SEATTLE NEWS ARCHIVES & FEATURES

King County Councilmember Dunn: County head tax will hurt the poor

Jan 30, 2020, 4:52 PM

King County Council, county head tax...

The King County Council in 2018. (KIRO 7)

(KIRO 7)

Two years after Seattle tried and failed to implement a head tax on the top 100 businesses, Washington legislators are trying to allow counties to pass a head tax on employers.

House Bill 2907 would allow counties with a population of 2 million or more to tax businesses with employees making at least $150,000 per year. The only county in Washington that meets this description is King County. Revenue raised would fund behavioral services, affordable housing, and solutions to homelessness.

“They’re calling it a super-wealthy, big-corporation, essentially, head tax, but if you look at the small print, every business — all the way down to 50 employees — is going to be subject to the tax,” King County Councilmember Reagan Dunn told KIRO Radio’s Dori Monson. “And so that’s a problem; it really is a small business tax.”

These small and mid-sized businesses are huge job creators in King County, Dunn said. He predicts that scope creep will set in, bringing the $150,000 requirement down to $50,000 or $40,000, so that many more small businesses are hit. He also predicts that the wording could change later on so that other counties are affected.

Dori Monson’s listeners weigh in on how Seattle head tax would affect them

“I think you have a lot of people, particularly in government, who haven’t spent five minutes in the private sector, who have no idea what it’s like to sign a paycheck,” Dunn said. “And they’re much more committed to growing their bureaucracies, and fiefdoms, and programs because they think they can do better in government.”

Another group in government, he said, “wants to punish successful people” by redistributing wealth from successful people to government programs.

Dunn predicts that the county head tax will end up hurting people with low incomes by forcing employers to cut jobs and raise prices.

“For those 50-, 60-, 70-person businesses, despite what the law says, they’ll find a way to pass that tax right onto the consumer, or perhaps onto the other employees not making that much money,” Dunn said. “That’s a real problem. This isn’t going to do what it intends to do.”

As an example, he said, when property taxes go up for homeowners, landlords pass those higher costs along to their renters.

“We all end up paying for all of those new taxes,” Dunn said.

Local governments will be exempt from the tax, despite the numerous bureaucratic jobs that make six figures. If the King County Council passes it, the very people voting on it will be $150,000 earners whose employers are exempt from the tax.

“Nobody who is voting on it will ever be subject to it,” Dunn said.

The best way to combat this county head tax — especially if you are a small or mid-sized business — is to speak out about your struggles to your legislators and council members, Dunn said.

“Don’t let some of these large, super-large corporations that have a certain amount of guilt speak for you,” Dunn said. “Stand up for yourself; say, ‘Hey, I’ve had enough of this kind of stuff.'”

If the tax does pass the Legislature and council, Dunn plans to run a referendum against it. He hopes that the threat of a referendum could cause the county council to step back and repeal the tax, much like the city of Seattle did with its head tax in 2018.

“Obviously, the politicians don’t get it,” Dunn said. “The voters are going to have to have their say — which is why I want small businesses engaged in this.”

Listen to the Dori Monson Show weekday afternoons from 12-3 p.m. on KIRO Radio, 97.3 FM. Subscribe to the podcast here.

Children watch a movie on a mobile device at a shelter for families displaced by gang violence in P...

Associated Press

First group of deportees arrives in troubled Haiti after US ends TPS program

CAP-HAITIEN, Haiti (AP) — The U.S. deported more than 160 people to Haiti on Thursday for the first time since the Trump administration won a legal battle to end Temporary Protected Status for some 350,000 Haitians. The plane landed in the northern Haitian city of Cap-Haitien because the main international airport in Port-au-Prince is considered […]

2 minutes ago

FILE - The National Transportation Safety Board logo and signage are seen at a news conference at N...

Associated Press

Charter plane carrying 8 crashes near remote radar site in western Alaska, NTSB says

JUNEAU, Alaska (AP) — A charter plane carrying eight people crashed Thursday near a remote radar site in western Alaska, a federal official said. Clint Johnson, the National Transportation Safety Board’s Alaska region chief, said two pilots and six passengers were on board. He did not immediately have details on their status. The plane took […]

1 hour ago

Associated Press

Storms and possible tornadoes pummel the Northeast US, flooding roads and damaging beaches

NEW YORK (AP) — Heavy rain and winds pounded the Northeast U.S. on Thursday as storms tore through a beach on Long Island, flooded a major New York freeway and knocked out power in parts of Delaware’s capital city. Photos and video shared on social media show debris thrown in the air and pummeling rain […]

1 hour ago

seattle times story...

Jake Skorheim and Spike O'Neill Show

‘I didn’t feel like I could speak my mind’: Seattle Times columnist quits after paper kills Sophie Cunningham story

After 11 years as a columnist at The Seattle Times, Matt Calkins resigned because the paper shelved columns that didn't align with its perspective.

2 hours ago

The exterior of the Kennedy Center is seen, Friday, July 31, 2026, in Washington. (AP Photo/Mark Sc...

Associated Press

Federal court is asked to block Kennedy Center from returning Trump’s name to building

WASHINGTON (AP) — Rep. Joyce Beatty made an emergency request on Thursday that a federal court block the Kennedy Center from returning President Donald Trump’s name to the building. The Trump-aligned board at the Kennedy Center voted earlier this month to inscribe the president’s name on the venue’s facade so it would read “The John […]

2 hours ago

fleeing pierce county driver...

James Lynch

VIDEO: Pierce County deputies use airplane to track fleeing driver who tried hiding in backyard pool

A Pierce County pursuit ended with a 37-year-old man being pulled, soaking wet, from a backyard swimming pool in Parkland.

2 hours ago

King County Councilmember Dunn: County head tax will hurt the poor