2022 Form METBIT-20 Instructions

Page 1 of 5, 2022 METBIT-20 Instructions (Rev. 01/22/2023)

General Information

Important Reminders

Note: S corporations should file METBIT-20S.

File and Pay Online and Manage your Business Tax

Accounts at Pro.Portland.gov. Portland Revenue Online

(PRO) allows you to:

• Register your business tax accounts

• Update your business account information

• File a Metro business tax return

• Make payments

• Upload supporting tax pages and documents

• View correspondence mailed to you

• Provide Third-Party Access to your tax preparer

For more information and to create your account, please

visit Pro.Portland.gov.

Businesses Required to File a Metro Supportive

Housing Services Tax Return. Businesses doing business

in or that have income from within the Metro District

jurisdiction who have over $5 million in gross receipts from

both within and without the Metro’s jurisdiction are required

to pay a 1% tax on net business income that is apportioned

to the jurisdiction. To determine if an address is located

within the Metro tax jurisdiction, utilize the tool available at

http://gis.oregonmetro.gov/metromap/.

Filing Deadline. The filing deadline for this return is April

18, 2023. Since the Metro Business Income Tax return

relies on information reported on the federal and/or Oregon

tax return, the due date for the 2022 Form METBIT-20 will

be changed when there is a change to the federal or State

of Oregon due dates.

Extensions. Since the METBIT-20 return relies on the

Oregon Form 20/Form 20-INC tax return filing, the due date

for the METBIT-20 return is granted an automatic one-

month extension to match the due date for the Oregon

corporate return filing. This also applies to the extended

filing due date. The Revenue Division does not generally

allow an extension of time to pay the tax, even if the IRS

allows an extension. The tax balance is due on the original

return due date. The submission of an extension payment

by the original return due date provides an automatic six-

month filing extension in addition to the automatic one

month filing extension already granted. If there is not a tax

balance due but you would like to file an extension, your

federal extension will serve as your Metro extension and a

separate Metro extension will not need to be submitted.

When filing your return on the extended due date, check the

“Extension Filed” box on the return. If no extension payment

was made, please attach a copy of your federal extension

with your return.

Federal and State Tax Pages. Be sure to include copies of

the following federal tax pages (and statements) and

Oregon tax pages (and statements) with your 2022 Form

METBIT-20 business tax return:

• Oregon Form OR-20 or OR-20-INC (including OR-

AP, OR-ASC, and any other Oregon forms and

schedules you have filed) with statements

• Federal Form 1120, pages 1-5

• Federal Form 1125-E

Amended Returns

To amend your 2022 Form METBIT-20, use the form for the

tax year being amended and check the “Amended Return”

box. If the address for the year you are amending has

changed, use your current mailing address, and check the

box indicating the change.

Fill in all amounts on your amended return, even if they are

the same as originally filed. If you are amending to make a

change to additions, subtractions, or credits, include detail

of all items and amounts as well as any carryovers. Please

include a statement explaining what changed from the

original return.

If you change taxable income by filing an amended federal

or Oregon income tax return, you must file an amended

2022 Form METBIT-20 within 60 days of when the

amended federal or Oregon income tax return was filed.

Include a copy of your amended federal or Oregon income

tax return and explain the adjustments made.

Do not amend your 2022 Form METBIT-20 if you amend the

federal return to carry a net operating loss back to prior

years. Metro only allows tax entities to carry net operating

losses forward. Additionally, net operating losses for Metro

Business Income Tax are only generated from the Metro

Business Income Tax return, not from your IRS or Oregon

income tax return.

Metro Supportive Housing Services Business Income Tax

2022 Form METBIT-20 Business Tax Return for Corporations Instructions

Page 2 of 5, 2022 METBIT-20 Instructions (Rev. 01/22/2023)

On the prepayments line of your amended 2022 Form

METBIT-20, enter the net tax as reflected on the original

return or as previously adjusted. Do not include any penalty

or interest portions of payments already made.

Apportionment

Gross income includes all business income including, but

not limited to, gross receipts, service income, interest,

dividends, income from contractual agreements, gross

rents, and gains on sale of business property. Income may

be apportioned only if there is regular business income

outside of Metro. Services performed outside of Metro may

be apportioned based upon the percentage of performance

outside the applicable jurisdiction. Sales of tangible

personal property may be apportioned only if a business

has payroll or property outside the jurisdictions.

Penalty Calculation

You may be subject to penalties for underpaying your

estimated tax, filing a late 2022 Form METBIT-20, and/or

paying your income tax liability after the original due date of

the return.

Although the Revenue Division assesses a late penalty for

both failing to file a 2022 Form METBIT-20 by the due date

and failing to pay the tax by the original due date of the

return, only one of these late penalties will be applied, even

if there is a failure of both requirements. In these cases, only

the late filing penalty is applied.

UNDERPAYMENT PENALTY

You may be subject to a penalty for underpaying your

estimated tax if, by the original due date of the return, timely

prepayments are not made which are either:

• At least 90% of the total tax balance due, or

• 100% of the prior year’s tax liability paid by the

original due date.

