
Seattle repeals tax on companies like Amazon - uptown
https://apnews.com/74bb33316915407ea73c8e4938802532
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mstrum
Good, this was a terrible choice made by an inept city council without the
backing of the people. Other ways need to be explored before throwing more
money at the system. Now people need to actually work on the problem instead
of fundraising.

~~~
prolikewhoa
Without the backing of the people? Can you cite evidence of this? Also, why
was it a terrible choice?

I keep hearing this same exact argument parroted everywhere from Twitter,
Facebook, to now HN.

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mstrum
Because it wasn't voted on [by the people], the council just came up with it
and voted themselves (a whole 9 people). Enough people signed the petition
recently to make it come to a vote, hence them repealing it today - because
the people didn't want it.

~~~
prolikewhoa
The signatures would've created a referendum to vote on it in November. Now
there is no chance to vote on it. Also, the city council is voted in by the
people as representatives -- it's literally how our "democracy" works.

Canvassers even lied to people to get them to sign. No surprise from scummy
business owners like Saul Spady of Dicks Burgers who now enjoys a booming
restaurant industry after campaigning AGAINST the $15 min wage. That guy is
truly a dick.

[https://www.thestranger.com/slog/2018/06/06/27190451/audio-a...](https://www.thestranger.com/slog/2018/06/06/27190451/audio-
and-video-show-canvassers-spreading-false-information-about-the-head-tax)

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NathanKP
Raising money to help the homeless is needed, but I really don't understand
why Seattle felt it needed an extra tax on businesses. In my mind:

1\. Cost of living and property values go up in the city

2\. Higher property values mean more property taxes go into the coffer

3\. Spend some of that money on helping those negatively effected by rising
cost of living and property value

Instead Seattle wanted both the extra property tax income and an extra
business tax. Seems sketchy to me. Where is all that property tax money going
and how much is being wasted that they can't put together $48 million to help
the homeless?

Especially when the city is already going to be raising property taxes even
more on top of the added base value of the properties. In some places the
property tax is going up as much as 30% and on average 17% in 2018! King
County is going to get $5.6 billion in property tax in 2018. In comparison $48
million is a tiny number.

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reverius42
Higher property values (overall) doesn't necessarily mean more property taxes
go into the coffer. Higher specific property values (relative to your
neighbors) means you pay a larger slice of the pie. Though Seattle going up
even faster than the rest of the market certainly helps conflate the two, the
total tax burden is somewhat fixed in dollar amount (at the state or county
level, I don't remember which), so if everybody's property values go up
uniformly 10% each, everybody's taxes only go up by the actual tax revenue
increase for that year (typically much lower than 10%). What really gets you
is if your property value goes up faster than the average at the county/state
level.

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NathanKP
Hmm I understand what you are saying. However, as you said the overall tax
revenue increase is definitely happening, conflating the two.

In 2017 the county made $4.8 billion in property taxes, and in 2018 it will be
$5.6 billion. So they are already getting $800 million more in property taxes
in 2018. That's a lot more money. It just feels like they don't want to spend
the extra money they're already getting effectively, and instead want to ask
for more on top.

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maym86
This is depressing. We can't even get $275 per full-time worker each year
(previously reduced from $500) from some of the worlds richest companies to
pay towards the homelessness situation they have helped create. Jeff Bezos
wants to build houses on the Moon. How about helping out here on Earth first.

[https://www.theregister.co.uk/2018/05/03/bezos_billions_spac...](https://www.theregister.co.uk/2018/05/03/bezos_billions_space/)

~~~
klipt
I think economists generally agree that a flat per-head tax is regressive and
bad policy.

If you're going to tax workers, why not a progressive income tax?

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maym86
This is a tax on the company. This is not a direct tax on workers. A flat tax
on people I agree is bad policy. This is not that. It isn't even a flat tax on
companies as requires the company to have a large minimum amount of revenue.

Increased tax on large profitable companies in another form would also be
fine.

