SALEM, Ore.– One day. That’s all it took for Oregon’s legislature to pass a small business tax cut during a special session.
The session, which was called by Governor Kate Brown, decided the fate of House Bill 4301 which would include sole proprietorship’s as part of the tax break bill approved back in 2013.
State analysts say 12,000 businesses are expected to be eligible for the tax cut but estimates show maybe half will opt-in. For those that do, they could receive a tax break of about $1,900 for the 2018 year that can be put to use in other ways.
“What they do with that tax cut, they could reinvest in their business,” said Chris Allanach, legislative revenue officer. “They could meet some payroll issues. They can dedicate it to whatever their business needs are.”
Allanach says that forecasts for 2018 show that this tax break could cost the state’s general fund $11.3 million dollars. From there, it will increase by 5 percent each year.
In Jackson County, the Chamber of Medford/Jackson County says it doesn’t believe this tax break will have an effect on most businesses in the county.
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