SEATTLE, Wash. — The Seattle City Council has approved a head tax on large businesses such as Amazon and Starbucks to fight homelessness.
Both businesses have come out strongly against the tax questioning the city’s ability to use tax dollars efficiently and responsibly.
On Monday the council unanimously backed a compromise tax plan that will charge large businesses about $275 per full-time worker each year.
It’s lower than the $500-per-worker tax initially proposed.
City Council member Teresa Mosqueda says this is an emergency measure to solve a crisis in the city.
Republican State Senator Mark Schoesler says he will be taking action against the tax, introducing legislation that says it is an unauthorized tax unless approved by legislature, which “reinforces current law.”
The tax in Seattle would begin in 2019 and raise about $48 million a year to pay for affordable housing and homeless services.