Oregon Tax Preparers Report Client Decline Amid Shifting Immigration Policies

Tax preparation offices across Oregon are noticing a quieter season, with some reporting a significant drop in clients, particularly among immigrant communities. This trend mirrors reports from other states and is stirring concern among local small business owners who rely on this annual influx.

“We used to have a line out the door from February through April. This year, it’s been markedly slower,” said Maria Gonzalez, who runs a tax service in Woodburn. She estimates her client volume is down nearly 30% compared to pre-pandemic years. Many preparers attribute the shift to heightened anxiety within undocumented immigrant populations, who are increasingly wary of engaging with any government-adjacent process, including filing taxes.

This decline presents a dual challenge for Oregon. First, it impacts the bottom line for numerous small, often family-run, tax businesses that are staples in many communities. Second, it may affect state and federal tax revenue collection. Many undocumented immigrants have historically filed returns using Individual Taxpayer Identification Numbers (ITINs), contributing to public coffers.

Community advocates in Salem and Portland point to a climate of fear, fueled by national immigration debates, as the primary driver. “When people are scared for their family’s stability, even routine financial actions feel risky,” explained Luis Rivera of a Hillsboro-based immigrant resource center. He emphasizes that filing taxes is legal for ITIN holders and is often crucial for proving state residency.

For Oregon’s economy, the downturn in this niche service sector is a tangible effect of broader policy tensions. As the filing deadline passes, local preparers are left hoping for clarity and stability that will encourage all eligible residents, regardless of status, to participate fully in the civic and economic life of the state.