Changes to the Oregon Department of Revenue Settlement Forms

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Changes to the Oregon Department of Revenue Settlement Forms

By Stephen Behrends, Feb 9 2017 04:27AM

There have been some encouraging changes to the ODR’s settlement forms. A new package for preparing your Settlement Offer became effective starting in January, 2017. The biggest change is that the income calculations for the settlement amount and the time to make the settlement payment are now more favorable to the person proposing a settlement.

The big changes are on page 13. The old form required on line 83 that the settlement amount include your net disposable income times 36. Then, it provided that the maximum time to pay the offer, if accepted, was 6 monthly installments.

This was basically a requirement that you have some way to fund the settlement other than payments since you had to pay 6 times your net disposable income for 6 months after the offer was accepted. This would have been difficult for most people to do on their own.

The new form can be found at:

https://www.oregon.gov/…/…/FormsPubs/form-or-soa_101-157.pdf

It requires on page 13, line 83 that the settlement amount include your net disposable income times 12 instead of 36. Just as significant, the maximum time to pay the offer, if accepted, has been increased to 12 monthly installments instead of just 6.

This means that it might be possible for you to use your disposable income for 12 months to fund the settlement offer.

Of course, there is still the requirement that your offer also include 75% of the equity in your assets.

I have had real problems getting the ODR to accept any settlement offers in the past. I am hopeful that this change in the settlement forms is an indication that the ODR is now going to make its settlement program work for more people.

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