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Oregon's good doctor like every politician - so it seems - talks only about raising revenue not lowering expenditures. The Oregonian's editorial board seems to approve. The sales tax is likely the next method for Oregon to find revenue to keep up with the state's spending. There is never enough money - whether Republican or Democrat - for all the pet projects to build their legacy.
It may start out at 5% raising a $3 Cappuccino to $3.15. Yes a $3.00 Cappuccino in the Pearl. But first it will be the state then the counties and then the cities that will affix their sales tax. In California that $3 Cappuccino would cost $3.23 if it were only the state's 7.75% tax. But drinking that coffee in Berkeley will cost me $3.26. And in Walnut Creek, in the neighboring county, the same coffee will cost me $3.25.
Now the tax is the consumer's burden but the state puts the collection burden on the retail merchant. And coming this Saturday Amazon no longer be sales tax free in California. There is no escape from the tax collectors.
No longer will the price tag reflect the product's cost. The price increase will have no bearing on the quality of the product. It is another (mandatory) jar for your spare change. It is money being handed over to the government with no restrictions or incentives to cut costs.
Despite, as in California, that some of the sales tax revenue would likely come back to Oregon's counties and cites, nothing good can come from a sales tax. Another bureaucracy, more unfettered government spending, and another cost of government to be borne by those who can least afford it.
Think long and hard before you support a sales tax, especially since it will not displace other taxes.
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