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Form OR-CROP Instructions
Crop Donation Tax Credit 2023
Oregon allows a tax credit for crops donated to a gleaning Example: 5,000 pounds of potatoes at $0.10/lb.
cooperative, food bank, or other charitable organization 5,000 × 0.10 = $500 (market value)
engaged in the distribution of food without charge. 15% (0.15) × $500 = $75 (credit allowed)
The organization receiving the donation must have a princi- Don’t fill cents in the credit amount (line 9). You must
pal or ongoing purpose of distribution of food to children or round cents to the nearest dollar amount for the credit that
homeless, unemployed, elderly, or low-income individuals. will be entered on your tax return. For example, $99.49
becomes $99, and $99.50 becomes $100.
The organization must be located in Oregon and be exempt
from federal income taxes under Section 501(c)(3) of the
Internal Revenue Code. How to claim the credit
To qualify for this credit:
Keep Form OR-CROP with your tax records to verify your
• You must be in the business of growing the crop to be donation. If there was a previous cash buyer, you must keep
sold for cash; a copy of an invoice or other statement identifying the price
• The crop must be fit for human consumption; and received for crops of comparable grade or quality.
• The food must meet all quality and labeling standards Individuals, partners, S corporation shareholders, or cor-
imposed by federal, state, or local laws, even though the porations can take the credit. S corporation shareholders or
food may not be readily marketable due to appearance, partners may claim the credit based on their pro rata share
age, freshness, grade, size, surplus, or other condition. of the value of the donated crop. Using code 843, individual
Eligible crops include, but aren’t limited to: filers claim the credit on Schedule OR-ASC or OR-ASC-
NP and corporation filers claim the credit on Schedule
• Bedding plants that produce food; OR-ASC-CORP.
• Orchard stock intended for the production of food; and
Part-year resident and nonresident individuals. You are
• Livestock that may be processed into food for human
allowed the credit subject to the same limitations as a credit
consumption.
allowed to a resident. Prorate the credit by multiplying your
Donated food meeting the above qualifications will meet total credit by your Oregon percentage (Form OR-40-N or
the definition of apparently wholesome food as required for OR-40-P, line 35) to figure the amount you can claim on your
this credit. Schedule OR-ASC-NP.
Carryforward. Your credit can’t be more than your tax liabil-
How much is the credit? ity for Oregon. You can carry forward any unused credit for
the next three years. If the credit carryforward isn’t used
The credit is 15 percent of the value of the quantity of the within three years, it’s lost.
crop donated, computed at the wholesale market price at the
time of donation. The wholesale market price is determined Do you have questions or need help?
by either:
• The amount paid to the grower by the last previous cash www.oregon.gov/dor
buyer of the particular crop; or 503-378-4988 or 800-356-4222
questions.dor@ dor.oregon.gov
• In the event there is no previous cash buyer, a market
price based upon the market price of the nearest regional Contact us for ADA accommodations or assistance in other
wholesale buyer or regional u-pick market price. languages.
150-101-240-1 (Rev. 08-18-23) Page 1 of 1