SB127: Chamber testifies to increase the Corporate Activities Tax (CAT) exemption threshold for small businesses

February 14, 2023

917

ABOUT SB 127

SB 127 is a Senate bill that will increase the exemption in the Corporate Activity Tax (CAT) for small businesses from $1 million to $5 million. This applies to tax years beginning on or after January 1, 2024, and takes effect on the 91st day following adjournment sine die. OSCC will support this legislation.

Legislators need to hear from chambers and businesses on SB 127 and how supporting this bill would support small businesses throughout the state.

Public testimony will be held Wednesday, February 15th at 3pm in the Senate Committee On Finance and Revenue.

HOW TO SHARE TESTIMONY

Submit written testimony
Written testimony should be submitted to OLIS through the online Testimony Submission Form. Be sure to select the committee, hearing date and bill you are submitting testimony for. You can use this link to access the form.

Sign up to testify
You will need to register to give oral testimony. Please use the link provided to sign up. Please plan to keep your comments brief, about 2 minutes. Sign up to testify HERE.

TO: Chair Mike Meek and Members of the Senate Committee on Finance and Revenue
RE: SB127 – Support Small Businesses; Raise the CAT exemption threshold

The Springfield Area Chamber of Commerce stands with Oregon’s small businesses who have demonstrated exceptional resiliency under the most extraordinary pressures of inflation, workforce shortages, and the rising cost of wages and benefits.

We call on you to support SB 127, a fair and timely piece of legislation, that would increase the Corporate Activities Tax (CAT) exemption threshold for small businesses from $1 million to $5 million and provide much needed tax relief to thousands of small businesses across Oregon.

Publicly, the CAT was sold as a tax to be shouldered by big corporations. Data shows that we know it to be a tax on Main Street businesses at a disproportionately high rate carried not only on their gross receipts but also cumulative throughout the CAT costs incurred through the supply chain. The time has come to correct course and allow our small businesses the room they need to breathe, grow, and reinvest in their operation and their employees.

Show your support for local, small businesses and their value to the vibrancy of our communities by voting in favor of SB 127.

Sincerely,