Tag: state government concern with GOP tax plan

States Warn of Budget Crunch Under Republican Tax Plan

The following article by Alan Rappeport was posted on the New York Times website November 22, 2017:

n Oregon, which has one of the highest state income tax rates in the country, roughly 30 percent of taxpayers would see their federal tax bills increase if the tax bill moving through Congress repeals the state and local tax deduction. Credit Amanda Lucier for The New York Times

WASHINGTON — Since getting crushed by the recession a decade ago, the state of Oregon has been on an economic upswing. The jobless rate has dipped below 4 percent from a high of 12 percent in 2009, home values are up and people are flocking to the state.

Net migration accounted for roughly 88 percent of Oregon’s population growth between 2016 and 2017, according to a Portland State University study.

But state officials worry that all the economic progress is about to be undercut by the $1.5 trillion Republican tax plan sailing through Congress. While lawmakers say the plan will boost growth and strengthen the economy, Oregon officials say the bill could have the opposite effect by making the state a less affordable place to live and putting a squeeze on state and local budgets. Continue reading “States Warn of Budget Crunch Under Republican Tax Plan”