The Tax Foundation

Tax Data

Oregon

The Facts on Oregon’s Tax Climate

Here are some basic facts on Oregon’s tax system and how it compares to other states:

Tax Freedom Day Arrives on April 16 in Oregon
Tax Freedom Day is the day when Americans finally have earned enough money to pay off their total tax bill for the year. In 2008, Oregon taxpayers had to work until April16 to pay their total tax bill, ranking it 32nd highest in the nation. This is one week before national Tax Freedom Day (April 23). The Tax Freedom Days of neighboring states are: Washington, April 29 (ranked 5th nationally); Idaho, April 20 (ranked 19th); Nevada, April 26 (ranked 11th) and California, April 30 (ranked 4th).

Tax Freedom Day has been projected using the most up-to-date economic and budget projections from official government agencies. However, Tax Foundation estimates of average state and local tax rates for 2008 will not be released until later this spring as we await more up-to-date data from various government agencies.
Full study of Tax Freedom Day, nationwide and in each state

Oregon's State/Local Tax Burden Below Average in 2007
Estimated at 10.0% of income, Oregon’s state/local tax burden ranks 37th highest nationally, below the national average of 11.0%. Taxpayers in Oregon pay $3,747 per capita in state and local taxes, and per capita income in the state is $37,356.
Oregon's State-Local Tax Burden, 1970-Present

Oregon's 2008 Business Tax Climate Ranks 10th
Oregon ranks 10th in the Tax Foundation's State Business Tax Climate Index. The Index compares the states in five areas of taxation that impact business: corporate taxes; individual income taxes; sales taxes; unemployment insurance taxes; and taxes on property, including residential and commercial property. Neighboring states ranked as follows: Washington (11th), Idaho (31st), Nevada (3rd) and California (47th).
50-State Comparison of Business Tax Climates (data only)
2008 State Business Tax Climate Index, Fifth Edition (full study)

Oregon's Individual Income Tax System
Oregon's personal income tax system consists of three separate brackets with a top rate of 9% kicking in at an income level of $7,150. That rate ranks 4th highest among all states levying an individual income tax. Oregon's 2005 individual income tax collections were $1,327 per person, which ranks 5th highest nationally.
50-State Table of Individual Income Tax Rates
50-State Table of State Individual Income Tax Collections
50-State Table of State and Local Individual Income Tax Collections Per Capita

Oregon's Corporate Income Tax System
Oregon's corporate tax structure consists of a flat rate of 6.6% on all corporate income. Among states levying corporate income taxes, Oregon's rate ranks 29th highest nationally. In 2006, state-level corporate tax collections (excluding local taxes) were $118.42 per capita, which ranked 34th highest nationally.
50-State Table of Corporate Income Tax Rates, 2000-2008
50-State Table of State and Local Corporate Income Tax Collections Per Capita and Per Household, 2005
50-State Table of State Corporate Income Tax Collections Per Capita, 2006

Oregon Levies No General Sales Tax
Oregon levies no general sales or use tax on consumers, joining Delaware, Alaska, New HampshireMontana as the only states not to do so. Oregon's gasoline tax stands at 25 cents per gallon, which ranks 20th highest nationally. Additionally, Oregon's localities are permitted to levy "local option" taxes on gasoline purchases. Oregon's cigarette tax stands at $1.18 per pack of twenty and ranks 22nd highest nationally. The gasoline tax was adopted in 1919 and the cigarette tax in 1965.
50-State Table of Sales and Excise Tax Rates
50-State Table of State and Local General Sales and Gross Receipts Tax Collections Per Household and Per Capita, Fiscal Year 2005 and

Oregon Property Taxes: Middle of the Pack
Oregon is one of the 37 states that collect property taxes at both the state and local levels. As in most states, local governments collect far more. Oregon's localities collected $3,443,506,000 in property taxes in fiscal year 2004, which is the latest year the Census Bureau published state-by-state property tax collections. At the state level, Oregon collected $15,865,000 in property taxes during FY 2004, making its combined state/local property taxes $3,459,371. That brings its per capita collection to $963 and ranks Oregon's combined property taxes 28th highest nationally.
State property tax collections per capita by state

Federal Tax Burdens and Expenditures: Oregon is a Donor State
Oregon taxpayers receive less federal funding per dollar of federal taxes paid compared to the average state. Per dollar of Federal taxes collected in 2005, Oregon citizens received approximately $0.93 in the way of federal spending. This ranks the state 36th highest nationally and represents a rise from 1995, when Oregon received $0.95 per dollar of taxes in federal spending (35th highest). Neighboring states and the amount of federal spending received per dollar of federal taxes paid were: Washington ($0.88), Idaho ($1.21), Nevada ($0.65), and California ($0.78).
Comparing the amount of federal taxes sent to Washington with the amount of federal spending coming back to the state

Tax Data from The Tax Foundation