Measure 118 promises Oregonians more money, but it could come at a cost
Been seeing a lot of anti-118 ads lately, specifically talking about the harms to "small business" so I had to look it up myself:
FTA above:
"Measure 118 would slap a 3% tax on a business’s Oregon sales above $25 million, then divvy up the money raised among Oregon’s more than 4 million residents, no matter their age.
An analysis by state revenue officials suggests the policy would reap more than $6.5 billion a year, even though it raises taxes on fewer than 2% of businesses. The measure could then send around $1,600 a year to every Oregonian beginning in 2026 — either via tax credits or direct payments."
So, first, if your business generates more than $25 million in sales ($68,493.15 every day!) - you are NOT a "small business".
2nd, we definitely need reform on business taxes to make sure businesses are paying their fair share.
3rd, I'm not so sure $1,600 direct payments to Oregonians is the best use of those tax dollars. It should be used to reduce our overall tax burden. Maybe increase the standard deduction by $1,600 or some such.
https://www.opb.org/article/2024/10/02/measure-118-universal-basic-income-gives-oregonians-more-money-at-a-cost/Open linkView original on lemmy.world
6 replies
And that cost? Money.
I worked at a few local boutique stores supplying them with IT work. Boutique like they sell art, hand crafted stuff, book stores, local hardware shop, etc.
None of them are breaking past $25 million in revenue.
Many are happy to hit $2-3 million, which gives them enough to pay their staff of 5-10 ppl.
What a weird point. So instead of giving $1600 cash to people (and more to families) this author proposes tax breaks that will be less accessible to people?
I got a mailer this week calling 118 a "blank check for Salem"
That doesn't even make sense
The "blank check for Salem" as noted in the article, is that the State Government can alter the bill once it passes. So that $1,600 a year might be $300 a year, might be $0 a year, nobody knows.
Bad metric. What percentage of sales by dollar amount does it impact? That will provide a much more accurate indication of the real consumer cost impact. If those 2% of businesses by count do 50% of sales volume by $ in the state, that's a problem (in multiple ways tbh)
That just makes me feel like it would help promote small businesses and shopping local. So not a bad thing either.