Would you like to pay $284 less in Oregon personal income tax next year? That’s what the average taxpayer may save if Oregon’s constitutional kicker law is allowed to take effect.
The kicker law requires that if actual state revenue for a biennium exceeds the official economic forecast by two percent or more, the entire surplus is returned to those taxpayers who earned it. It now appears that the state will collect $473 million more than projected and thus have to give all that money back to taxpayers, in the form of a 6.7% credit on their tax bill.
Well, not if State Representative Tobias Read of Beaverton has anything to say about it. He’s introduced House Bill 3555 that would suspend the kicker and send all that money to schools and the state’s rainy day fund. The bill requires a two-thirds super majority vote in both houses of the legislature, something that hopefully will be very hard to do.
Read says that his bill “gives us an opportunity to invest in the things that reflect our values as Oregonians….” Apparently, “our values” don’t include things like carrying out the intent of the voters when they put the kicker in the Oregon Constitution. “Our values” apparently also don’t include letting people keep as much of their own money as possible to spend on the things that they think will benefit their own families.
Steve Buckstein is Founder and Senior Policy Analyst at Cascade Policy Institute, Oregon’s free market public policy think tank.