Economists say Oregon revenue up slightly
Economists say Oregon revenue up slightly now, down later as lawmakers prepare next budget
SALEM, Ore. (AP) -- State economists say Oregon will have an additional $87 million to spend in the two-year budget period that begins in July.
Experts say many taxpayers are pulling investment income into 2012 to avoid potential increases in federal taxes. Corporate income taxes are also coming in slightly higher than the last projection three months ago.
That will give the state an influx of cash this year that can be used in the next budget, but it will also reduce collections in future years.
State Economist Mark McMullen says it's "as likely as not" that the unexpectedly high corporate income tax collections could trigger the corporate "kicker," a tax refund that corporations get when corporate tax income exceeds projections.
McMullen says economic growth is improving a bit but is still slower than typical economic recoveries.
