Sunday, June 24, 2012

Seattle mayor wants to end employee head tax - Phoenix Business Journal:

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Nickels proposed the $25-per-employee tax in 2006 as one of three elementsx of a package to fund local street repaie andadd sidewalks, bicycle lanes and other features. Repealinf it would reduce funding forthe “Bridgingv the Gap” program by about $4.7 million. “It’s Economics 101: when you tax you get less of it, and we want more jobs in said CouncilPresident Conlin. Reaction from the business communittwas swift. “This tax represents an ‘unwelcome mat’ for business, and it’s past time that the city rolledeit up,” said Kate Joncas, presiden t of the , which opposed the tax from the beginning.
“Taxingf new employees in Seattle sends the wrong message to businesses looking to grow and businesses looking to relocate to our she said. The also supported the repeal. “It sends a cleaer message that elected officials are targetin specific actions to retain and createa job-growinf economy,” said Chamber President & CEO Phil “We applaud Mayor Nickels and Councilmembers Burgesws and Conlin for their leadership and will be workingb with council to see it through.” The employee head tax has becomre a hot issue in this year’s races. At a recentf Downtown Seattle Associationcandidate forum, many candidatesz talked about repealing the tax.
It’s also a relativelyh easy target. The employee head tax, which appliew only to employees who drivee to work most ofthe time, has been bringingt in less money than Meanwhile, the commercial parking tax, which will increasde to 10 percent on July 1, has been bringing in more moneyu than expected. And a nine-year, $365 million property tax levy remaindsin place.

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