December 16, 2017 • By ITEP Staff
The final tax bill that Republicans in Congress are poised to approve would provide most of its benefits to high-income households and foreign investors while raising taxes on many low- and middle-income Americans. The bill would go into effect in 2018 but the provisions directly affecting families and individuals would all expire after 2025, with […]
December 6, 2017 • By ITEP Staff
The House passed its “Tax Cuts and Jobs Act” November 16th and the Senate passed its version December 2nd. Both bills would raise taxes on many low- and middle-income families in every state and provide the wealthiest Americans and foreign investors substantial tax cuts, while adding more than $1.4 trillion to the deficit over ten years. The graph below shows that both bills are skewed to the richest 1 percent of Oregon residents.
November 14, 2017 • By ITEP Staff
The Senate tax bill released last week would raise taxes on some families while bestowing immense benefits on wealthy Americans and foreign investors. In Oregon, 41 percent of the federal tax cuts would go to the richest 5 percent of residents, and 16 percent of households would face a tax increase, once the bill is fully implemented.
November 6, 2017 • By ITEP Staff
The Tax Cuts and Jobs Act, which was introduced on November 2 in the House of Representatives, includes some provisions that raise taxes and some that cut taxes, so the net effect for any particular family’s federal tax bill depends on their situation. Some of the provisions that benefit the middle class — like lower tax rates, an increased standard deduction, and a $300 tax credit for each adult in a household — are designed to expire or become less generous over time. Some of the provisions that benefit the wealthy, such as the reduction and eventual repeal of the estate…
October 4, 2017 • By ITEP Staff
The “tax reform framework” released by the Trump administration and congressional Republican leaders on September 27 would not benefit everyone in Oregon equally. The richest one percent of Oregon residents would receive 58.4 percent of the tax cuts within the state under the framework in 2018. These households are projected to have an income of at least $532,000 next year. The framework would provide them an average tax cut of $42,090 in 2018, which would increase their income by an average of 2.5 percent.
August 17, 2017 • By ITEP Staff
A tiny fraction of the Oregon population (0.4 percent) earns more than $1 million annually. But this elite group would receive 37.0 percent of the tax cuts that go to Oregon residents under the tax proposals from the Trump administration. A much larger group, 44.6 percent of the state, earns less than $45,000, but would receive just 7.0 percent of the tax cuts.
July 20, 2017 • By ITEP Staff
Earlier this year, the Trump administration released some broadly outlined proposals to overhaul the federal tax code. Households in Oregon would not benefit equally from these proposals. The richest one percent of the state’s taxpayers are projected to make an average income of $1,676,800 in 2018.
June 21, 2017 • By Meg Wiehe
This week several states rush to finalize their budget and tax debates before the start of most state fiscal years on July 1. West Virginia lawmakers considered tax increases as part of a balanced approach to closing the state’s budget gap but took a funding-cuts-only approach in the end. Delaware legislators face a similar choice, […]
June 21, 2017 • By ITEP Staff
The CAT Fairness Credit would be a credit on personal income taxes based on family size and income. It would cost about the same as the combined impact of the personal income tax changes and EITC increase, and would target relief to low- and middle-income taxpayers.
June 9, 2017 • By ITEP Staff
Analysis by the Institute on Taxation and Economic Policy (ITEP) shows that, all else being equal, a tax reform package with a CAT Fairness Credit would be more progressive than a tax reform package with an income tax rate reduction.
