Oregon sales tax on invoices (2026 guide)

Oregon is one of the few states with no general sales tax. The Oregon Department of Revenue says plainly that Oregon doesn't have a general sales or use/transaction tax — so when you invoice a customer in Oregon, there's no sales tax line to add, and no state sales tax permit to apply for.

That doesn't mean taxes never come up. Larger businesses may owe Oregon's Corporate Activity Tax, lodging providers collect lodging taxes, and if you sell to customers in other states, their sales tax rules can apply to you. This guide covers all three.

Oregon tax rates that can affect an invoice

For almost every freelancer and small business, the first two rows are what matter: 0% on goods and services sold to Oregon customers. The lodging taxes only apply if you rent out short-term accommodations — the Department says whoever collects payment for the stay is responsible for collecting and remitting the state lodging tax, and cities and counties may also have their own lodging tax.

Are any services taxable in Oregon?

No — with no general sales tax, Oregon doesn't tax consulting, design, development, repairs, cleaning, landscaping or any other service through a sales tax. The same goes for products: a sale of goods to an Oregon customer carries no general sales tax.

The Corporate Activity Tax (CAT)

The CAT is not a sales tax, and it isn't something you add as a tax line on an invoice. It's a tax on a business's Oregon commercial activity. According to the Department of Revenue:

• a business (or unitary group) with $750,000 of Oregon commercial activity must register for the CAT;
• a business with more than $1 million of Oregon commercial activity must file a return and pay; and
• the tax is $250 plus 0.57% of taxable Oregon commercial activity over $1 million, after a 35% subtraction for cost inputs or labor costs (whichever is greater).

The CAT law doesn't prohibit you from recovering the cost in your prices. But the Department notes that the total price you charge — including any amount you add to cover the CAT — counts as commercial activity and may be subject to the CAT itself.

Do you need to register?

For sales tax in Oregon: no. There's no Oregon sales tax permit, because there's no Oregon sales tax.

For the CAT: register once your Oregon commercial activity reaches $750,000, and file and pay once it's over $1 million.

For other states' sales tax: maybe. The Department of Revenue points out that the Wayfair decision does affect Oregon businesses selling online into states that require remote sellers to collect their sales tax. If you meet another state's threshold, you register with that state and collect its tax on sales delivered there. The Department suggests contacting the other state directly or getting legal advice about your obligations.

What an Oregon invoice should show

• your business name and address,
• the customer's name and address,
• a unique invoice number and the invoice date,
• a description and price for each item or service,
• the total due, and
• your payment terms.

For an Oregon customer, leave the sales tax line off (or at 0%). Don't add a "CAT" or "sales tax" surcharge as a tax — if you build the CAT into your prices, it's part of the price. If you're registered in another state and the customer is there, add that state's tax as a separate line.

Resale and exemption certificates

Because Oregon has no sales tax, you won't need to collect resale certificates from Oregon customers. The question usually runs the other way: when an Oregon business buys goods for resale from a seller in a sales-tax state.

For that, the Department of Revenue publishes Form 150-800-002, Oregon Business Registry Resale Certificate. An Oregon buyer purchasing goods outside Oregon for resale can give it to an out-of-state seller as evidence that the buyer is registered to do business in Oregon. The seller may accept it in place of a resale certificate, but isn't required to — some states require their own form or more information. Give the form to the seller; don't file it with the Department.

If you're registered to collect tax in another state, follow that state's rules for exempt customers. See how to invoice a tax-exempt customer.

A worked example

Say you're a web developer in Portland and you invoice a client in Eugene:

• $3,000 for building a website, and
• $400 for a month of maintenance.

There's no Oregon sales tax, so the tax is $0.00 and the invoice total is $3,400.00. Our web developer invoice template works as-is — just leave the tax rate at 0%.

Now suppose you also sell a taxable product to a customer in a state where you've registered, at that state's combined rate of 6% (a hypothetical rate for this example). On a $500 sale, the tax is $500 × 6% = $30.00, and that invoice total is $530.00. The rate, and whether the item is taxable at all, come from the other state's rules — not Oregon's.

Selling to customers in other states

Since the Supreme Court's 2018 decision in South Dakota v. Wayfair, states can require out-of-state sellers to register and collect their sales tax once sales into the state pass a threshold the state sets. Being based in Oregon doesn't exempt you. If you sell across state lines regularly, track your sales by state, check each state's threshold and which of your products or services it taxes, and use that state's rate on those invoices.

Common mistakes on Oregon invoices

• Adding sales tax for Oregon customers — there's no Oregon sales tax to collect.
• Listing the CAT as a tax line — it's a tax on your business, and anything you add to recover it counts as commercial activity.
• Assuming Oregon status protects out-of-state sales — other states can require you to collect once you pass their threshold.
• Forgetting lodging taxes if you rent short-term accommodations, including the state rate rising to 2.75% on January 1, 2027.

You can check out-of-state amounts with our sales tax calculator.

Quick checklist for Oregon invoices

• ✅ No sales tax on invoices to Oregon customers
• ✅ CAT registration at $750,000 of Oregon commercial activity; filing above $1 million
• ✅ Sales tracked by state for out-of-state customers
• ✅ Registered in any state where you've passed its threshold, using its rate
• ✅ Form 150-800-002 ready when buying inventory for resale out of state