Background

Given the continued uncertainty in Oregon’s economic outlook related to inflation and tightening monetary policy, and the recognition of significant tax increases since 2019 at both state and local levels, OBI’s Tax and Fiscal Policy Principles will remain largely unchanged. OBI’s priorities will focus on protecting Oregon’s employers and their employees by working to stop all attempts to raise existing taxes, create new taxes, or reduce or eliminate important tax incentive programs. OBI will continue its work to mitigate effects of recent tax increases and work to improve Oregon’s competitive position through pro-active tax, incentive and regulatory modernization.

Similarly, OBI will continue to advocate for clear-headed restraint related to public spending for new or expanded state programs or services. OBI will continue to urge lawmakers to prioritize spending based on current revenue sources (and realistic expectations of future revenue streams). OBI will not support any new or expanded program requiring new or expanded revenue (tax) sources.

 

Policy Principles

Do No Harm: OBI will oppose all temporary or permanent business tax increases. Recognizing the tax and inflationary burdens on individual taxpayers and families, including pass-through business entities, oppose temporary and permanent increases to the Oregon personal income tax, including local taxes.

Spending Restraint: OBI will encourage lawmakers to carefully manage the state’s significant cash reserves. These resources should be carefully dedicated to the maintenance of critical state services in future biennia and used to mitigate any potential revenue shortfalls.

Innovation and Growth: OBI will promote innovation and economic growth. OBI will promote public policies that support job creation, private investment, innovation, employer retention and a positive business climate. We recognize that a thriving private sector is the best way to sustainably support and fully fund Oregon’s critical public sector needs.

Federal Connection: OBI will work to maintain connection to federal tax code, unless there is a good business reason to not connect.

Credits and Incentives: OBI will support tax credits/incentives for economic development and business investment.

Competitiveness: OBI will work to improve Oregon’s competitive position relative to other states.

Tax Consistency: OBI will support alignment of state and local tax structures and compliance requirements.

Corporate Activity Tax: OBI will oppose CAT increases. OBI will support efforts to address adverse impacts on small and mid-size businesses, and support efforts to reduce pyramiding effects.

Estate Tax: OBI will support efforts to reduce Oregon’s estate tax burden.

Kicker: OBI will work to protect Oregon’s personal kicker tax rebate program.

CHAIR:

Rob O’Neill, Moss Adams LLP

Download OBI’s 2024 Policy Principles

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