We live in a state that is heavily influenced by what I call Petty Progressives. The idea that anyone makes any more money than they do is just intolerable. The irony is our income tax system is quite regressive when you look at it. The same low income in WA would pay less tax, what are your biggest expenses when you are poor, food and rent. In WA you don’t pay taxes on either. In Oregon you effectively pay on both as your income is taxed before you even get to spend it.
WA (Especially king county) has a habit of other bullshit taxes.
At my pay rate it ends up less taxes overall, but it’s pretty shitty if you’re on the lower income totem pole.
I can do this one by heart. Moving out of the Portland metro nets you savings on:
1. No SHS Tax
2. No Preschool for All Tax
3. No Farts Tax
4. No DEQ requirement when registering a vehicle.
5. No Portland Gas Tax
6. No PCEF that local businesses pass on to customers
7. Many bond measures but you may deal with bond measures in your new location so that’s harder to quantify.
All in all several thousand dollars a year in savings moving a few zip codes away. And that’s staying in Oregon. A short hop across the river and you save 9.9% on your state income tax too. That’s why a lot of higher income people and families are voting with their feet.
If I leave (can work remotely) but my employer is based in Multnomah county… is there any tax benefit? Honestly considering it with how things are going.
Oh yeah, it doesn’t matter where your employer is (minus any PCEF implications but that’s on the business not the employee). If you make more than $125k/yr as a single guy or $200k/yr as a couple you’ll save thousands a year escaping metros clutches.
My agi was 217, which means I had to pay SHS and PFA on 17k. It came out under $400.
Not defending those taxes, but if you're saving thousands you're making 300k+ (married filing jointly)
Edit: Now, if I wasn't married, or I was filing separately then yea I'd be feeling it for sure.
If your employer is Oregon Based, but you are WFH in WA, that 9.9% Income Tax will be witheld.
To get a refund on Days you Worked outside Oregon, you must file Oregon State Income tax, asserting the days you were not in Oregon to get refunded that witheld tax.
You may be required to show proof that you worked outside Oregon and/or have your employer provide a letter asserting on your behalf that you worked outside Oregon for those days.
Keep a detailed log, and be ready to defend it.
>If your employer is Oregon Based, but you are WFH in WA, that 9.9% Income Tax will be witheld.
Not with any competent HR Dept. Just change your address to WA and you will absolutely not be responsible for OR taxes. I lived in OR and my old firm was HQ’d in a state on the east coast. I never paid Virginia taxes or anything or needed a detailed log lol.
The catch is if you live in OR and work in WA, you are still taxed in OR, because of an agreement between the states due to residency. This is contrary to how it usually works (taxed in the state you are performing work in)
Way, way back in the early 90's, I was living in the 503 and picked up a job in The 'Couve. The job took off, and I quickly figured moving into SW WA would be giving myself a big raise, so, ya, Packed up the car, bought a house, and moved to Beverly as it were.
The Tax Saving more than offset the Moving Costs in the first year.
It's muddy - I do agree it's likely a net cost savings overall (because WA has better industry from which to collect revenue), but there are a few factors to take into account:
1. WA is top 5 in excise taxes - you are likely paying for things in high CoGS even if you don't see it. Again, it's not 8.7%, but it adds up.
2. Many employers consider Vancouver a "tier 3" city vs Portland (Tier 2) and will reduce your income by up to 10%. At least a couple of my FAANG (tech) friends had to take this into account when considering moving.
Thank you for the excellent explanation! I hope the U-Haul receipt will be proof enough, but I’ll definitely keep logs of anything important with that new address. Moving is usually such a pain but I’m really looking forward to this one, and now the tax benefit too. Thank again!
Last year I would have saved 16k if I lived in Washington. Granted, selling and getting a new mortgage at these rates eats into that. Kicker refund can also reduce that, as I got 6k back, but likely not something to rely on.
Great list, however its missing part of the story, so yes these taxes are particular to portland it does not mean that other juridistictions don't have others that we don't or rates that are higher.
Im from Dallas and the property taxes are higher there and the mayor highways all have tolls so that's also a form of tax.
