Sales tax debate hits Oregon again

Sales tax debate hits Oregon again

Gov. Kitzhaber is gathering business and political leaders to discuss a sales tax in Oregon.

Oregonians proudly point to the fact that their state is one of just five in the country without a sales tax. In reality, residents and visitors pay more than $1 billion a year in sales taxes. They do when they buy gasoline, rent a car, or stay in a hotel room.

And don’t forget beer and cigarettes. All told, these so-called “selective sales taxes” cost Oregonians — yes Oregonians — an average of $377 a year, according to the Oregon Legislative Revenue Office.
But that’s small potatoes compared to what a broad based sales tax would cost. At say, 5 percent, the state could expect more than $4 billion a year in new revenue.

Read more at OPB.