MtnView controversial head tax, meant to alleviate Google's impact now in effect
abc7news.com
abc7news.com
We don’t exist to be wage slaves. Shouldn’t there be a balance?
There will definitely be a boost in revenue in the beginning, but the end result will be less companies willingly expanding here and a declining of tax revenue, not an increase.
My level of trust in California’s leadership and govt at Sacramento is eroding every day.
https://www.bizjournals.com/sanjose/news/2020/01/02/mountain...
[..] The "head tax" that Siegel initiated a few years ago, as one possible solution, was overwhelming passed by voters in 2018.
Beginning Jan. 1, companies from mom-and-pop shops to Google, will be charged a tax, based on the number of employees they have working in the city and the revenue will fund infrastructure projects.
"Right now, Mountain View's budget is balanced," Siegal said. "The difficulty is investing in infrastructure. And that's where we are targeting this."
Siegel says the city met with companies of all sizes while crafting the legislation. The end result is that it is a progressive tax and small companies may only have to pay a few hundred dollars.
The tax is expected to generate more than $6 million annually -- about half coming just from Google.
"You can't build a transit line based on donations," said Sigel. "You need regular money, so over a period of years, it's actually going to generate a lot of money that we can invest in our infrastructure." But regional leaders have raised concerns. They are critical of the fact that it is not a business tax, but a general tax, which means the city could spend the money on other projects.[..]