A new tax approved by the Seattle City Council has triggered a fierce war of words between the liberal city and its behemoth corporations usually known for their progressive outlook.
Starbucks and Amazon are now blasting the decision to slap a new “head tax” on businesses to pay for homeless services and affordable housing — saying the government’s own lack of efficiency is to blame for the city’s woes.
“The city does not have a revenue problem – it has a spending efficiency problem,” Drew Herdener, Amazon vice president, said in a statement. “We are highly uncertain whether the city council’s anti-business positions or its spending inefficiency will change for the better.”
The Seattle City Council on Monday passed a plan to tax businesses making at least $20 million in gross revenues about $275 per full-time worker each year. That “head tax” is estimated to raise about $48 million — which authorities are marking for housing and homeless services.