REI lost money … Oregon taxes you for losing money

By Taxpayers Association of Oregon
OregonWatchdog.com

Photo: Portland REI storefront rammed by cars during a looting on Black Friday.

It’s hard being a business.

In 2021 the massive outdoor shop, REI, scored $97 million in profit … then in 2022 they lost $164 million.

When you lose money, Oregon is one of the very few states that taxes you anyways.

Oregon kicks you when you are down.

Oregon’s 2019’s passed Corporate Activities Tax (CAT) which taxes revenue not profit.  Only 6 other states dare to have this type of tax (also known as gross receipts tax).

This means the CAT tax…

(1) taxes companies during a recession where they are not making a profit.
(2) taxes companies during the start-up phase where they often lose money.
(3) taxes companies if they are struggling during a near-bankruptcy stage.

The fact that the County and City jacked up all kinds of property taxes during the pandemic is a second way politicians tax companies when they are not making a profit.   In 2020, Portland’s business license fee went up by over 30%.  That is yet another way politicians tax a business when they are not making a profit.

REI closed one of their top stores in Oregon this year because they were overwhelmed by theft and crime.   Thieves even drove a car through their front doors to loot the store on the morning of Black Friday.

Politicians greedily got their money while REI was bleeding, now they are getting no money at at all as they exit Portland.

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