April 27, 2017 • By ITEP Staff
As Oregon lawmakers consider raising corporate taxes to prevent cuts to schools and other public services, a new report finds that many of the nation’s largest corporations are paying little or nothing in state income taxes across the country. Despite reporting large profits to shareholders, these corporations are paying less to states in income taxes […]
April 17, 2017 • By ITEP Staff
Undocumented Oregonians pay taxes. The millions in taxes they pay to help fund schools and other public services that strengthen Oregon’s economy. Oregon would collect even more tax revenue under comprehensive immigration reform that would open a path to citizenship for undocumented workers. Under such a scenario, these immigrant Oregonians and aspiring citizens would contribute […]
June 10, 2016 • By ITEP Staff
“According to a study titled, “Undocumented Immigrants State and Local Tax Contributions,” by the Institute on Taxation and Economic Policy, undocumented immigrants contribute over $11 billion annually in state and local taxes.” Read more
May 23, 2016 • By ITEP Staff
“New, more fuel-efficient cars have eaten into gas tax revenue. Furthermore, many gas tax rates — including Oregon’s 30-cent levy — have not kept up with inflation. In Oregon, the effective tax rate will fall to less than 24 cents per gallon in inflation-adjusted terms within 10 years, according to the Institute on Taxation and […]
April 28, 2016 • By ITEP Staff
“WHERE OREGON AND WASHINGTON (STATE) DIVERGE: The Seattle Times has a nice primer on how differently the states of Portlandia and grunge rely on taxes. Washington, for instance, collects about four out of every five dollars from a sales tax, the fifth highest in the nation. Oregon, on the other hand, gets a higher percentage […]
October 21, 2015 • By ITEP Staff
Although Oregon has a minimum income tax for corporations, 492 corporations paid less than the minimum in tax year 2012.Some corporations paid nothing at all.When corporations avoid the minimum tax they deprive the state of revenue to invest in schools and other key public structures. Lawmakers should reinstate the corporate minimum tax for all […]
July 13, 2015 • By ITEP Staff
In the absence of a national gasoline tax increase, states have been raising their gas taxes to fund long-deferred road maintenance and transportation projects. “I think what’s happening now is a lot of states are having to play catch-up. They let their infrastructure deteriorate to a point where it’s an issue that can’t be ignored […]
July 1, 2015 • By ITEP Staff
In 1919, Oregon lawmakers were looking for a way to fund road construction and kicked off a national movement when they created the country’s first tax on gasoline. Just over a decade later, every state and the federal government had implemented a gas tax, and it eventually became the most important funding source for the […]
July 1, 2015 • By ITEP Staff
Oregon’s much-anticipated per-mile driving fee, called OReGO, launches today. Instead of paying the normal gas tax embedded in the price of fuel, OReGO drivers will pay 1.5 cents for every mile on the road. The initial public rollout is limited to 5,000 vehicles, but the implications of the program are vast: if all goes well, […]
June 24, 2015 • By Carl Davis
Read this report in PDF form Introduction For years, academics and transportation experts have been discussing the possibility of taxing drivers for each mile they travel on the nation’s roads. This “vehicle miles traveled tax” (VMT tax) could either supplement or replace the existing gas tax as the primary method of funding transportation infrastructure. To […]
June 22, 2015 • By ITEP Staff
Both Congress and state legislatures have been reluctant to increase tax rates. Oregon last raised its gas tax in 2011, while the federal gas tax has been unchanged since 1993. At the same time, transportation construction costs have risen sharply — according to the Institute on Taxation and Economic Policy, they’re up 63 percent since […]
June 15, 2015 • By ITEP Staff
How much do undocumented Oregonians contribute in state and local taxes? A recent report by the Institute on Taxation and Economic Policy (ITEP) estimated that 124,000 undocumented Oregonians paid more than $83 million in state and local taxes in 2012. Read the full report here.
January 21, 2015 • By ITEP Staff
Every state tax system in the country makes income inequality worse, but Oregon’s tax system does so less than most, according to a report released today by the Washington, D.C.-based Institute on Taxation and Economic Policy (ITEP). Read the full report
January 16, 2015 • By ITEP Staff
“A new study by a liberal think tank says Oregon’s tax system is one of the least regressive in the country as the result of the lack of a sales tax and its refundable income tax credit for lower-income citizens. The Washington, D.C. Institute on Taxation and Economic Policy found that only two states — […]
January 15, 2015 • By ITEP Staff
“State taxes are another matter. Anyone who has attended a Revenue Committee meeting in Salem knows how carefully lawmakers examine the “distributional effects” of statewide taxes. Oregon’s Earned Income Tax Credit (EITC) is a good example of what can come from such scrutiny; it not only rewards work but helps to remediate the property taxes […]