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3 of 3 Premium Clicks used this month SUBSCRIBE Print + Online Subscriber Activation | Register x Forgot Password | Need an Account? e-edition | subscribe | newsletter | deals Classifieds Jobs Autos Real Estate FEATURED » NEWS NOW Central Point teacher pleads not guilty to sex abuse ... Mt. Ashland Ski Area to open Sunday ... Flood watch issued for Sunday in Jackson County ... Central Point teacher pleads not guilty to sex abuse ... Mt. Ashland Ski Area to open Sunday ... Flood watch issued for Sunday in Jackson County ... OTHER VIEWS Corporate tax proposal bad for Oregon Comment MailTribune.com Writer Posted Dec. 8, 2015 at 12:01 AM Posted Dec. 8, 2015 at 12:01 AM » Social News from The (Bend) Bulletin Oregon voters might be asked to approve a major increase in business taxes next year. Yet the measure itself is written to tug at heartstrings and hide the fact that it would be bad for Oregon. The measure would increase the corporate minimum tax on companies with sales of more than $25 million. The change is complicated, but it would include a tax of 2.5 percent on sales of that $25 million and elimination of the tax cap. Moreover, it would send the proceeds, which supporters say will be in the neighborhood of $2.6 billion annually, to schools, health care and senior citizens. What's not to like? Plenty. First, the $2.6 billion doesn't rain down like manna from heaven. That would be $2.6 billion out of businesses that wouldn't have that money to pay workers or invest in improving and expanding their companies. Sales and profits are also two different things. Automobile dealers, for example, make relatively little on each vehicle they sell, and the tax proposed could effectively wipe out most of whatever profit they currently make. Moreover, their ability to increase their profits is limited — it takes more people than you might think to run a car dealership, for example, and other overhead costs are often not within a local dealer's control. Then there's this: While Oregon generally rates well where business tax burdens are concerned, it's not because our direct corporate taxes are low. In fact, according to measurements from the nonpartisan Tax Foundation, our corporate tax rate actually is pretty high by comparison with other states. Our saving grace, the foundation notes, is our lack of sales tax and low property-tax rates. Oregonians have shown little interest in imposing the former, and the property-tax relief movement of the 1990s and subsequent legislation gave us the latter. Taxes aside, Oregon has other things that make the state unattractive for some businesses, among them a relatively poorly educated workforce (think a pathetic high school graduation rate) and a regulatory structure that can be enough to make a grown executive weep. Add it all together, and the only conclusion to draw is simple. This state has work to do to make it a great place to do business, and it wouldn't take much to send some businesses elsewhere. The largest ever corporate tax increase could only make that task far more difficult. MailTribune.com Writer Posted Dec. 8, 2015 at 12:01 AM » Comment or view comments Reader Reaction » STAY INFORMED Email NewsLetter Sign Up Today Sign up for our newsletter and have the top headlines from your community delivered right to your inbox. Southern Oregon Directory Featured Businesses Loading... Business Name address Location, ST | website.com Find Southern Oregon Attractions Bars Restaurants Beauty Salons Entertainment Doctors Medical Specialists Contractors Education Lawn Services Lawyers Shopping Travel Tanning Used Cars Wedding Services ▼ Add your business here + Events Calendar Connect with MailTribune.com Facebook Twitter RSS Back to top Reader Services Reader Services Home Subscriptions Subscriber controls Contact us Submissions Photos Events Letters to the editor Corrections Announcements Obituaries Story ideas Since you asked Alerts Email Alerts RSS Feeds Text Alerts Advertise Media Kit Home Products and services Ad rates Advertising contacts Propel Marketing Mail Tribune Daily Tidings The Nickel Shop Our Valley Blogs Mobile Site Stay Informed Email newsletter Sign Up Today Sign up for our newsletter and have the top headlines from your community delivered right to your inbox. Your privacy is important, read our privacy policy. © Copyright 2015 Local Media Group, Inc. All Rights Reserved. Privacy Policy | Terms of Service | Local Media Group Publications Original content available for non-commercial use under a Creative Commons license, except where noted. MailTribune.com | P.O. Box 1108, Medford, OR 97501