• Press Release

The Taxpayer Association of Oregon and FreedomWorks Oregon oppose HB 3618A

  • By: FW Staff
  • 02/22/2007

HB 3618A includes policy changes that result in clear, unambiguous tax increases on almost every Oregon estate that would be able to qualify under the stringent new requirements of the bill.

Example A: If a decedent has $2 million of Natural Resource property and $1 million in other assets, they would owe no tax under current law.

Under HB 3618A, they would owe $82,400 for a tax increase of $82,400.

Example B: If a decedent has $3 million of Natural Resource property and $2 million in other assets, they would owe $99,600 of tax under the current law.

Under HB 3618A, they would owe $209,600, a tax increase of $110,000.

Example C: If a decedent has $5 million of Natural Resource property and $2 million in other assets, they would owe $99,600 under the current law.

Under HB 3618A, they would owe $246,400, a $146,800 tax increase.

Example D: If a decedent has $6 million of Natural Resource property and $4 million in other assets, they would owe $280,400 under the current law.

Under HB 3618A, they would owe $556,800, a $276,400 tax increase.

Example E: If a decedent has $7.49 million of Natural Resource property and $7.49 million in other assets, they would owe $705,200 under the current law.

Under HB 3618A, they would owe $1,104,000, a $398,800 tax increase

The only time the tax table structured in HB 3618A provides a dollar-for-dollar credit equal to what otherwise would be due under current law is when the adjusted gross value of an estate equals exactly $7.5 million in Natural Resource property and it has no other assets.

Example F: If a decedent has exactly $7.5 million of Natural Resource property and no other assets, the tax increase would be $302,400, because the way the table works, the value has to be less than $7.5 million or you go into the phase out, and under current law the full $7.5 million is protected.

Please vote No on 3618 A.

Sincerely,

Russ Walker

Northwest Regional Director

FreedomWorks

Jason Williams

State Director 

Taxpayer Association of Oregon 

 

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