Attention Eugene business owners
If you have a business located in the city limits of Eugene, chances are you have already heard about the City of Eugene Community Safety Initiative, which started to affect employee payroll on January 1, 2021. You may not have heard that the city has now added this tax to self-employed individuals and partnerships that have businesses located in Eugene. Even if you do not have employees, this tax may affect you. Please read the information below, which was provided to local area tax preparers recently. As always, talk to your tax preparer if you are not sure this will affect your business.
COMMUNITY SAFETY PAYROLL TAX/SELF-EMPLOYMENT TAX
The City of Eugene Community Safety Initiative, funded by a Payroll Tax and Self-Employment tax under Ordinance No. 20616, became effective 01/01/2021.
As a reminder, subjectivity for the City of Eugene Community Safety Payroll Tax is based on whether the employer or self-employed person has a physical business location (i.e. rented or owned real property space) within the Eugene city limits. The address finder on the City’s updated Payroll/Self-Employment Tax website will confirm whether the business is within the Eugene city limits, and therefore subject to the tax.
NEW WEBSITE NOW LIVE!
We have recently updated our website to make content easier to access and improve the user experience. Please visit our website at https://www.eugene-or.gov/4281/Community-Safety-Payroll-Tax for tax treatment/subjectivity charts, tax forms and instructions, guides to calculating each component of the tax, and FAQs. If you have previously saved PDF instructions or guides, please navigate to the website document library to ensure the use of the most up-to-date forms and instructions.
SELF-EMPLOYMENT TAX
The first annual Self-Employment Tax return will be due by April 15, 2022 for tax year 2021. The Self-Employment Tax is based on net earnings from self-employment to capture individual owner contributions. All self-employed persons within the city limits of Eugene, regardless of whether or not they have employees, are subject to this tax. Please see our website for instructions on how to register with MUNIRevs, our online tax reporting and payment solution. Self-Employment tax forms, vouchers, and instructions are also available on our website.
TAX PREPARER/TAXPAYER SUPPORT
If there are any subjectivity questions for this payroll tax, please do not hesitate to go to the City’s updated Payroll/ Self-Employment tax website and see the Tax Treatment Charts that have been posted for ease in understanding subjectivity based on the entity’s tax structure. https://www.eugene-or.gov/4281/Community-Safety-Payroll-Tax.
GETTING ASSISTANCE FROM CITY OF EUGENE
The City of Eugene is also available to assist you. If you require additional assistance or information, questions can be sent to CSpayrolltaxHELP@eugene-or.gov. If assistance is required with registration or use of MUNIRevs, please contact support@munirevs.com with “Eugene” in the subject line.