OR-FIA-40-N: Schedule OR-FIA-40-N, Oregon Farm Income Averaging for Nonresidents (2025)
Oregon · Oregon DOR · Used for tax years 2025
Schedule OR-FIA-40-N calculates Oregon farm income averaging for nonresidents for 2025 using elected farm income from Oregon sources and tax calculations for 2022, 2023, and 2024. It compares your tax with and without farm income averaging to determine whether averaging reduces y
Who files this form
Schedule OR-FIA-40-N is for nonresidents figuring their 2025 Oregon tax using farm income averaging (FIA). It uses elected farm income from Oregon sources.
The schedule compares tax with and without FIA. If FIA does not reduce your tax, complete your return without it. Do not include this schedule with your Oregon return. Keep it with your records.
What you'll need
Have these records and references available:
- Your name and Social Security number, plus your spouse’s information if applicable.
- Your 2025 Form OR-40-N, including the income, subtraction, Oregon percentage, and taxable income amounts referenced on the schedule.
- Federal Schedule J, line 2a, or Form OR-40-N, line 18S, for your elected farm income from Oregon sources.
- Schedule OR-FIA-COMP computations for base years 2022, 2023, and 2024.
- Your Oregon tax returns for 2022, 2023, and 2024: Form OR-40, OR-40-N, or OR-40-P.
- The 2025 tax rate charts.
If you used FIA for any base year, the form directs you to the instructions for the amounts to enter on lines 15–17. Those instructions were not provided here.
How to file
Do not include Schedule OR-FIA-40-N with your Oregon return. Keep it with your records.
After completing the calculations, compare line 19, tax using FIA, with line 20, tax without FIA:
- If line 19 is less than line 20, enter the line 19 amount on schedule line 21 and on line 46 of your return. Check box 46a on your return.
- If line 19 is not less than line 20, complete your return without using FIA.
Common mistakes
- Including the schedule with your return. The form says to keep it with your records instead.
- Using the usual base-year tax amounts when you previously used FIA. If you used FIA for any base year, follow the instructions for the amounts to enter on lines 15–17.
- Using FIA when it does not reduce your tax. If line 19 is not less than line 20, complete your return without FIA.
- Missing box 46a. If line 19 is less than line 20, transfer that amount as directed and check box 46a on your return.
Questions people ask
Which base years does the 2025 schedule use?
It uses 2022, 2023, and 2024. Lines 11–13 take the recomputed tax for each year from Schedule OR-FIA-COMP.
How do I know whether FIA reduces my tax?
Compare line 19 with line 20. If line 19 is lower, use that amount on schedule line 21 and your return’s line 46, and check box 46a. Otherwise, complete your return without FIA.
Do I send this schedule with my Oregon return?
No. Keep it with your records.
What if I used FIA in a base year?
The form directs you to the instructions for the amounts to enter on lines 15, 16, and 17. The supplied form text does not give those special amounts.