House Bill 2281 reduces General Fund revenue by $101.3 million in 2003-05 by modifying the formula that Oregon uses to determine how much of a multi-state corporation’s income is subject to Oregon’s corporate tax. This proposal, which adopts a “single sales factor,” was analyzed in a previous study by OCPP, House Bill 2281B and the Single Sales Factor: An Expensive, Ineffective, and Unnecessary Effort to Change the Business Climate. Since the release of that earlier report, proponents of the single sales factor made additional claims about the impacts of HB 2281 during a Senate debate, and new data on economic growth have been released. This report addresses claims made during the Senate debate and analyzes the implications that the new data have on the likely economic impacts of a single sales factor policy.

Download a copy of this report: New Data Show that House Bill 2281 Single Sales Factor is No “Field of Dreams” for Economic Growth (PDF)