Went to Longview / Kelso in fall of ‘08 to pick up an airplane. Strange question when purchasing goods at stores, “Do you live in Washing or Oregon?” Asking why the question I was told that sales taxes are collected differently on on resident vs. the other. Reading this it seems that Oregon is much more “progressive” in their confiscation of wealth.
Is this correct?
Yes, according to the RCW, Oregon residents are exempt from paying sales tax in Washington. Not that many of them are beating feet over to Vantucky Holler to do their weekly shopping....
The real sales tax problem is that Clark County residents avoid as much sales tax as possible by shopping over in Oregon. If you’re paying non-resident income tax for absolutely no gain, why add to your burdens with 8.3% (and rising) in the City of Vancouver? We paid more to Oregon in 2008 on just my wife’s wages, than we did on property taxes on our home, and out property taxes have been horrendous.
Of course, the City of Vancouver is facing a $10 Million Dollar deficit, (which of course is less than a year’s financing for the CRCP).
Portland is VERY progressive in their taxes. They have a “Trimet Tax” that collects Loot Rail funds from every employer in the Tr-county area; Multnomah, Washington and Clackamas Counties (in Oregon).
The payroll and self-employment (Trimet) tax rate is 0.6718% ($6.72 per $1,000 on gross payroll). The rate increased to 0.6818% on January 1, 2010.
What that means is that every single employer in the tri-county area, including self-employed people, pay a quarterly tax on every $1000 of wages they paid. That also includes every Clark County Washington resident who works in the Tri-county area. So if your employer paid you $35,000 in 2010, he will remit a total of $238.63 to Trimet, via the State of Oregon, and they proceed to build their own Loot Rail system with the funds.
(Just for reference, in 2007, Trimet collected less than $90,000 in actual fares on it’s entire system....)
Think of Trimet tax as deferred wages that your employer does not pay to you, but remits to the State based on your wages.
That’s why tolls are a non-starter for anyone over here in Washington who works in Portland. The hidden costs are astronomical and tolls will be a real job-killer because people cannot afford $1300 + of additional tax load just to get to work.
And the word on those tolls is that they will be “variable”. The theory Project Staff has been pushing for two years is that you use tolls as a traffic control device.
Traffic volume too high between 3:00 and 5:00 PM?? No problem, just raise the toll so high that it forces people to cross at a different time. Is that going to make you late to work?? Well!! Your mean old Boss just needs to get with the program and institute “flex hours” or maybe let you work at home via the internet, or some other damned fantasy that they can dream up to justify this nonsense...
Yes. Washingtonians pay no income taxes.
By the way, I live in Longview, Washington.