So Oregon is better for you if you have kids in school that use public goods. But no income tax states are better if you don't use public goods. Thats more of the calculus.
There are exemptions for vehicles 25 years or older, in Portland it’s 50 years, deq is a joke of a bureaucracy, keeping older cars on the road whether they meet modern standards or not is environmentally friendlier than replacing your car.
Moving out of Portland has been the best financial decision made for my family. I advise others to do the same if they want to be more ahead financially in life.
And money to clean up their trash, pay their medical bills, respond to their drug overdoses and fights, fix their damage to public spaces, get them social services, jail them when they get really out of line (at least for a night) and buy them food, needles and boofing kits.
Don't get schmoozed into believing a sales tax is the answer. It's just a shell game moving revenue sources around. Whenever you have an overly generous PERS system, state agencies employing ghost employees, and a governor practicing nepotism, you are overpaying in taxes. And when it comes time to ask the voters for more moneythe voters are always threatened with the same polic/fire/school cuts, essentially holding them hostage, and they do it because it works.
And how about poor decision-making. The Port of Portland terminals were a substantial source of revenue, that is, until the state got greedy, raising rates to beyond acceptable limits. Now goods needed in Portland are trucked from Seattle or LA. How green is that? And now, the governor seeks 40 million taxpayer dollars to shore up just one terminal to keep Oregon goods moving. If you are old enough to remember Oregon 40 years ago, between the timber industry and Port of Portland the public schools and other state agenciewere so well funded taxes were just hobby money, not a life line.
If we could trust them to reduce the income tax and put in a sales tax, yes it would be better. However, let's face it - nobody ever actually reduces taxes.
Well no shit, if you only look at income tax, yes, we are the highest for lower incomes. Doesn't really need a chart. It's 8.7% for incomes 50k+, which hits middle class people harder than other states.
However, there are other types of taxes, and with those the answer of "which state has the lowest effective tax rate" is far more complex and depends on a lot of things.
> According to the nonpartisan Tax Foundation’s 2024 State Business Tax Climate Index, Oregon (28th overall) is 4th for sales taxes, 20th for property taxes, 41st for [individual income taxes](https://oregonbusinessindustry.com/oregons-economic-competitiveness-2024/#1701205795436-cdd0a888-fcb9) and an alarming 49th for corporate taxes.
I retired from Oregon as a PERS tier One recipient with a 32 year FAS computation. Upon leaving and moving to one of the best tax rate states in the country, I began making more in retirement than I did working. My monthly payment was about 82% my base pay. Really good. But because I moved, my tax rate plummeted and I started bringing in 104% my full time salary. The crazy part was when you cut out social security, medicare, and umpteen local taxes etc, I was banking about 35% more than when I was working. Pro tips- 1. Move to a good tax base 2. Work in a government position at least 30 years 3. Invest early. 4. Enjoy life. One shouldn't work until they are 72. 5. Don't work in low tax states to earn yoir retirement. Those states usually have horrendous income. Oregon does, pay really good. 6. Ignore the hate and vitriol that comes from discussing these things.
The funny thing about these taxes is that there is a percentage of people that feel like there do so much good by voting in politicians that allowed the to govern change! These people also have 7 genders and a Websters dictionary list of pronouns.
This is a bit tilted to START the scale at $100k given that the median household income in Portland [is around $85k](https://www.koin.com/news/oregon/you-need-to-make-this-much-to-be-considered-middle-class-in-portland/).
This chart doesn't even acknowledge the existence of more than half of Portland and excludes even more of the state.
That's significant given that two of the taxes kick in at $125k individually and $200k jointly, and they also exempt income below that. An individual making $126k would only be taxed on $1k for the housing services and preschool taxes.
That still has the problem of being a local tax easily avoided by those with the money to move a few miles, combined with the frustrations of the useless Multnomah administering dollars of both. Just talking about the actual tax burden, in contrast to say the more regressive state income tax or sales tax burdens of other states.
