More than a third of Oregon households are under or near the poverty line. Let me say that again. 40 percent of Oregonians are food insecure, housing insecure or medically insecure, or all three, defined as a family of two under $20,000 or a family of four under $35,000. (Source: www.city-data.com/...)
This is a moral outrage. It is unChristian, unIslamic, unBuddhist, disKantian, unethical, outrageous and unsustainable in a democracy. It is a farce. It is baldface, calculated, manipulative and disgraceful robbery of the poor.
Worse, the Oregon Tax System, based mostly on the Income Tax, (89 percent of the budget) taxes most of these people at a 9 percent Income Tax Rate.
Let me say that again. Most people in Oregon who are under or near the poverty line pay almost one in ten dollars to state income taxes. Meanwhile, those making over $150,000, or those at eight times OVER the poverty level, pay less than 7 percent of their income in State Income Taxes, if that, because of shelters, hedges, offshoring, investment deductions and other tricks and con games of the tax system.
Worse, the Oregon State Tax System is one of three MOST Progressive in the nation. Let me say that again. Oregon is considered to be one of the most Progressive Tax States in the Union. It is far worse in most states, including one of the worst, most Regressive Tax System because of Sales Taxes, the State of Washington to the north. Sales Taxes are always heavily Regressive, and nearly every state has one. Oregon does not. So while our state services are unstably funded, going up and down with every economic cycle, at least we do not levy hugely punishing taxes on food, rents and other consumer items on the people who pay them the most, the poor.
It is no wonder that the insecure of the United States voted for the current elected administration. They are hurting, and each state government is punishing them more for being poor. Instead of getting our revenue from those most able to pay, we get most of our revenues from those LEAST able to feed their families, house their children and pay their medical bills. It is an outrage. It is the seed of anti-government rage among those least able to pay for food and shelter.
I am formally proposing, in every forum I can get an audience for, that Oregon for the first time since the Progressive Era, lower the State Income Tax for those earning 1 dollar to 40,000 dollars to zero. That is right. Lower the taxes on the poor and the near-poor to zero. Unions need to get on board with this before the new administration takes office.
In order to make up for the revenue lost, about half the state budget of 8 billion dollars, we will create three new tax brackets for those at $125,000, $250,000 and $350,000, including Corporate Incomes, and increase these three top brackets to 12, 16, and 32 percent respectively. The Legislature needs to be pressured, even though it is still in the hands of Democrats in both houses, and the governor must see that she must risk her political future in the service of a New Contract with Oregonians. Progressive Income Budgets. Not taxes. Progressive Income Budgeting.
We are now compelled by a toxic and aggressive political reality, a fascist National Government, to accomplish the era of Progressive Taxation, and let it begin here. Democrats, get on board, or prepare to lose again to the anti-government, anti-union and anti-poor screaming heads of the hard right.
We have to gain the votes and the prosperity of the least among us, starting now, or this fever dream of democratic dysfunctionality has no end in sight.