Oregon Approves 1% Local Grocery Tax to Replace Expiring State Levy

OREGON — The City of Oregon has approved a 1% Municipal Grocery Retailers’ Occupation Tax and a matching Grocery Service Occupation Tax, set to take effect January 1, 2026. The taxes will apply to grocery sales and related services, replacing a state grocery tax that is set to expire. The move complies with a new state law allowing municipalities to adopt local versions of the tax.