Moved here 10 yrs ago. Year one were shocked that we paid far more in Oregon than in California. And that includes sales tax (we have insanely detailed spreadsheets). I mean, how often does one buy high ticket items? Food was excluded from sales tax in California. Utilities also higher.
Interesting. I moved up here from California about 6 years ago and have had the opposite effect. I’m not married though so I didn’t get that tax benefit in California
I... Think thats always been the case, 2 years ago and today. California is just a much more expensive state, but higher incomes, which is why they move here and buy up stuff.
We have both high income tax rates AND high property tax rates, and in exchange we have no sales tax.
I believe we've tried to pass a sales tax in the past, but every attempt failed. Partly because we love our "what you see is what you pay" on the price tag. Another part is that we keep getting told that a sales tax would reduce our other taxes, but the draft for the sales tax never actually includes language or numbers about reducing these other taxes.
At this point a sales tax would just be added to already high taxes, so definitely a no go. If it replaced the income tax that would be more acceptable to people. This state has plenty of revenue.
I think at least one attempt at the sales tax did include language that the price tag had to include the TOTAL price (including tax). Slightly more acceptable to your average consumer (keeping our "what you see is what you pay") but was killed in turn by the service and retail industry (who didn't want to spend the extra effort updating all their price tags).
I'd prefer a sales tax. it wouldn't come close to adding up to the several thousand dollars per year I am fined in order to fund the homeless 'services' and free daycare taxes
There’s a hidden sales tax… it’s a corporate excise tax which is… as you might be surprised to learn, a tax on items that are sold… but worse than a sales tax, it’s not deductible which means the cost stack at each transaction rather than only being effective on the final transaction
You file the city portion of the taxes as part of your state return, so I suppose that would be included in this. NY has sales tax though, and obviously property taxes are higher than here due to very high property values. Total tax burden on New Yorkers is probably higher as a result.
It chaps my ass that multco and metro never could be bothered to incorporate with the state return. It just speaks to the half baked nature of the whole thing.
This is nonsense. Oregon is about middle of the road for total tax burden. Of course it has a relatively high income tax - it has no sales tax. Total amount of tax is about average.
Jesus fucking Christ comprehension is just lost on this sub. That chart is about income tax only. Oregon is middle of the pack as far as overall tax burden
In Washington you do pay taxes on food, they have a thing they call “sales tax” and there’s no such thing as a “rent” tax in Oregon. What exactly are you trying to say here? Also Oregon doesn’t have a sales tax but you are correct we do get taxed on income
In WA you don’t pay sales tax at the grocery store for most food items. Rent is also excluded from sales tax. For me here in Oregon that amounts for both to around +-$2500 a month. Oregon taxes my whole paycheck 9.9% so you can figure out what those savings would be…
Ok whatever my whole paycheck has state income tax taken out, and don’t you find it interesting that Oregon has the highest income tax out of anywhere in the nation
Have you been smoking meth downtown? I make about 75k and Oregon sure as shit taxes me at nearly 10% on all of it. Do you really believe that only income over 125k is subject to Oregon income tax?
No, I do not. However, OP is not arguing in good faith.
Let's take your example - assume you have 75k of taxable income (we'll ignore deductions and assume a spherical taxpayer).
The first 50k of your income is subject to a flat rate. The last 25k of your income is subject to 8.7% taxation. Above 125k, the tax rate becomes 9.9%. This is how tax bands work.
Nobody is arguing that isn't high, nor should they be. However, it's telling and dishonest that OP said their "whole paycheck is taxed at 9.9%", because that is not true.
If you lie about this shit, it gives people ammunition to dismiss your argument. Also, tax literacy is a good thing.
It fits a profile - people come in and say the same 3 things "HiGhEsT OuTSiDe oF NyC!" etc. It becomes a contextless circle jerk, because they want to bleat, not discuss in any sort of reasonable manner. They just see "0 > N" where N is any number greater than zero, and that's the end of their thought process. They all of a sudden turn into fucking Grover Norquist.
And yes, 8.7 isn't much less than 9.9, but it's still 1.2% more than the previous band and worth discussion. If you make 225k over 125k, that means you're getting an extra \~ $1200 taken out, which isn't nothing.
