Live in Oregon? You'll have to pay income taxes on your Stimulus money!!

While there is no Federal Tax on the Stimulus money and most States won't tax it either, Oregon is another matter. Apparently due to the way Oregon treats the deduction for Federal income taxes paid, you'll end up having to pay taxes on the Federal CoVid Stimulus money you received if you live in Oregon! Here's why -

"Oregon allows a deduction for your total federal tax liability after adjusting for certain federal tax credits."
[link to www.thebalance.com (secure)]

Oregon considers the "stimulus" money to be one of those 'federal tax credits', so the amount you received from Uncle Sam will be DEDUCTED from the amount of taxes you paid on your Federal Tax Return, so in essence, it reduces your State deductions and makes you pay State Taxes on your stimulus money. And since Oregon's State Income tax kicks up to 9% pretty quickly, you'll probably have to pay $108 in State taxes on the $1,200 you received in 2020! Hope you kept some money back to pay it!!
[link to www.tax-brackets.org (secure)]