Oregon Revised Statutes

Or. Rev. Stat. § 307.112 (2026)

Property held under lease, sublease or lease-purchase by institution, organization or public body other than state

✓ current as of May 2026
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      307.112 Property held under lease, sublease or lease-purchase by institution, organization or public body other than state. (1) Real or personal property of a taxable owner held under lease, sublease or lease-purchase agreement by an institution, organization or public body, other than the State of Oregon, or a public university listed in ORS 352.002, granted exemption or the right to claim exemption for any of its property under ORS 307.090, 307.130, 307.136, 307.140, 307.145, 307.147 or 307.181 (3), is exempt from taxation if:

      (a) The property is used by the lessee or, if the lessee is not in possession of the property, by the entity in possession of the property, in the manner, if any, required by law for the exemption of property owned, leased, subleased or being purchased by it; and

      (b) It is expressly agreed under the terms of the lease, sublease or lease-purchase agreement that any tax savings resulting from the exemption granted under this section shall inure solely to the benefit of the institution, organization or public body.

      (2) To obtain the exemption under this section, the lessee or, if the lessee is not in possession of the property, the entity in possession of the property, must file a claim for exemption with the county assessor, verified by the oath or affirmation of the president or other proper officer of the institution or organization, or head official of the public body or legally authorized delegate, showing:

      (a) A complete description of the property for which exemption is claimed.

      (b) If applicable, all facts relating to the use of the property by the lessee or, if the lessee is not in possession of the property, by the entity in possession of the property.

      (c) A true copy of the lease, sublease or lease-purchase agreement covering the property for which exemption is claimed.

      (d) Any other information required by the claim form.

      (3) If the assessor is not satisfied that the tax savings resulting from the exemption granted under this section will inure solely to the benefit of the institution, organization or public body, before the exemption may be granted the lessor must provide documentary proof, as specified by rule of the Department of Revenue, that the tax savings resulting from the exemption will inure solely to the benefit of the institution, organization or public body.

      (4)(a) The claim must be filed on or before April 1 preceding the tax year for which the exemption is claimed, except:

      (A) If the lease, sublease or lease-purchase agreement is entered into after March 1 but not later than June 30, the claim must be filed within 30 days after the date the lease, sublease or lease-purchase agreement is entered into if exemption is claimed for that year; or

      (B) If a late filing fee is paid in the manner provided in ORS 307.162 (2), the claim may be filed within the time specified in ORS 307.162 (2).

      (b) The exemption first applies for the tax year beginning July 1 of the year for which the claim is filed.

      (5)(a) An exemption granted under this section continues as long as the use of the property remains unchanged and during the period of the lease, sublease or lease-purchase agreement.

      (b) If the use changes, a new claim must be filed as provided in this section.

      (c) If the use changes due to sublease of the property or any portion of the property from the tax exempt entity described in subsection (1) of this section to another tax exempt entity, the entity in possession of the property must file a new claim for exemption as provided in this section.

      (d) If the lease, sublease or lease-purchase agreement expires before July 1 of any year, the exemption terminates as of January 1 of the same calendar year. [1977 c.673 §2; 1987 c.756 §20; 1991 c.459 §41; 1991 c.851 §4; 1993 c.19 §3; 1993 c.777 §4; 1995 c.513 §1; 1997 c.434 §1; 1997 c.541 §102; 1999 c.579 §18; 2003 c.117 §1; 2007 c.817 §1; 2009 c.626 §1; 2011 c.655 §1; 2012 c.42 §2; 2013 c.768 §126; 2017 c.554 §1]