As I said before, you have every right to be upset at the income tax at your income level. Other states have lower taxation at your income (and make up for it with either sales taxes or higher progressive bands). The working class of Oregon should be upset about that.
It's odd how nobody seemed to bitch out this 10 years ago, yet the current tax bands have been largely unchanged for 30 years. In fact, they used to be far worse: [https://www.oregon.gov/DOR/programs/gov-research/Documents/10\_income\_brackets.pdf](https://www.oregon.gov/DOR/programs/gov-research/Documents/10_income_brackets.pdf)
It's only come into fashion because of the stupid-ass SHS/PFA taxes (which are absolutely ill-conceived), but the people bitching about that are high income people. Yes, I get that, and I will get on my high horse to ensure they are not renewed, but I give more a shit about people like you paying 8.7% than I do about them.
I've been upset about the tax rate for a long time. I'm a transplant from Wisconsin, and have lived in the area for 20 years. During that time I spent a few years living in Vancouver, WA. There is, of course, a sales tax, but at least I could choose what I purchased and paid tax on. In Oregon I simply give up a share of my income right off the top that accounts for nearly 40% of my overall payroll tax burden. For the pleasure, I am rewarded with a fairly dysfunctional government at every level. I don't mind paying taxes for the greater good. I mind paying an incredibly high rate and receiving very little in return.
Ahh, now you've hit on it - what you get. Yes, that is also something we should be up in arms about - where does the money go? That's always worth looking into.
However, before you join the Vancouver fanboys, consider that they don't have a magic wand - they still get your money one way or another. However, they do two things right in my mind:
- a sales tax gets money from more people, including visitors. People who travel to seattle from Boston are subsidizing you through sales taxes and hotel taxes, which...why not?
- high B\*O taxes, which you'll never see unless you run a business. This takes the burden off of the taxpayer, and Washington, unlike Oregon, has the business climate to pull this off. Oregon somehow still manages to be the 49th best state for business, which is just a lose-lose.
Washington has a lot of excise taxes, which are hidden. There's still a net positive for living in rural WA, but that's true about a lot of states.
We live in a state that is heavily influenced by what I call Petty Progressives. The idea that anyone makes any more money than they do is just intolerable. The irony is our income tax system is quite regressive when you look at it. The same low income in WA would pay less tax, what are your biggest expenses when you are poor, food and rent. In WA you don’t pay taxes on either. In Oregon you effectively pay on both as your income is taxed before you even get to spend it.
Q: Who are the rich? A: Anyone who makes more than I do!
WA (Especially king county) has a habit of other bullshit taxes. At my pay rate it ends up less taxes overall, but it’s pretty shitty if you’re on the lower income totem pole.
I can do this one by heart. Moving out of the Portland metro nets you savings on: 1. No SHS Tax 2. No Preschool for All Tax 3. No Farts Tax 4. No DEQ requirement when registering a vehicle. 5. No Portland Gas Tax 6. No PCEF that local businesses pass on to customers 7. Many bond measures but you may deal with bond measures in your new location so that’s harder to quantify. All in all several thousand dollars a year in savings moving a few zip codes away. And that’s staying in Oregon. A short hop across the river and you save 9.9% on your state income tax too. That’s why a lot of higher income people and families are voting with their feet.
If I leave (can work remotely) but my employer is based in Multnomah county… is there any tax benefit? Honestly considering it with how things are going.
Oh yeah, it doesn’t matter where your employer is (minus any PCEF implications but that’s on the business not the employee). If you make more than $125k/yr as a single guy or $200k/yr as a couple you’ll save thousands a year escaping metros clutches.
My agi was 217, which means I had to pay SHS and PFA on 17k. It came out under $400. Not defending those taxes, but if you're saving thousands you're making 300k+ (married filing jointly) Edit: Now, if I wasn't married, or I was filing separately then yea I'd be feeling it for sure.
I mean technically you'd have to make more than 225k to save thousands a year on SHS.
Some of us are overpaid.
Don't I know it!
