It’s official: The Boeing Co. and Microsoft Corp. don’t want voters to pass Initiative 1098.
Today, for the first time, representatives of those firms along with Safeco Insurance and Dendreon went public with their opposition to the ballot measure that would tax the incomes of some of the state’s wealthiest individuals.
The measure also would shave a little off the state portion of the property tax and give some small businesses a break from paying business and occupation taxes.
Company officials laid out their positions in a press release sent out by the Defeat 1098 campaign.
Here are the Boeing and Microsoft statements:
Laura Peterson Boeing vice president for State and Local Government Relations – Northwest region, said, “An innovative and skilled workforce that can compete in the global economy requires a strong education system. However, I-1098 will significantly erode Washington state’s competitiveness and job creation, and hurt small and medium businesses including numerous Boeing suppliers. I-1098 is not the right solution to address our education challenges.”
Brad Smith, general counsel and senior vice president, Legal and Corporate Affairs, Microsoft, said, “As an employer, we’re concerned that I-1098 will make it harder to attract talent and create additional jobs in Washington State. We strongly support public education, but we’re concerned by key details in I-1098. This initiative would give Washington one of the top five highest state income tax rates in the country. I-1098 would apply this tax rate to all income, including capital gains and dividends, and would not permit any deductions for charitable contributions.”
Sandeep Kaushik, spokesman for the Yes on 1098 coalition responded:
“What’s really going on here is that the corporate executives at some big businesses don’t want to pay the tax. It is as simple as that. The CEOs of these businessed don’t speak for small businesses or middle class families. The fact is that 98.8 percent of people in Washington state would pay no income tax under 1098 and it would eliminate the B&O tax for 118,000 small businesses and cut it for an addition 39,000 businesses.”
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