SEATTLE NEWS ARCHIVES & FEATURES

Seattle’s small businesses speak up amid new tax proposal

Mar 19, 2018, 2:08 PM | Updated: 6:02 pm

Facing yet another cost of doing business in the city, Seattle’s small businesses are urging the city council not to pass another tax.

“I see there is a huge disconnect between what the city council understands about what a small business goes through, how a small business is run, and the challenges and burdens that we face …” Taylor Hoang told KIRO Radio’s Dori Monson. “I feel that there is a big disconnect between what they believe and what reality is.”

RELATED: Seattle’s latest head tax proposal

Hoang is the co-chair of Seattle’s small business advisory council and owner of the Pho Cyclo Cafe. She recently signed a letter sent to the city council — along with 252 other small business owners. The council is considering a report from the Progressive Revenue Task Force. That report recommends an employee hours tax — also known as a head tax — among other funding options for homelessness programs.

“Homeless is an issue we all face in Seattle,” Hoang said. “Small businesses face it on their streets, in front of the storefronts on a regular basis, every single day. We are aware of it and feel the burden. We want to be a part of that solution. But we don’t believe taxing small businesses to deal with this is the right way. Especially if the money is going toward a plan that we have no clue about.”

Sincerely, Seattle’s small businesses

The letter addresses a $395 “skin-in-the-game” fee proposed by the task force that all businesses would pay. It states that the “progressive” tax is actually regressive, harming businesses and threatening the jobs they create. It argues that the funding solutions to the homelessness crisis should be regional; not targeted at the city’s businesses. The owners also write that the city has no plans for the new tax dollars.

RELATED: Food company says businesses have nothing left to give Seattle leadership

The letter states:

We are disappointed that once again small business leaders were never consulted for input, facts or information about the real challenges we face …

Taxing businesses for employing people, is not a viable and sustainable part of this solutions.

More than 300 Seattle businesses signed the letter since it went to the council, Hoang said. That is more than the 80 that signed a similar letter in 2017.

“Small businesses, we have what I call, ‘regulatory fatigue,’” Hoang said. “We’ve been hit so many different ways; so many different regulations.”

Hoang further argues that the city is making a lot of decisions based on the current booming economy. That is fiscally irresponsible, she says.

“During a downturn we are going to lose that revenue. We need to be fiscally responsible … we can’t just keep depending on business to come in and pay taxes and kick in their share every single time the city has its hand out for another revenue stream.”

RELATED: Jones Soda says it would be better of in Canada than in Seattle

FILE - Robert F. Kennedy Jr., President Donald Trump's choice to be Secretary of Health and Human S...

Associated Press

Exclusive: RFK Jr. said a Samoa trip had nothing to do with vaccines. New documents refute that

NEW YORK (AP) — Health Secretary Robert F. Kennedy Jr. repeatedly told lawmakers who held the key to his confirmation last year that a 2019 visit to Samoa before a deadly measles outbreak had “ nothing to do with vaccines.” New documents obtained by The Associated Press and The Guardian refute that testimony. Kennedy, then […]

13 minutes ago

King County deputy...

Chris Sullivan

‘I almost got run over’: King County deputy’s close call is a reminder to slow down and move over

A King County deputy nearly lost his life on SR 167 when a car ripped past his patrol SUV, and 36% of drivers admit they wouldn't have moved over.

13 minutes ago

FILE - People march while taking part in a protest against the U.S.-Israeli war with Iran, and agai...

Associated Press

Republicans face a midterm verdict as Iran war drags on months longer than Trump promised

BETHLEHEM, Pa. (AP) — Mike Gibbons sat out the presidential election two years ago, frustrated that Democrat Kamala Harris did not take a stronger stand against Israel’s war in Gaza and unable to bring himself to cast a vote for Republican Donald Trump. That is not his plan this year. The 33-year-old restaurant server in […]

2 hours ago

Palestinians walk past a food-aid warehouse damaged in an Israeli airstrike that targeted a nearby ...

Associated Press

Regional powers seek off-ramp from Iran war, and other Middle East developments

JERUSALEM (AP) — Regional powers sought an off-ramp from the war with Iran as another tanker attack was reported in the Strait of Hormuz and Tehran dismissed Washington’s latest sanctions. Elsewhere in the Middle East, a Jerusalem court acquitted a man accused of beating a Catholic nun but ordered him to undergo years of psychiatric […]

4 hours ago

FILE - China's Foreign Minister Wang Yi attends the Comprehensive Strategic Dialogue between Indone...

Associated Press

Chinese foreign minister calls for US and China to ‘overcome obstacles’ ahead of presidential summit

BANGKOK (AP) — China’s foreign minister said his country and the United States should overcome obstacles between the nations ahead of an expected summit next month between U.S. President Donald Trump and Chinese President Xi Jinping. Wang Yi met with U.S. ambassador to China David Perdue on Wednesday and called on both sides to “focus […]

6 hours ago

A person walks near an electronic stock board showing Japan's Nikkei index at a securities firm Thu...

Associated Press

Asian stocks are mixed after Wall Street losses following economic updates

HONG KONG (AP) — Asian stocks were mixed on Thursday following modest losses on Wall Street, while oil prices declined. U.S. futures were trading higher after Nvidia’s latest quarterly earnings beat Wall Street’s expectations as demand for its advanced artificial intelligence chips surged. In Japan, the Nikkei 225 slipped 0.2% to 66,162.72. Multinational investment holding […]

7 hours ago

Seattle’s small businesses speak up amid new tax proposal