If you did not satisfy either requirement, you will be charged

an underpayment penalty of 5% of the unpaid tax, but not

less than $5.

LATE FILING PENALTY

If you do not file your 2022 Form METBIT-20 return by the

original due date, file an extension with the Revenue

Division by the original due date, or include a copy of your

federal extension with your return when you file by the

extended due date, the following penalties will apply:

• 5% of the amount of the total tax liability if the failure

to file is for a period less than four months.

• An additional penalty of 20% of the total tax liability

if the failure to file is for a period of four months or

more.

• An additional penalty of 100% of the total tax liability

of all tax years if the failure to file is for three or more

consecutive tax years.

No late filing penalty is due if a timely extension is filed with

the Revenue Division and a 2022 Form METBIT-20 is filed

by the extended due date, or a copy of the federal extension

is included with the return and the ‘Extension Filed’ box is

checked.

LATE PAYMENT PENALTY

Your 2022 income tax must be paid by April 18, 2023, even

if you requested an extension to file your 2022 Form

METBIT-20. If you do not pay your tax by the original due

date, the following penalties will apply:

• 5% of the amount of the tax that was not paid by the

original due date.

• An additional penalty of 20% of the unpaid tax must

be added if the failure to pay is for a period of four

months or more.

• An additional penalty of 100% of the unpaid tax

liability of all tax years if the failure to pay is for three

or more consecutive years.

Interest Calculation

LATE PAYMENT INTEREST

Interest is calculated at 10% per annum (.00833 multiplied

by the number of months). Calculate your interest from the

original due date to the 15th day of the month following the

date of the payment.

QUARTERLY UNDERPAYMENT INTEREST

Quarterly underpayment interest will be due if estimated

payments were required and were underpaid. Calculate

your quarterly underpayment interest at a rate of 10% per

annum from the due date of each quarterly estimated

payment to the original due date of the tax return to which

the estimated payments apply.

The amount of underpayment is determined by comparing

the 90% of the current total tax liability amount to quarterly

estimated payments made prior to the original due date of

the tax return.

Page 3 of 5, 2022 METBIT-20 Instructions (Rev. 01/22/2023)

There is no interest on underpayment of quarterly estimated

payments if:

• The total tax liability of the prior tax year was less

than $1,000;

• An amount equal to at least 90% of the total tax

liability for the current tax year was paid in

accordance with Section 7.05.190; or

• An amount equal to at least 100% of the prior year's

total tax liability was paid in accordance with

Section 7.05.190.

Metro Supportive Housing Services

Business Income Tax Return Filing

Instructions

Rounding. Round off cents to whole dollars on your return

and schedules. To round, drop amounts under 50 cents and

increase amounts from 50 to 99 cents to the next dollar. For

example, $1.39 becomes $1 and $2.50 becomes $3. If two

or more amounts must be added to figure the amount to

enter on a line, include cents when adding the amounts and

round off only the total.

General Return Information

Tax Year. Enter the beginning and ending dates of your tax

year. For calendar year filers, this would be 01/01/2022 to

12/31/2022.

Account #. If you have already registered for an account

and know your account number, enter your full Metro Tax

Account number beginning with SHB followed by ten digits.

This information can be found on letters the Revenue

Division has mailed to you related to your Metro business

tax account. If you do not know your number, leave field

blank.

FEIN. Enter the Federal Employer Identification Number

(FEIN) of the entity filing with the Oregon Department of

Revenue.

NAICS. Enter the NAICS (North American Industry

Classification System) code for your business.

Entity Filing in Oregon. Enter the legal name of the entity

filing with the Oregon Department of Revenue. If you have

merged or reorganized, enter the new filing entity’s name

and check the box that the entity has merged or

reorganized.

Mailing Address. Enter your current mailing address. If the

address for the year you are filing has changed, check the

box indicating the change.

Name of Parent Corporation, if Applicable. If you file

under a different entity for the Oregon Department of

Revenue than the IRS, enter the name of the parent

company here.

FEIN of Parent Corporation. If you file under a different

entity for the Oregon Department of Revenue, please enter

the FEIN of the parent corporation here.

If Merged/Reorganized, Enter Name of Previous

Business. If you have checked the Merged/Reorganized

box in the Entity Filing in Oregon field, enter the FEIN of the

previous business here.

FEIN of Previous Business. If you have checked the

Merged/Reorganized box in the Entity Filing in Oregon field,

enter the FEIN of the previous business here.

Initial Return Box. Check this box if this is the first Metro

Business Income Tax return filed by this entity.

Final Return Box. Check this box if this is your final return.

Attach an explanation.

Amended Return Box. Check this box if you are filing an

amended return and have already submitted an original

return. You must include a copy of your original return with

your amended return. If you also filed amended federal and

state returns, please include a copy (see “Amended

Returns” under “General Information” for additional

information).

Extension Filed Box. Check this box If you have filed a

federal or state extension, or if you submitted an extension

payment by the original due date of the return. Include

required copies of federal extension as applicable (see

“Extensions” under “General Information” for additional

information).

