‘Head tax’ battle reportedly far from over

BY CSA Staff

Seattle repealed its per employee tax for big companies, however corporations, including Amazon, may still have a battle ahead.

The city rescinded its decision to levy a $275 tax per employee, per year, on companies with annual revenue of $20 million or more. However, more head tax programs could be in the works, reported Business Insider.

Seattle blamed an increasing homelessness crisis, on the big boom of office space occupied by corporations, including Amazon, Starbucks, and others. To rectify the situation, in May, Seattle’s City Council sought to impose a head tax, requiring large businesses to pay $275 per employee for the next five years.

According to the report, Amazon pushed back. In addition to threatening to halt construction of a 405,000-sq.-ft. office tower, the e-commerce giant also joined forces with other corporations to “quietly invest hundreds of thousands of dollars” into a signature-gathering campaign, called No Tax on Jobs, for a referendum against the tax on November’s ballot. Efforts forced the city to repeal the tax.

However, big business may need to keep on their game faces. Despite Seattle’s decision, multiple Silicon Valley cities are considering similar taxes, according to Business Insider.

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