OAR 150-305-0062: Discretionary Penalty Waivers for Information Returns

(1) An employer or other payer, or a representative authorized under ORS 305.230, may request that a penalty assessed under ORS 314.360(4)(a) or 316.202(5)(a) be waived. The department’s decision will be based upon the facts and circumstances in each case. To qualify for consideration of a waiver for penalties in this rule, the employer or other payer must: (a) Submit a written waiver request that explains the reason(s) for: (A) Filing an information return or W-2 after the due date for that return, or (B) Filing an incorrect or incomplete information return or W-2. (b) Meet all filing requirements under ORS 314.360 and 316.202. (2) The waiver request must be received by the department within one year of the date of the department’s written notice of assessment of the penalty. (3) Penalties assessed under ORS 314.360(4)(b) or 316.202(5)(b) are not eligible for waiver consideration. (4) Where applicable, the department will consider waiving penalties under ORS 314.360(4)(a) or 316.202(5)(a) for circumstances beyond the control of an employer or other payer, as described in OAR 150-305-0068. (5) One-time penalty waiver for information returns or W-2s. When an employer or other payer does not qualify for relief under any other section of this rule, the department will consider waiver of the penalty under ORS 314.360(4)(a) or 316.202(5)(a) for one tax period if the employer or other payer has not already received relief under this section for any tax period; and (a) The employer or other payer did not know they were subject to reporting requirements under ORS 314.360(4)(a) or 316.202(5)(a) for which the penalty was imposed; or (b) The employer or other payer has a history of timely filing the type of return or form for which the penalty was imposed. (6) The provisions of this rule apply to discretionary waiver requests received by the department after April 1, 2015.