Revenue Reports

The May 14th economic forecast highlights sluggish growth in the U.S. and Oregon economies, with an elevated risk of recession. Oregon’s GDP growth is forecasted to slow to 0.9% in 2025, marking a decline from previous estimates. However, stronger growth is projected for 2027, in anticipation of trade negotiations and a federal tax cut package.

We are all waiting for the May 14th Revenue Forecast from our State Economist Carl Riccadonna at the Office of Economic Analysis to be presented to the Senate Committee on Finance and Revenue at 8 a.m. The Economist will provide a verbal presentation with slides as well as providing a more complete in-depth report on his view of the world, the U.S. and Oregon’s economic outlook for 2025-27.

House Bill 3049 (introduced) seeks to modify provisions for corporate excise tax exemptions for businesses operating in economically lagging areas. This bill was discussed during an informational session with the House Revenue Committee on 4/15/25 in response to a request for an interim report on the bill from LRO.

House Bill 3049 was introduced at the request of Governor Tina Kotek for Oregon Business Development Department. It seeks to modify provisions for corporate excise tax exemptions for businesses operating in economically lagging areas. While this exemption exists in Oregon currently, the program is believed to be underutilized due to complex eligibility calculations. The new bill provides simplified methods to determine eligibility and employee wage requirements, and limits the amount of exemptions that a single business may claim.

House Bill 2362 aims to implement tiered estate tax exemptions based on the size of the taxable estate. The exemption amount would vary based on the estate's value, and would phase out for larger estates. As a result, this bill would modernize Oregon’s estate tax exemption policy with respect to inflation and appreciation of assets over time.