Mayor Wilson and Councilor Zimmerman Propose Tax Cut for Portland's Small Businesses

Mayor Keith Wilson and Councilor Eric Zimmerman want to ease the tax burden on Portland's small businesses by increasing the income threshold for the city's Business License Tax (BLT), a threshold that has not been updated since 2007. Their proposal to raise the gross receipts exemption will be heard by City Council this week.

If approved, the change would take effect next year, cutting taxes for thousands of the city's small businesses and simplifying tax filing by aligning Portland's exemption with the County's existing $100,000 threshold.

"Our smallest businesses need our help," Wilson said. "This change provides meaningful relief and supports the people who are building, creating, and contributing to our local economy every day."

"This proposal lowers taxes for small businesses across our city, giving them more room to reinvest in their storefronts, hire more Portlanders, and grow," Zimmerman said. "Small businesses are a core economic engine for Portland. The ones that stayed through the toughest years deserve relief, and this proposal sends a clear message: Portland is open for business."

The proposal was developed in partnership with the City's Revenue Division and approved by the Council's Finance Committee before being advanced to Council. If adopted, the change would take effect when businesses file taxes for 2026.

The ordinance will be scheduled for a public hearing, where community members and business owners will have the opportunity to provide testimony.