Reaction from Oregon business about the punishing new corporate taxes to be signed into law by Governor Klulessgoski. The previous corporate minimum was $10. Sounds low, right? You’d think the Democrats would increase it a little, right? Nope. They went for the whole class warefare-we-hate-the-productive enchilada by increasing the corporate minimum to a sliding scale based on gross receipts. Sales. Without regard as to whether the business has actually made money. The apparatchiks at the state get the first dollar. Before the employer. Before the employee. Before the vendors. Before anyone.
Reactions from various news stories from business:

“I just don’t see the rational argument for taxing gross receipts,” said Bruce Hoevet, who operates Rogue Regency Inn. “Just because you are acquiring income, doesn’t mean the revenue will equal bottom-line results.” “We were hoping for something in the $300 to $500 range, as opposed to gross receipts,” Hoevet said. “We’ve already had to cut out $148,000 in labor costs in 2009. The people who say we’re just paying our fair share of the bill aren’t taking into account when people are put out of work. There are unemployment benefits and health care.

Brad Hicks, chief executive officer of the Chamber of Medford/Jackson County, said the cost to business is staggering. “Apparently, Oregon closed for business last week,” Hicks said. “The folks who wanted this thing passed did a masterful job of giving Oregonians the impression that corporations don’t pay taxes and that is flat wrong. I have already spoken to member companies and this is going to cost particular businesses here anywhere from $15,000 to $100,000, in addition to what they are paying now.”

The edu-union-crats say this means schools will get their hands on $400 million of that money to “save” huge cuts. Not if businesses move or, worse, go out of business.

Att his gas station, DeHart said, he had $600,000 left over after paying suppliers for fuel. His company used that money to make loan payments, cover payroll and overhead costs and pay himself a salary of about $70,000.

He said his business hasn’t shown a profit in five years. As a result, he’s paid the $10 minimum — an amount he agrees is far too low. But under the Legislature’s changes, DeHart said he would pay a $7,500 minimum tax. That’s money he won’t pay in salaries or invest in his business, he said.

“Sales are not the same as profits,” DeHart said. “Taxing companies that make no money is like dumping the tax burden on a minimum-wage earner.”