Notes of Decisions
Cited in 60 cases (6 in the last 5 years), 1979–2026 · leading case: Erickson v. Dep't of Revenue, 17 Or. Tax 324 (Or. T.C. 2004).
Erickson v. Dep't of Revenue, 17 Or. Tax 324 (Or. T.C. 2004). · cites it 26× “2 AT applied to the county under ORS 307.112 for exemption from property taxation and the exemption was granted.”
Mercy Health Promotion, Inc. v. Dep't of Revenue, 795 P.2d 1082 (Or. 1990). · cites it 20× “ORS 307.112 2 provides a property tax exemption for property rented to an organization which itself would be entitled to an exemption.”
Mercy Health Promotion, Inc. v. Dep't of Revenue, 11 Or. Tax 207 (Or. T.C. 1989). · cites it 12× “090 1 and in section 2 enacted ORS 307.112. The relevant portion of that statute provides: “(1) Real or personal property held under lease or lease-purchase agreement by an institution, organization or public body, other than the State of Oregon, granted exemption or the right…”
United Streetcar, LLC v. Dept. of Rev., 23 Or. Tax 418 (Or. T.C. 2019). “330 (general CIP exemption; declaring property “exempt from taxation for each assessment year”), with ORS 307.112(4) (lease to public body; claim must be filed on or before April 1 preceding “tax year for which the exemption is claimed,” “exemption first applies for the tax year…”
Soc'y of St. Vincent DePaul v. Dep't of Revenue, 14 Or. Tax 47 (Or. T.C. 1996). · cites it 2× “Did the tax authorities engage in misleading conduct and, if so, are they estopped from requiring taxpayer to file a new application for property tax exemption? ORS 307.112 1 provides an exemption from real property taxes for property that is leased and used by a charitable…”
Montessori Sch. of Eugene, Inc. v. Lane Cnty. Assessor, 16 Or. Tax 198 (Or. T.C. 2000). · cites it 3× “The relevant provisions for a school to exempt leased property are set out in ORS 307.112. Most importantly, ORS 307.112(4)(b), 1 in part, specifically dictates: “The exemption shall continue so long as the use of the property remains unchanged and during the period of the lease…”
Pac. States Marine Fisheries Comm'n v. Dep't of Revenue, 206 P.3d 1037 (Or. 2009). · cites it 3× “Shortly after it entered the lease, Pacific Fisheries applied to Multnomah County for a tax exemption under ORS 307.112(1) and ORS 307.090. On September 23, 2004, Multnomah County denied the application based on its determination that Pacific Fisheries is not an exempt…”
Rigas Maja, Inc. v. Dep't of Revenue, 12 Or. Tax 471 (Or. T.C. 1993). “3 ORS 307.112 provides for the exemption of property leased by one exempt organization to another exempt organization.”
White City, Oregon, Water Sys., Inc. v. Dep't of Revenue, 590 P.2d 724 (Or. 1979). “The legislature has also provided in ORS 307.112 for exemptions under certain conditions for property held under a lease or lease-purchase agreement by an exempt institution or other public body other than the state.”
Multnomah Cnty. v. Dep't of Revenue, 13 Or. Tax 384 (Or. T.C. 1995). · cites it 3× “ORS 307.112(4). The county assessor denied taxpayer’s application for a property tax exemption for the tax year 1994-95 because the application for exemption was filed on May 17, 1994, more than 30 days after March 24, 1994.”
Evergreen Aviation & Space Museum v. Dept. of Rev., 22 Or. Tax 1 (Or. T.C. 2014). “Taxpayer points out that ORS 307.112 also can serve as a basis for exemption and the court accepts this position.”
Mater Inv. Co. v. Benton Cnty. Assessor (Or. T.C. 2016). · cites it 13× “Property Tax Exemption The issue presented is whether the subject property lease to Greenbelt qualifies for property tax exemption under ORS 307.112 for the 2014-15 tax year. ORS 307.”
— Or. Rev. Stat. § 307.112(1) — 17 cases
Erickson v. Dep't of Revenue, 17 Or. Tax 324 (Or. T.C. 2004). “2 AT applied to the county under ORS 307.112 for exemption from property taxation and the exemption was granted.”
Pac. States Marine Fisheries Comm'n v. Dep't of Revenue, 206 P.3d 1037 (Or. 2009). “Shortly after it entered the lease, Pacific Fisheries applied to Multnomah County for a tax exemption under ORS 307.112(1) and ORS 307.090. On September 23, 2004, Multnomah County denied the application based on its determination that Pacific Fisheries is not an exempt…”
