Oregonians expected to get large “kicker” tax credit

SALEM, Ore. (AP) – Personal and corporate income tax collections were higher than forecast and Oregonians are expected to benefit from the biggest kicker, or tax credit in more than a decade.

State economists presented their revenue and economic outlooks at a Capitol hearing room on Wednesday, saying all industries are expected to grow in Oregon this year and next, with construction, professional and business services and leisure-hospitality leading the way.

Second-quarter personal income tax collections were up $85.7 million, or 3 percent, from the June 2018 forecast. Second-quarter corporate income tax collections were up $21.4 million, or 6 percent, from that forecast.

A personal kicker of $686 million and a corporate kicker of $208 million are projected. Both kickers would be the largest dollar amounts seen in more than a decade.

The state moved several years ago away from a “kicker check” refund and instead to a credit on the year’s taxes, partly as a cost-saving move.