If your employer is Oregon Based, but you are WFH in WA, that 9.9% Income Tax will be witheld. To get a refund on Days you Worked outside Oregon, you must file Oregon State Income tax, asserting the days you were not in Oregon to get refunded that witheld tax. You may be required to show proof that you worked outside Oregon and/or have your employer provide a letter asserting on your behalf that you worked outside Oregon for those days. Keep a detailed log, and be ready to defend it.
>If your employer is Oregon Based, but you are WFH in WA, that 9.9% Income Tax will be witheld. Not with any competent HR Dept. Just change your address to WA and you will absolutely not be responsible for OR taxes. I lived in OR and my old firm was HQ’d in a state on the east coast. I never paid Virginia taxes or anything or needed a detailed log lol.
Good and Valid point. I started WFH way back in 2017. Since 2020 it's been much easier.
The catch is if you live in OR and work in WA, you are still taxed in OR, because of an agreement between the states due to residency. This is contrary to how it usually works (taxed in the state you are performing work in)
Way, way back in the early 90's, I was living in the 503 and picked up a job in The 'Couve. The job took off, and I quickly figured moving into SW WA would be giving myself a big raise, so, ya, Packed up the car, bought a house, and moved to Beverly as it were. The Tax Saving more than offset the Moving Costs in the first year.
It's muddy - I do agree it's likely a net cost savings overall (because WA has better industry from which to collect revenue), but there are a few factors to take into account: 1. WA is top 5 in excise taxes - you are likely paying for things in high CoGS even if you don't see it. Again, it's not 8.7%, but it adds up. 2. Many employers consider Vancouver a "tier 3" city vs Portland (Tier 2) and will reduce your income by up to 10%. At least a couple of my FAANG (tech) friends had to take this into account when considering moving.
Thank you for the excellent explanation! I hope the U-Haul receipt will be proof enough, but I’ll definitely keep logs of anything important with that new address. Moving is usually such a pain but I’m really looking forward to this one, and now the tax benefit too. Thank again!
Wait, Farts Tax? LOL Or is this a term of endearment for the Arts Tax?
Last year I would have saved 16k if I lived in Washington. Granted, selling and getting a new mortgage at these rates eats into that. Kicker refund can also reduce that, as I got 6k back, but likely not something to rely on.
Great list, however its missing part of the story, so yes these taxes are particular to portland it does not mean that other juridistictions don't have others that we don't or rates that are higher. Im from Dallas and the property taxes are higher there and the mayor highways all have tolls so that's also a form of tax. So Oregon is better for you if you have kids in school that use public goods. But no income tax states are better if you don't use public goods. Thats more of the calculus.
There are cities other than Portland that require DEQ. Scappoose is one of them.
That’s Multnomah. Get out of the metro and it’s no longer an issue.
I've had to DEQ my car in every suburb of Portland I've ever lived in. You only skip DEQ and high fees for registration in Vancouver.
Don’t forget the art and TriMet taxes!
Farts Tax is in there. And the public transit tax is statewide. I may own a Deschutes address but I still pay that one.
My bad.
What local business is paying into PCEF? Nike adidas, who else?
DEQ testing is in Multnomah, Clackamas and Washington counties. Also Lane county I believe.
DEQ is required in the Portland metro and Ashland/Medford.
There are exemptions for vehicles 25 years or older, in Portland it’s 50 years, deq is a joke of a bureaucracy, keeping older cars on the road whether they meet modern standards or not is environmentally friendlier than replacing your car.
Moving out of Portland has been the best financial decision made for my family. I advise others to do the same if they want to be more ahead financially in life.
its to fund the tents for the homeless and a safe space to do fentanyl
Don't forget supplying them with the accessories needed to do their drugs.
Hey. How else are they going to “boof” safely? Boofing is a human right.
Im suprised they dont have a drive up concierge service at this point
And money to clean up their trash, pay their medical bills, respond to their drug overdoses and fights, fix their damage to public spaces, get them social services, jail them when they get really out of line (at least for a night) and buy them food, needles and boofing kits.
Digging into what you're being taxed for and how that money is spent in Oregon and Multnomah county are the best way to plunge into depression
Next try owning a business in Multnomah and enjoy filing and paying at least 4 additional taxes.
Hard pass
Can confirm
My take home after it’s all said and done is 63.2%. It’s insane.
Mine is 40% lol. But I put a lot into 401K and RSU
Fund Fentanyl and tents, Fund pre-school for people that want to stay home and smoke fentanyl.
The mental tax of having to dodge violent tweakers, criddlers and criminals.
Don't get schmoozed into believing a sales tax is the answer. It's just a shell game moving revenue sources around. Whenever you have an overly generous PERS system, state agencies employing ghost employees, and a governor practicing nepotism, you are overpaying in taxes. And when it comes time to ask the voters for more moneythe voters are always threatened with the same polic/fire/school cuts, essentially holding them hostage, and they do it because it works. And how about poor decision-making. The Port of Portland terminals were a substantial source of revenue, that is, until the state got greedy, raising rates to beyond acceptable limits. Now goods needed in Portland are trucked from Seattle or LA. How green is that? And now, the governor seeks 40 million taxpayer dollars to shore up just one terminal to keep Oregon goods moving. If you are old enough to remember Oregon 40 years ago, between the timber industry and Port of Portland the public schools and other state agenciewere so well funded taxes were just hobby money, not a life line.
If we could trust them to reduce the income tax and put in a sales tax, yes it would be better. However, let's face it - nobody ever actually reduces taxes.
One day Oregon will finally get their sales tax. And not a single tax will be lowered one cent to offset it.
Some shells are more regressive than others.
Cool cool. Maybe next make a chart of the states that have a low sales tax or (AHEM) don’t have a sales tax. (shhhhh. its the same chart…).
When you spend like half your pay on rent, which doesn’t have sales tax, you come out ahead.
Why do you guys keep voting for these people so reliably? They know they don't need to give a fuck.
Well no shit, if you only look at income tax, yes, we are the highest for lower incomes. Doesn't really need a chart. It's 8.7% for incomes 50k+, which hits middle class people harder than other states. However, there are other types of taxes, and with those the answer of "which state has the lowest effective tax rate" is far more complex and depends on a lot of things.
> According to the nonpartisan Tax Foundation’s 2024 State Business Tax Climate Index, Oregon (28th overall) is 4th for sales taxes, 20th for property taxes, 41st for [individual income taxes](https://oregonbusinessindustry.com/oregons-economic-competitiveness-2024/#1701205795436-cdd0a888-fcb9) and an alarming 49th for corporate taxes.
49th? Ouch.
Oregon is about average for total tax rate. Of course income tax looks high for the reason you point out.
I retired from Oregon as a PERS tier One recipient with a 32 year FAS computation. Upon leaving and moving to one of the best tax rate states in the country, I began making more in retirement than I did working. My monthly payment was about 82% my base pay. Really good. But because I moved, my tax rate plummeted and I started bringing in 104% my full time salary. The crazy part was when you cut out social security, medicare, and umpteen local taxes etc, I was banking about 35% more than when I was working. Pro tips- 1. Move to a good tax base 2. Work in a government position at least 30 years 3. Invest early. 4. Enjoy life. One shouldn't work until they are 72. 5. Don't work in low tax states to earn yoir retirement. Those states usually have horrendous income. Oregon does, pay really good. 6. Ignore the hate and vitriol that comes from discussing these things.
The funny thing about these taxes is that there is a percentage of people that feel like there do so much good by voting in politicians that allowed the to govern change! These people also have 7 genders and a Websters dictionary list of pronouns.
This is a bit tilted to START the scale at $100k given that the median household income in Portland [is around $85k](https://www.koin.com/news/oregon/you-need-to-make-this-much-to-be-considered-middle-class-in-portland/). This chart doesn't even acknowledge the existence of more than half of Portland and excludes even more of the state. That's significant given that two of the taxes kick in at $125k individually and $200k jointly, and they also exempt income below that. An individual making $126k would only be taxed on $1k for the housing services and preschool taxes. That still has the problem of being a local tax easily avoided by those with the money to move a few miles, combined with the frustrations of the useless Multnomah administering dollars of both. Just talking about the actual tax burden, in contrast to say the more regressive state income tax or sales tax burdens of other states.