Mercy Health Promotion, Inc. v. Dep't of Revenue, 795 P.2d 1082 (Or. 1990). “ORS 307.112 2 provides a property tax exemption for property rented to an organization which itself would be entitled to an exemption.”
Ecumenical Ministries v. Dep't of Revenue, 12 Or. Tax 302 (Or. T.C. 1992).
— Or. Rev. Stat. § 307.112(1)(a) — 3 cases
— Or. Rev. Stat. § 307.112(1)(b) — 5 cases
Mater Inv. Co. v. Benton Cnty. Assessor (Or. T.C. 2016). “Property Tax Exemption The issue presented is whether the subject property lease to Greenbelt qualifies for property tax exemption under ORS 307.112 for the 2014-15 tax year. ORS 307.”
— Or. Rev. Stat. § 307.112(2) — 7 cases
Erickson v. Dep't of Revenue, 17 Or. Tax 324 (Or. T.C. 2004). “2 AT applied to the county under ORS 307.112 for exemption from property taxation and the exemption was granted.”
Nw. Danish Found. v. Multnomah Cnty. Assessor, 16 Or. Tax 387 (Or. T.C. 2001).
— Or. Rev. Stat. § 307.112(2)(a) — 1 case
— Or. Rev. Stat. § 307.112(2)(b) — 1 case
— Or. Rev. Stat. § 307.112(3) — 7 cases
Mater Inv. Co. v. Benton Cnty. Assessor (Or. T.C. 2016). “Property Tax Exemption The issue presented is whether the subject property lease to Greenbelt qualifies for property tax exemption under ORS 307.112 for the 2014-15 tax year. ORS 307.”
— Or. Rev. Stat. § 307.112(4) — 5 cases
United Streetcar, LLC v. Dept. of Rev., 23 Or. Tax 418 (Or. T.C. 2019). “330 (general CIP exemption; declaring property “exempt from taxation for each assessment year”), with ORS 307.112(4) (lease to public body; claim must be filed on or before April 1 preceding “tax year for which the exemption is claimed,” “exemption first applies for the tax year…”
Soc'y of St. Vincent DePaul v. Dep't of Revenue, 14 Or. Tax 47 (Or. T.C. 1996). “Did the tax authorities engage in misleading conduct and, if so, are they estopped from requiring taxpayer to file a new application for property tax exemption? ORS 307.112 1 provides an exemption from real property taxes for property that is leased and used by a charitable…”
Multnomah Cnty. v. Dep't of Revenue, 13 Or. Tax 384 (Or. T.C. 1995). “ORS 307.112(4). The county assessor denied taxpayer’s application for a property tax exemption for the tax year 1994-95 because the application for exemption was filed on May 17, 1994, more than 30 days after March 24, 1994.”
Am. Lung Ass'n v. Dep't of Revenue, 14 Or. Tax 92 (Or. T.C. 1997).
— Or. Rev. Stat. § 307.112(4)(A)(a) — 1 case
— Or. Rev. Stat. § 307.112(4)(a) — 5 cases
— Or. Rev. Stat. § 307.112(4)(a)(A) — 2 cases
— Or. Rev. Stat. § 307.112(4)(a)(B) — 4 cases
— Or. Rev. Stat. § 307.112(4)(b) — 3 cases
Erickson v. Dep't of Revenue, 17 Or. Tax 324 (Or. T.C. 2004). “2 AT applied to the county under ORS 307.112 for exemption from property taxation and the exemption was granted.”
Montessori Sch. of Eugene, Inc. v. Lane Cnty. Assessor, 16 Or. Tax 198 (Or. T.C. 2000). “The relevant provisions for a school to exempt leased property are set out in ORS 307.112. Most importantly, ORS 307.112(4)(b), 1 in part, specifically dictates: “The exemption shall continue so long as the use of the property remains unchanged and during the period of the lease…”
— Or. Rev. Stat. § 307.112(5) — 1 case
— Or. Rev. Stat. § 307.112(5)(a) — 4 cases
— Or. Rev. Stat. § 307.112(5)(c) — 1 case
— Or. Rev. Stat. § 307.112(5)(d) — 1 case
— Or. Rev. Stat. § 307.112(l)(b) — 3 cases
Mercy Health Promotion, Inc. v. Dep't of Revenue, 11 Or. Tax 207 (Or. T.C. 1989). “090 1 and in section 2 enacted ORS 307.112. The relevant portion of that statute provides: “(1) Real or personal property held under lease or lease-purchase agreement by an institution, organization or public body, other than the State of Oregon, granted exemption or the right…”
Native Forest Council v. Lane Cnty. Assessor, 17 Or. Tax 30 (Or. T.C. 2001).
Nw. Danish Found. v. Multnomah Cnty. Assessor, 16 Or. Tax 387 (Or. T.C. 2001).
Annotations are extracted automatically from the opinions in the Syfert caselaw corpus and ranked by authority, recency, and treatment. Dots show Syfertize treatment of the citing case itself.