Sales Tax Hearing: Ignoring voters with big tax grab to explode spending crisis

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Sales Tax Hearing (Ignoring voters with big tax grab making our spending crisis worse)
By Taxpayer Association of Oregon

Today the Senate Finance & Revenue Committee will be hearing SJR 36 & SB 824 which help advance the steps to create a sales tax in Oregon.   Here why it is a bad idea.

– Oregon voters have rejected a sales tax 9 times.   In the ultimate act of disconnect with the public, the politicians aim to revoke the will of the voters and then hand them the tax bill to pay for what they do not want.

– Sales taxes disproportionately impact the poor & seniors who live on a limited income compared to higher income individuals.

– Ultimately, the issue is about SPENDING and not TAXES, because no tax system imaginable can survive properly when politicians overspend themselves into bankruptcy. Oregon is ranked as the 17th highest spending state in the nation (per capita, state & local total spending). If politicians waste our money despite spending more than 33 other states — imagine how much more they will waste if we spend more than 50 states.   It will never get better if you keep upgrading our money mistakes!

– This sales tax debate comes at a time when Oregon faces a $14 billion government pension PERS debt which leads the public to believe tax reform is nothing more than a gigantic money grab to pay for a government money hole that politicians have no serious plan to fix.

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Posted by at 04:55 | Posted in Uncategorized | 4 Comments |Email This Post Email This Post |Print This Post Print This Post
  • Bob Clark

    It would be nice if Oregon were to abolish the income tax, replacing it with a sales tax in a revenue neutral fashion and placing it in the constitution so as to require super majority for any subsequent changes. This would put Oregon on a better footing economically seeing how Washington (a sales tax only state) is steadily outpacing Oregon economically in terms of per capita income measures for the last decade or more. Producing and working in Washington is actually rewarded much more greatly than in Oregon, and so it should be no surprise, Oregonians ease up on earning income relative to Washingtonians. I know I have. When 34% or more of any extra pay you earn is handed over to the government versus just 25% in Washington (federal rate added), you tend to adjust your work-to-leisure ratio at least a tad. And you also maybe settle into a less demanding (but higher paid) work profession.

    But this tax reform has virtually no chance, as the real end game of the existing dominant government regime in Oregon is to squeeze more out of the flat incomes of Oregonians (with both an income tax and hoped for new sales tax). If you’re Nike or somebody with clout, you get tax stability and certainty, but for the rest of us, “it’s hand over your wallet.”

    I would just settle for keeping tax rates and structures as they currently exist, and this might help pull businesses from California into Oregon.

    • Steve Buckstein

      Bob, I plan to testify today on your suggestion of replacing the income tax with a sales tax. My prepared testimony should be posted on OLIS and at cascadepolicy.org sometime after 1pm today.

  • T. Partee

    For the nth time after nine, sales taxes pose butt as a regressive ding-a-thingy progressive’s oxymoronistas see as domain-ably desirable to support their three legged tripod, in tilt, sustaining their spending drug of choice, governmentuium, burp, ingesting OPM (Other Peoples Money) – yes, acronym rhymes with opium.
    Well nuts! Recall the plot and send the macabre agitators off to the FL Everglades as hors ‘douvres unto the please feed me Burmese Pythons lolly gagging about.

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