Issue Brief, the 2001 Kicker

Report
May 14, 2001

May 14, 2001: Distributional Analysis of the 2001 Oregon Kicker.

If the amount of Oregon income taxes collected exceeds the state economists' projections (from a forecast two years prior) by two percent or more, the entire excess is returned to the taxpayer. Individuals receive a refund check; corporations receive a tax credit. This policy is commonly called the "kicker" or the "two-percent kicker."

Below is a chart showing the distribution of the 2001 Oregon kicker benefits, based on the May 2001 Oregon Revenue Forecast.

2001 Estimated Kicker by Income Group

--- Approximate Adjusted Gross Income (AGI) of Group Estimated Average 2001 Kicker for Income Group* Percent of Total Kicker to Income Group
Lowest Quintile Below $8,000 $7 0.6%
Second Quintile Between $8,000 and $18,000 $39 3.6%
Middle Quintile Between $18,000 and $32,000 $106 9.8%
Fourth Quintile Between $32,000 and $55,000 $213 19.7%
Top Quintile Above $55,000 $719 66.3%
Top Ten Percent Above $70,000 $1080 49.8%
Top One Percent Above $200,000 $4,433 20.4%
*The average kicker for all returns is $217.
Source: OCPP analysis of May 2001 Revenue Forecast and 1998 ODR Personal Income Tax Statistics.

###

Related Materials

Other Work

June 5, 2001 updated info.

Commentary, March 5, 2001. The Kicker: Permission Granted.