Bill Text: OR SB315 | 2013 | Regular Session | Introduced

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Bill Title: Relating to calculation of retaliatory tax; prescribing an effective date.

Spectrum: Committee Bill

Status: (Failed) 2013-07-08 - In committee upon adjournment. [SB315 Detail]

Download: Oregon-2013-SB315-Introduced.html

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     77th OREGON LEGISLATIVE ASSEMBLY--2013 Regular Session

NOTE:  Matter within  { +  braces and plus signs + } in an
amended section is new. Matter within  { -  braces and minus
signs - } is existing law to be omitted. New sections are within
 { +  braces and plus signs + } .

LC 1502

                         Senate Bill 315

Printed pursuant to Senate Interim Rule 213.28 by order of the
  President of the Senate in conformance with presession filing
  rules, indicating neither advocacy nor opposition on the part
  of the President (at the request of Senate Interim Committee on
  Finance and Revenue)

                             SUMMARY

The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure as
introduced.

  Provides that reduction in corporate excise tax through
application of credit allowed for qualified equity investment is
not considered in calculation of retaliatory tax imposed against
insurer.
  Applies to tax years beginning on or after January 1, 2013.
  Takes effect on 91st day following adjournment sine die.

                        A BILL FOR AN ACT
Relating to calculation of retaliatory tax; creating new
  provisions; amending ORS 731.854; and prescribing an effective
  date.
Be It Enacted by the People of the State of Oregon:
  SECTION 1. ORS 731.854 is amended to read:
  731.854. (1) When by or pursuant to the laws of any other state
or foreign country any taxes, licenses and other fees, in the
aggregate, and any fines, penalties, deposit requirements or
other material obligations, prohibitions or restrictions are or
would be imposed upon insurers domiciled in this state, or upon
the insurance producers or representatives of such insurers,
which are in excess of such taxes, licenses and other fees, in
the aggregate, or which are in excess of the fines, penalties,
deposit requirements or other obligations, prohibitions, or
restrictions directly imposed upon similar insurers, or upon the
insurance producers or representatives of such insurers, of such
other state or country under the statutes of this state, so long
as such laws of such other state or country continue in force or
are so applied, the same taxes, licenses and other fees, in the
aggregate, or fines, penalties or deposit requirements or other
material obligations, prohibitions, or restrictions of whatever
kind shall be imposed by the Director of the Department of
Consumer and Business Services upon the insurers, or upon the
insurance producers or representatives of such insurers, of such
other state or country doing business or seeking to do business
in this state. Any tax, license or other fee or other obligation
imposed by any city, county, or other political subdivision or
agency of such other state or country on insurers domiciled in
this state or their insurance producers or representatives shall
be deemed to be imposed by such state or country within the
meaning of this subsection.
  (2) Foreign reciprocal or interinsurance exchanges filing a
consolidated return for purposes of ORS chapter 317 shall prepare
and file a separate individual retaliatory tax calculation. The
excise tax for the consolidated group shall be allocated for
retaliatory tax purposes among the individual foreign insurers
writing Oregon premiums. The allocation, after excluding the
domestic share as determined by the Director of the Department of
Consumer and Business Services by rule, shall be in the
proportion that the premiums written in Oregon by a foreign
insurer of the group bears to the total premiums written in
Oregon by all foreign insurers in the group writing premiums in
Oregon.
  (3) This section does not apply as to personal income taxes,
nor as to local ad valorem taxes on real or personal property nor
as to special purpose obligations or assessments heretofore
imposed by another state in connection with particular classes of
insurance, other than property insurance; except that deductions,
from premium taxes or other taxes otherwise payable, allowed on
account of real estate or personal property taxes paid shall be
taken into consideration by the director in determining the
propriety and extent of retaliatory action under this section.
  (4) For the purpose of applying this section to an alien
insurer, its domicile shall be determined in accordance with ORS
731.092 and 731.096.
  (5) For the purpose of applying this section to foreign and
alien insurers, the following specifically shall be treated as
taxes imposed by this state:
  (a) The corporate excise tax imposed under ORS chapter
317 { + , without taking into consideration the amount of any
reduction due to the credit allowed under ORS 315.533 + }.
  (b) The assessments imposed under ORS 731.804 made to support
the legislatively authorized budget of the Department of Consumer
and Business Services with respect to the functions of the
department under the Insurance Code.
  (c) The assessments paid by insurers on behalf of their
insureds under ORS 656.612.
  SECTION 2.  { + The amendments to ORS 731.854 by section 1 of
this 2013 Act apply to tax years beginning on or after January 1,
2013. + }
  SECTION 3.  { + This 2013 Act takes effect on the 91st day
after the date on which the 2013 regular session of the
Seventy-seventh Legislative Assembly adjourns sine die. + }
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