OAR 150-314-0277: Payment Secured by Bond, Deposit or Otherwise

The issuance of a warrant to the sheriff to enforce collection of delinquent taxes will be stayed either by paying the amount of assessed taxes, penalties and accrued interest after it becomes due or by securing payment of that amount by bond, irrevocable letter of credit, deposit or otherwise. The bond or irrevocable letter of credit given by the taxpayer must be for an amount not less than the amount of the taxes assessed, plus penalties, plus interest for a reasonable period determined by the Department. The bond must be executed by a surety company which is registered with and under the supervision of the Insurance Commissioner of the State of Oregon; or by two or more individual sureties, each of whom shall be a resident and a householder or freeholder within the state and each of whom shall be worth the sum specified in the undertaking, exclusive of property exempt from execution and over and above all just debts and liabilities. However, the Department may allow more than two sureties to justify severally in amounts less than that expressed in the undertaking, if the whole justification is equivalent to that of two sufficient undertakings. The irrevocable letter of credit must be issued by a commercial bank as defined in ORS 706.005. Any one of the following items, or combination of items acceptable to the Department, equal in amount to the taxes, penalties and accrued interest thereon may be deposited with the Department of Revenue: (1) A deposit of money; (2) A certified check or checks on any state or national bank within the State of Oregon payable to the Department of Revenue; (3) Satisfactory municipal bonds negotiable by delivery, or obligations of the United States Government negotiable by delivery; or (4) Any other security satisfactory to the Department. The Department of Revenue may require additional security whenever in its opinion the value of the security pledged is no longer sufficient to adequately secure the Payment of the taxes, penalties and accrued interest thereon.