Part I - Gross Income and Apportionment

Line 1. Metro Gross Income. Metro gross income includes

income from all business activity within Metro (see

Apportionment instructions above).

Line 2. Total Gross Income. Total gross income includes

income from all business activity everywhere, as reported

on your federal Form 1120.

Line 3. Apportionment Percentage. Line 1 divided by line

2. Round to 6 decimal places. This line cannot be more than

1.0.

Page 4 of 5, 2022 METBIT-20 Instructions (Rev. 01/22/2023)

Part II – Metro Business Income Tax

Line 4. Net Income or (Loss) from Form OR-20. Net

income or loss is the net income before apportionment

reported on Oregon Form OR-20 or OR-20-INC. Enter the

net income reported on Oregon Form OR-20 or OR-20-INC,

line 5.

Line 5. Add-Back of Deductions Not Allowed. In

determining income, no deduction is allowed for the

following: taxes based on or measured by net income, the

federal built-in gains tax, or the City of Portland Clean

Energy Surcharge. If amounts for these items have been

deducted to arrive at the net income reported on line 4, the

amounts must be added back on line 5.

Line 6. Other Additions or Subtractions. Add or subtract

any Oregon modifications related to business income.

Subtract any pass-through income (or add any loss) from

entities already taxed by Metro. Attach a schedule for these

modifications.

Line 7. Subject net income. Enter the sum of line 4 through

line 6.

Line 8. Metro apportioned net income. Multiply line 7 by

metro apportionment calculated on line 3.

Line 9. Net Operating Loss Deduction. Enter your net

operating loss (NOL) from previous years as a negative

number here. NOLs are allowed only if reported on prior

Metro Business Income Tax returns. This line cannot be

greater than 75% of line 8. Any unused NOL may only be

carried forward for five years.

Line 10. Income Subject to Tax. Enter Metro Apportioned

Net Income (line 8) less your Net Operating Loss Deduction

(line 9).

Line 11. Metro Business Income Tax. Enter your Income

Subject to Tax (line 10) multiplied by the 1.0% Metro

Business Tax. The minimum tax due is $100. If the amount

of line 8 multiplied by .01 is less than $100, enter $100.

Line 12. Prepayments. Enter the total amount of

prepayments as a negative number. Include all quarterly

estimated payments, extension payments, and any credits

carried forward from prior years.

Line 13. Penalty. Enter all late and/or underpayment

penalties that apply, if known. Leave blank if unknown or not

applicable. If additional penalty is owed but was not

calculated at the time of return submission, you will receive

a bill by mail.

Line 14. Interest. Enter any quarterly underpayment

interest and/or interest due on taxes not paid by their due

dates, if known. Leave blank if unknown or not applicable.

If additional interest is owed but was not calculated at the

time of return submission, you will receive a bill by mail.

Line 15. Balance Due or (Overpayment). Sum of lines 11

through line 14. Determine if a balance due or an

overpayment exists for your Metro business income tax.

You may send a check with your return. Make the check

payable to ‘Metro SHS Tax.’ For fastest payment

processing, pay online by logging into your PRO account at

Pro.Portland.gov.

Part III – Tax Due/Refund

Line 16. Overpayment. If line 15 is negative, this is the

amount you have overpaid. If you have an overpayment,

you may choose to have the balance refunded to you or

credited forward to the next year. If no election is made, any

overpayment will be refunded to you.

Line 16a. Refund. Enter the amount of the overpayment

you would like refunded to you on this line. If you would like

direct deposit of your refund, you must file your return online

at Pro.Portland.gov. If your return is filed on paper, you will

receive your refund in the mail by check.

Line 16b. Credit Carryforward. Enter the amount of the

overpayment you would like to apply as an estimated

payment for tax year 2023 on this line. This election is

irrevocable.

Line 17. Amount Due. If line 15 is positive, a balance is

due. Pay by April 18, 2023, to avoid late payment penalties

and interest. You may pay by check or online at

Pro.Portland.gov. Make your check payable to ‘Metro SHS

Tax.’

Part IV – Signature

Signature. An authorized representative of the business

must sign and date the return and provide a contact email

address and phone number. By signing the return, you

acknowledge, under penalty of false swearing, that the

information on the return is true, correct, and complete.

Preparer Signature. Anyone who prepares, advises, or

assists in preparing personal income tax returns in

exchange for compensation of any kind must be licensed to

prepare Oregon returns and must sign the return.

Page 5 of 5, 2022 METBIT-20 Instructions (Rev. 01/22/2023)

Mailing Instructions

Mail your completed return and all required supporting tax

pages in the same envelope.

• If a PAYMENT is included with return:

Revenue Division – Metro SHS Tax

PO Box 9250

Portland OR 97207-9250

Make check payable to Metro SHS Tax

• If NO PAYMENT is included with return:

Processing – Metro SHS Tax

111 SW Columbia St, Suite 600

Portland, OR 97201-5840