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Multistate Tax Update — May 2, 2013

Oregon: One of the few remaining states without sales taxes may join the majority

Oregon is one of five states without a state sales tax. However, recent legislative and constitutional proposals would change that. Not only would these measures add a state sales tax, but they would effectively overhaul Oregon’s tax structure.

First, a proposed bill (S.B. 824) would impose a new five percent sales tax. Items excluded from sales tax would include food, water, clothing, drugs, medical equipment, and utilities. The new sales tax bill would also overhaul Oregon’s tax structure in many ways, including: