Understanding Oregon Form OR-ASC other addition and subtraction codes in ProConnect Tax

This article will assist you with understanding Oregon's other addition and other subtraction codes from Schedule OR-ASC, Oregon Adjustments for Form OR-40 Filers.

Additions are items the federal government doesn’t tax but Oregon does.

For detailed information, see Publication OR-17.

Step 1: Complete the table in Section 1 with the code and amount reported for each addition. Each code should only be listed once.
Step 2: Fill in the total of all additions. Enter this amount on Form OR-40, line 8.

Subtractions are items the federal government taxes but Oregon doesn’t.

See below for information regarding commonly claimed subtractions. For detailed information, see Publication OR-17.

Step 1: Complete the table in Section 2 with the code and amount reported for each subtraction that isn’t listed on the return. Each code should only be listed once.
Step 2: Fill in the total of all subtractions. Enter this amount on Form OR-40, line 13.

Adjustments, additions, and subtractions codes

Being that this information is prone to change year to year, it's advised that you review the code tables in Publication OR-CODES.

Subtraction for Tuition and Fees Deduction

This subtraction ended with Tax Year 2020. If needed for preparing a prior year return:

1. Go to Input Return ⮕ State & Local ⮕ Modifications ⮕ OR Modifications.
2. In the Oregon Subtractions section, use the field Other OR Subtractions.
3. Select Fed education credits (tuition, fees deduction) from the drop-down box.
4. Make an entry in the Amount field.

Subtraction for 529 savings plan contribution

Oregon's 529 plan contribution subtraction was sunset at the end of 2019. A carryover of contributions made in a prior year may still qualify for a subtraction in 2020. Lacerte's input fields have changed each year. To enter 529 Oregon College Savings Plan Contributions:

1. Go to Input Return ⮕ State & Local ⮕ Modifications ⮕ OR Modifications.
2. Go to the section Oregon Subtractions.
   • For 2020 and forward: Enter the deposits from 2019 that were carried over in the field Oregon college & MFS 529 savings plan deposit carryforward.
   • For 2019: Enter the contributions that were deposited by 12/31/2019 in the field Oregon college & MFS 529 savings plan deposit.