Allows an estate tax exclusion of $7 million. Imposes tax at a flat rate of seven percent. Applies to estates of decedents who die on or after January 1, 2026. Takes effect on the 91st day following adjournment sine die.

Other bills addressing estate taxes are:

SB 124 would allow some reduction in the Oregon estate tax.  Part of this is by adjusting how the tax adjusts to inflation.  The actual amounts in the bill are left blank so the Senate Revenue Committee can discuss options during the current 2025 Legislative Session.

SB 764 will put an “interest” on a family-owned business allowing an exclusion from a taxable estate for the value of the interest.