The Gaming and Decline of Oregon Corporate Taxes

Executive Summary

Corporations today pay far less in Oregon taxes than they used to — an outcome that did not arrive by accident. Rather, it is largely the result of powerful special interests having manipulated the system to their advantage.

Over the decades, corporate income tax contributions in Oregon have declined dramatically:

Read the full report: The Gaming and Decline of Oregon Corporate Taxes

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The decline of Oregon corporate income taxes is the result of corporations gaming the system. The principal ways they have done so are by obtaining numerous tax subsidies and loopholes at both the state and federal level, by pursuing aggressive tax sheltering strategies, and by taking advantage of new corporate forms largely exempt from corporate income taxes.

Corporate property tax contributions have also declined significantly:

Because taxes are how we pay for schools and other public services that benefit everyone, the decline of corporate taxes has meant that working Oregonians, many of whom are already struggling to make ends meet, must shoulder an ever-increasing share of the load. This trend cannot continue if Oregon communities are to thrive.

The way forward is clear. Corporations doing business in Oregon must contribute more toward the common good. Lawmakers should close loopholes and end wasteful subsidies as well as enact strong corporate disclosure laws to shed light on corporate tax gaming.

Read the full report: The Gaming and Decline of Oregon Corporate Taxes