions like a gross receipts tax.