Implementations of sample adaptive offset (SAO) processing a reconstructed picture in an image or video coding system are described. In one example implementation, a method may receive input data associated with the reconstructed picture. The method may also perform multiple stages of SAO filtering operations on a SAO processing unit of at least a portion of the reconstructed picture. Information related to a SAO parameter set that signals one or more SAO types, one or more SAO subtypes, one or more SAO offset values, or a combination thereof, used by the multiple stages of SAO filtering operations are encoded or decoded.