Virginia native weighs in on our not-so-bad tax system
Editor, The Times:
I’ve been amused by the recent opinions and letters calling Washington state’s tax system regressive and hurting business [“Why do so many oppose a state income tax?,” Opinion, Northwest Voices, Dec. 16]. The fact is we would not have the caliber of workers and businesses under any other system.
I recently moved to Washington from Virginia due to two major factors: Washington’s thriving tech industry and no state income tax.
No income tax allows companies in Washington to effectively pay employees more than elsewhere. Virginia’s 5.75 percent income tax was a hefty haircut on my total compensation, especially with an additional average 5 percent sales tax.
Washington’s tax policy helped lure me away from another company in a different state. Plus, a higher sales tax and no income tax puts the right incentives in place for a thriving economy. It encourages people to save and invest their money versus to spend and consume, creating the infrastructure and capital we need to continue to develop Washington’s economy.
And as for business, just look around.
Washington’s economy is among the top performers in the country during this recession. While unemployment is up and some businesses are hurting, they’re actually doing well relative to other parts of the country. The Small Business and Entrepreneurship Council recently rated Washington among the top five most friendly states for entrepreneurs. And everyone knows that job growth begins with small businesses.
States with the highest income taxes are actually the ones suffering the most. California is bankrupt, and New York is almost there. We should not be taking tax policy advice from them, no matter how progressive they seem.
Let’s keep the income tax out of Washington so we can continue to attract talented people to work for our thriving small businesses.
— Samuel J. Fetchero, Bellevue