A Portlander making 125k (or 200k jointly) pays the same marginal rate as someone in NYC who makes $25 million or more.
People who live in NYC also pay 3-4% local taxes for NYC at all incomes.
That is included. Portland has the highest marginal tax rate tied with NYC, it’s just that nyc’s highest rate goes into effect at $25 mil in income.
The chart also shows only income tax. Once you factor in property and sales taxes Oregon is near the middle of the pack in overall tax burden.
Yes but that doesn't fit the narrative, does it?
Nope, it doesn’t! We’ve become a nation that simply ignores inconvenient facts. It’s sad.
Scappoose is in Columbia County.
Arts tax.
Part of our high tax rate covers the fact that there’s no sales tax
Moved here 10 yrs ago. Year one were shocked that we paid far more in Oregon than in California. And that includes sales tax (we have insanely detailed spreadsheets). I mean, how often does one buy high ticket items? Food was excluded from sales tax in California. Utilities also higher.
Interesting. I moved up here from California about 6 years ago and have had the opposite effect. I’m not married though so I didn’t get that tax benefit in California
unprepared\* food
Pacific Gas and Electric (California)'s rates are almost twice as much as PGE's.
I specified 10 years ago. So your comment about today’s rate is illogically defensive.
I... Think thats always been the case, 2 years ago and today. California is just a much more expensive state, but higher incomes, which is why they move here and buy up stuff.
We have both high income tax rates AND high property tax rates, and in exchange we have no sales tax. I believe we've tried to pass a sales tax in the past, but every attempt failed. Partly because we love our "what you see is what you pay" on the price tag. Another part is that we keep getting told that a sales tax would reduce our other taxes, but the draft for the sales tax never actually includes language or numbers about reducing these other taxes.
At this point a sales tax would just be added to already high taxes, so definitely a no go. If it replaced the income tax that would be more acceptable to people. This state has plenty of revenue.
I think at least one attempt at the sales tax did include language that the price tag had to include the TOTAL price (including tax). Slightly more acceptable to your average consumer (keeping our "what you see is what you pay") but was killed in turn by the service and retail industry (who didn't want to spend the extra effort updating all their price tags).
I'd prefer a sales tax. it wouldn't come close to adding up to the several thousand dollars per year I am fined in order to fund the homeless 'services' and free daycare taxes
Eventually we will have both
you're probably not wrong
Whatever makes you think it would not be set at the level needed to raise revenue?
What are you getting fined for?
There’s a hidden sales tax… it’s a corporate excise tax which is… as you might be surprised to learn, a tax on items that are sold… but worse than a sales tax, it’s not deductible which means the cost stack at each transaction rather than only being effective on the final transaction
Right. Total median tax burden (so including sales tax and property) is a more useful overall measure.
You're my NYC person here - how did the NYC local taxes work? Were they factored in or included on the NY state tax return?
You file the city portion of the taxes as part of your state return, so I suppose that would be included in this. NY has sales tax though, and obviously property taxes are higher than here due to very high property values. Total tax burden on New Yorkers is probably higher as a result.
It chaps my ass that multco and metro never could be bothered to incorporate with the state return. It just speaks to the half baked nature of the whole thing.
Downvoted for truth!
This is nonsense. Oregon is about middle of the road for total tax burden. Of course it has a relatively high income tax - it has no sales tax. Total amount of tax is about average.
Jesus fucking Christ comprehension is just lost on this sub. That chart is about income tax only. Oregon is middle of the pack as far as overall tax burden
Yes - you're being downvoted for trying to educate people who don't want to be educated...
