17/01/2025
They are after the kicker again!!!
Oregon's tax burden is among the highest in the nation. According to a 2024 study by WalletHub, Oregon ranks 23rd in overall tax burden, with residents paying approximately 8.44% of their income toward state and local taxes.
CPA PRACTICE ADVISOR
This includes a top marginal individual income tax rate of 9.9%, placing Oregon among the states with the highest income tax rates.
TAX FOUNDATION
Despite the absence of a state sales tax, Oregon compensates with higher income and property taxes. The state's property tax burden is moderately competitive, though higher than neighboring states like California and Washington.
TAX FOUNDATION
Additionally, Oregon imposes a corporate income tax with rates up to 7.6% and a 0.57% gross receipts tax, contributing to its complex tax structure.
Given this substantial tax burden, many residents find it challenging to meet their financial obligations, including property tax payments. The "kicker" law, which refunds taxpayers when state revenue exceeds forecasts by at least 2%, provides much-needed relief. In the most recent cycle, the state returned surplus funds to taxpayers, yet still managed to increase its budget by over 20%.
TAX FOUNDATION
Eliminating the kicker would remove a critical safeguard that ensures taxpayers aren't overburdened, especially in a state where the tax load is already significant. Maintaining the kicker sends a clear message to politicians: fiscal responsibility and taxpayer relief should remain priorities.
By Taxpayers Association of Oregon OregonWatchdog.com Portland Democrat State Senator Lew Frederick has authored Senate Joint Resolution 15 (SJR 15) which would abolish the people' Kicker Income Tax Refunds. Voters put into the Constitution requiring over-collected surplus tax revenue to be re