A new bill would give tax breaks to Oregon homeowners who rent out their vacant rooms.
Under Oregon House Bill 3032, homeowners wouldn’t pay state income tax when collecting rent on rooms in their primary residence. The exemption would apply for revenue of up to $1,000 a month per room.
Tess Fields is the executive director of Home Share Oregon. She said the bill is meant to combat the housing crisis by targeting the state’s 1.5 million vacant rooms.
“We cannot build our way out of this problem. It just makes good sense and good sound policy to incentivize people who are sitting on underutilized housing stock to put it to work.”
Earlier this month, the legislature’s housing committee advanced the bill, and the Joint Committee on Tax Expenditures will now vote on whether to send it to the House floor. Officials haven’t yet estimated the bill’s impact on total tax revenue.
Tim Morris of the Springfield Eugene Tenant Association said HB 3032 has the organization’s hesitant support. Representative Jami Cate, who voted against advancing the bill, cited a lack of clarity around rentals to family members.
