Oregon Public Broadcasting

Corporations and people in upper income brackets would pay more income tax under a pair of bills narrowly approved Tuesday in the Oregon House.  

The measures are a key part of a plan by majority Democrats to balance the state’s budget.  Salem correspondent Chris Lehman reports.

One measure would raise taxes on corporations, and the other would hike income taxes on households earning more than $250,000.

Together the two bills would raise about $730 million over the next two years.  

Republicans said the measures would stifle business and hurt productivity.  But Democrats like Representative Chris Edwards said the new revenue would head off even deeper cuts.

Chris Edwards:  “To discuss compromising public safety and our education system and the safety net for the sake of those that don’t want to pay just a little bit more, is just frankly ridiculous.”

The two bills barely cleared the three-fifths majority required for any tax increase in the Oregon Legislature.  They now head over to the Senate.

The head of the anti-tax group FreedomWorks Oregon is promising an all-out effort to force at least one of the tax increases onto the ballot.

Online:

Oregon House Bill 3405-A

Oregon House Bill 2649-A