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The senior citizens that are losing this deduction are not all wealthy people. The tax increase begins with a 22% loss of the Skiptracing apps medical deduction, with an Adjusted Gross income of only $25,000, a monthly income of only about $2,000! That tax increase expands to a 44% loss of the medical deduction, for those with an Adjusted Gross Income of $50,000, a monthly income of only about $4,000. The bill also phases in changes in the age eligibility from 62 to 66 years of age and requires that for those filing a joint return both must have achieved that age before any deduction can be taken. Make no mistake! This bill is designed to eliminate Oregon’s senior medical deduction regardless of the amount of their income. 6.) The bill does provide more than a billion in tax reductions for middle-class pass-through businesses. However, those tax reductions DO NOT begin until Jan 1, 2015! Those tax reductions will NOT apply to sole proprietors Skiptrace who do not have non-shareholder employees. These are Oregon’s self-employed entrepreneurs. The Legislative Revenue Office estimates that this class of taxpayers contributes as much as 15% of all income tax revenue. The entire class of taxpayers is left out of the tax break.

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