There’s this thing about the kicker…

Oregon has taken a lot of hits in the last ten years. More than three thousand teachers have been laid off, and an additional thousand instructional assistants have been let go, too. Tuition and fees at Oregon’s public universities have increased 3 times faster than inflation since the 2005-2006 academic year, and tuition and fees for community college students have more than doubled. Currently, more than 1,600 families are on the waiting list for Employment Related Day Care. Though housing data is hard to compile, think about this: At the end of 2012, Home Forward (formerly the Housing Authority of Portland) accepted applications for one week, for Section 8 subsidized housing in Portland. They received 21,149 applications and held a lottery for the 3,000 they could add to the waiting list. More than two years later, they still have about 1,000 people on the list.

And yet, with all of these cuts – with teachers getting laid off and our students having the second largest class sizes in the nation, with college tuition becoming more out of reach, and with so many families seeming to never catch a break – with all of the growing evidence that Oregon desperately needs more revenue, Oregon will be giving back $350 million in taxes to satisfy our unique kicker law.

What?!

(more…)

Make the first comment ...

or:
  • (will not be published)

Close the Corporate Zero-Tax Loophole

Oregon has the lowest business taxes in the country. Compared to the amount of corporate profits earned in Oregon, corporations that do business here pay less in taxes than in any other state. One huge reason for this is that the majority of corporations are eligible to pay only minimum income taxes, which are very low. In fact, most corporations paying minimums have a tax bill of only $150 per year. Minimum taxes are higher for corporations that make more sales in the state, but they still average less than 50 cents for every $1,000 of sales. That’s a pittance when you consider the value of public investments that these corporations benefit from, like our roads and an educated workforce.

As low as these minimum taxes are, big corporations still avoid paying them. The Corporate Zero-Tax Loophole (you may have also heard this referred to as the Conway Loophole) allows corporations to avoid paying any taxes. If a corporation’s taxable income is below a certain level, they’re supposed to pay a minimum tax. However, the Oregon Supreme Court ruled that corporations can use tax credits against the minimum tax, in effect reducing tax bills below the minimum – even all the way down to zero.

(more…)

One Response to “Close the Corporate Zero-Tax Loophole”

or:
  • (will not be published)

The Luxembourg Loophole Savings Calculator

Tomorrow is the legislative hearing for one of the bills we’re following closely here at The Sockeye: the Tax Haven Bill, or as we like to call it, the Make Corporations Pay Their Fair Share and Stop Them from Avoiding Billions in Taxes with Off-Shore Accounts Bill.

As Oregon’s population and economy have grown over the years, the amount of revenue collected from personal income and property taxes has grown too. This isn’t necessarily a good thing, though – Oregon’s taxes are regressive, meaning the lower your income, the higher the percentage of it that you have to pay in taxes. While working Oregonians have been paying more in taxes, corporate taxes have stayed flat. This is partially due to the fact that big corporations and the wealthy use every loophole in the book to avoid paying the taxes they owe. Many corporations take advantage of Oregon’s minimum corporate tax – a staggering $150 a year – and our state’s corporate tax rate is the lowest in the country.

(more…)

3 Responses to “The Luxembourg Loophole Savings Calculator”

  1. Nina Council

    So sick of the big corporations not paying their share in taxes, too many loopholes. This needs serious attention, the rich are definately getting richer and poor and middle class getting poorer and poorer. This must change

    Reply
or:
  • (will not be published)