Oregon's Tax Avalanche: Hidden Fees, Income Tax & Why the Kicker Matters

This episode of Oregon D.O.G.E. breaks down Oregon’s overwhelming tax system—from income and estate taxes to hidden fees like paddleboard permits and the corporate activity tax. Senators Daniel Bonham and Mike McLane join Representative Greg Smith to reveal how these taxes impact everyday Oregonians, and why protecting the Kicker refund is more important than ever.

In Episode 4 of the Oregon D.O.G.E. podcast, Senator Daniel Bonham and Senator Mike McLane sit down with Representative Greg Smith for a deep dive into Oregon’s tax code—and it’s more than just income tax.

From gas taxes to paddleboard permits, corporate activity taxes to marijuana and tire taxes, the legislators walk through dozens of fees and taxes that impact Oregonians every day—often without them realizing.

They explain how Oregon ranks:

  • 49th nationally in tax competitiveness
  • 4th highest in income tax rates
  • One of the few states with a death (estate) tax starting at just $1 million
  • And how regulatory costs and taxes are pushing businesses and families out of state

A major focus of the episode is the Kicker—Oregon’s unique tax refund system. Despite voters affirming it in the state constitution, lawmakers regularly float the idea of “keeping the kicker” to fund more government growth. Bonham, McLane, and Smith break down how the kicker protects taxpayers from runaway spending and why its repeal would set a dangerous precedent.

They also explore how Oregon’s growing dependence on federal dollars (35.5% of the state’s revenue) could create major financial instability in the years to come.

Key Topics Covered in this Episode

  • Oregon’s layered tax system and hidden fees
  • The corporate activity tax and why it’s hurting small businesses
  • The estate tax’s impact on family farms and retirees
  • Whether Oregon is affordable for working families
  • The economic science (or lack of it) behind Oregon’s tax brackets
  • How Oregon compares to states like Idaho and Nevada
  • The impact of taxes on rural healthcare and pharmacies
  • What the Kicker refund is—and why it’s under threat

Conclusion

The takeaway? Oregonians are being taxed from every angle—many times without transparency. As the hosts suggest, it’s time to ask: Are we getting value for what we pay? And how do we make Oregon more affordable, competitive, and fair for working families and businesses?

📢 Stay informed. Stay engaged. Watch or listen to the full episode now.

🎥 YouTube: youtube.com/@theoregondoge

🎧 Podcast: theoregondoge.com/podcast