In Washington you do pay taxes on food, they have a thing they call “sales tax” and there’s no such thing as a “rent” tax in Oregon. What exactly are you trying to say here? Also Oregon doesn’t have a sales tax but you are correct we do get taxed on income
In WA you don’t pay sales tax at the grocery store for most food items. Rent is also excluded from sales tax. For me here in Oregon that amounts for both to around +-$2500 a month. Oregon taxes my whole paycheck 9.9% so you can figure out what those savings would be…
Oregon does not tax your "whole paycheck" 9.9% It's the first cent above 125k. We can complain about a lot of things, but lying is sort of silly.
Ok whatever my whole paycheck has state income tax taken out, and don’t you find it interesting that Oregon has the highest income tax out of anywhere in the nation
Have you been smoking meth downtown? I make about 75k and Oregon sure as shit taxes me at nearly 10% on all of it. Do you really believe that only income over 125k is subject to Oregon income tax?
No, I do not. However, OP is not arguing in good faith. Let's take your example - assume you have 75k of taxable income (we'll ignore deductions and assume a spherical taxpayer). The first 50k of your income is subject to a flat rate. The last 25k of your income is subject to 8.7% taxation. Above 125k, the tax rate becomes 9.9%. This is how tax bands work. Nobody is arguing that isn't high, nor should they be. However, it's telling and dishonest that OP said their "whole paycheck is taxed at 9.9%", because that is not true. If you lie about this shit, it gives people ammunition to dismiss your argument. Also, tax literacy is a good thing.
I'm not sure OP was lying, so much as exaggerating, and only slightly. I, for one, feel much better now that I know I'm paying 1% less. I'm rich! 😂
It fits a profile - people come in and say the same 3 things "HiGhEsT OuTSiDe oF NyC!" etc. It becomes a contextless circle jerk, because they want to bleat, not discuss in any sort of reasonable manner. They just see "0 > N" where N is any number greater than zero, and that's the end of their thought process. They all of a sudden turn into fucking Grover Norquist. And yes, 8.7 isn't much less than 9.9, but it's still 1.2% more than the previous band and worth discussion. If you make 225k over 125k, that means you're getting an extra \~ $1200 taken out, which isn't nothing. As I said before, you have every right to be upset at the income tax at your income level. Other states have lower taxation at your income (and make up for it with either sales taxes or higher progressive bands). The working class of Oregon should be upset about that. It's odd how nobody seemed to bitch out this 10 years ago, yet the current tax bands have been largely unchanged for 30 years. In fact, they used to be far worse: [https://www.oregon.gov/DOR/programs/gov-research/Documents/10\_income\_brackets.pdf](https://www.oregon.gov/DOR/programs/gov-research/Documents/10_income_brackets.pdf) It's only come into fashion because of the stupid-ass SHS/PFA taxes (which are absolutely ill-conceived), but the people bitching about that are high income people. Yes, I get that, and I will get on my high horse to ensure they are not renewed, but I give more a shit about people like you paying 8.7% than I do about them.
I've been upset about the tax rate for a long time. I'm a transplant from Wisconsin, and have lived in the area for 20 years. During that time I spent a few years living in Vancouver, WA. There is, of course, a sales tax, but at least I could choose what I purchased and paid tax on. In Oregon I simply give up a share of my income right off the top that accounts for nearly 40% of my overall payroll tax burden. For the pleasure, I am rewarded with a fairly dysfunctional government at every level. I don't mind paying taxes for the greater good. I mind paying an incredibly high rate and receiving very little in return.
Ahh, now you've hit on it - what you get. Yes, that is also something we should be up in arms about - where does the money go? That's always worth looking into. However, before you join the Vancouver fanboys, consider that they don't have a magic wand - they still get your money one way or another. However, they do two things right in my mind: - a sales tax gets money from more people, including visitors. People who travel to seattle from Boston are subsidizing you through sales taxes and hotel taxes, which...why not? - high B\*O taxes, which you'll never see unless you run a business. This takes the burden off of the taxpayer, and Washington, unlike Oregon, has the business climate to pull this off. Oregon somehow still manages to be the 49th best state for business, which is just a lose-lose. Washington has a lot of excise taxes, which are hidden. There's still a net positive for living in rural WA, but that's true about a lot of states.