Led by the math-challenged Oregon Home Builders Association, the business community is whining about a modest increase in the $10 corporate minimum tax that two-thirds of Oregon’s corporations pay.
We don’t know who those 31 were, and we don’t know how they got down to $10 despite their $1 million or more in profits (more about the need for corporate disclosure in a later post).
But we do know that in 2006, over 5,000 profitable companies got away paying just $10 in taxes, and 216 profitable corporations operating in Oregon used tax subsidies – tax "credits" – to reduce their income taxes to the $10 minimum.
Both 5,000 and 216 are big numbers of corporate tax freeloaders when you realize that a mere 136 corporations paid half of total Oregon corporate income taxes that same year.
Representatives of the corporate loophole lobby trying to repeal the legislature’s balanced tax package don’t like to talk about the $10 corporate minimum tax.
And when the corporate loophole lobbyists do mention the $10 corporate minimum tax they try to give the impression that only unprofitable companies get away paying just $10.
But the data shows that there’s thousands of examples of corporations, and tens of millions in profits, escaping all but the $10 corporate minimum tax.
Like most Oregonians, I will vote “yes” for tax fairness if the loophole lobby gets the measure on the ballot.
I will vote “yes” to raise the $10 corporate minimum tax so that profitable corporations start paying more toward their fair share on their profits.