King County Superior Court Rules for City on JumpStart Tax

By: Jillian Henze, APR Posted: 06/04/2021

City leaders must partner with employers on a bold, focused vision for economic recovery

King County Superior Court Judge Mary Roberts today upheld Seattle’s JumpStart Tax, a tax on paying employee compensation. The Seattle City Council approved the tax in July 2020 and the Chamber took legal action late last year.

“We are disappointed by the court’s decision,” said Seattle Metropolitan Chamber of Commerce President and CEO Rachel Smith. “We believe our lawyers presented a strong case for why this tax on employee compensation goes beyond the city’s authority, and we are working with our legal team to explore next steps. We remain committed to being a champion for members on this issue. We filed this legal challenge as part of our duty to fully vet policies that impact the business community.”
The Seattle Metropolitan Chamber of Commerce reiterated its call to city leaders to partner with employers on a bold, focused vision for economic recovery. 

“The top priority for the Chamber and our members is a strong and inclusive economic recovery,” Smith added. “Today’s ruling underscores the need for the city to put forward a sustainable recovery plan to emerge from the pandemic and revitalize our region. The projections for the JumpStart Tax depend on businesses reopening and many more people coming back to work in Seattle. We stand ready to collaborate with city leaders on good policy.”