How Would Expanding Oregon's Deduction for Federal Income Taxes Paid Affect Elderly Oregonians?

October 16, 2000 Download PDF

A Distributional Analysis of Ballot Measures 88 and 91

Executive Summary

Oregon is one of nine states that allow taxpayers to claim federal income taxes paid as a deduction on personal income tax forms. Oregon taxpayers can deduct up to $3,000 of federal personal income tax on their Oregon tax returns. There are two initiatives proposing changes to this structure. Measure 88 would increase the deduction of federal income taxes from $3,000 to $5,000. Measure 91 would allow Oregonians to deduct all of their federal personal income tax. This analysis assesses the impact of these two initiatives on elderly taxpayers at different income levels.

Distributional Effects of Measure 91:

Distributional Effects of Measure 88: