Advertising

The Seattle Times Company

NWjobs | NWautos | NWhomes | NWsource | Free Classifieds | seattletimes.com

Local News


Our network sites seattletimes.com | Advanced

Go to the politics section for more local and national politics coverage.

Politics Northwest

The Seattle Times political team explores national, state and local politics.

October 21, 2010 at 2:46 PM

Comments (0)     E-mail E-mail article      Print Print      Share Share

Texas governor uses I-1098 to court Washington business

Posted by Andrew Garber

This item has been updated.

Texas Gov. Rick Perry has sent letters to around 90 top employers and a few business associations in Washington urging companies worried about taxes to head on over to his state.

"As the State of Washington considers a multibillion-dollar tax increase for citizens and businesses ... I invite you to consider your future in America's new land of opportunity: the State of Texas," Perry wrote.

"If Washington doesn't want your business, Texas does. Texas has no personal income tax and no interest in getting one."

The letter was passed on to me by Bryan Mistele, the president and CEO of INRIX in Kirkland, who opposes I-1098, the proposal on the Nov. 2 ballot that would create an income tax for the state's wealthiest residents. Mistele said in an e-mail that he got a letter from Idaho as well awhile back, but no longer had a copy of that letter. Idaho sent out letters earlier in the year when the state Legislature was taking up tax increases.

I-1098 would create a 5 percent tax rate on annual taxable earnings exceeding $200,000 for individuals and $400,000 for couples, and a 9 percent tax rate on earnings of more than $500,000 for individuals and $1 million for couples.

It also would cut the state portion of everybody's property taxes by 20 percent and newly exempt 118,000 businesses from the business-and-occupation tax (B&O) on gross receipts by increasing the state credit to $4,800.

Ray Sullivan, Perry's chief of staff, said Texas is making a special effort to recruit Washington businesses because of I-1098.

"Gov. Perry is a big believer in states competing for jobs, and basing that competition on things like tax and regulatory environment and quality of life and quality of work force. Texas has won that competition in the last several years," Sullivan said.

I have a call out to Gov. Chris Gregoire's office for reaction.

UPDATE

Gregoire's office e-mailed this response.

"We're proud of Inrix and proud they call Washington home. I told them that when I visited their headquarters in May. We're serious about keeping businesses here and attracting new ones to the state. We've consistently ranked in the top five in the Forbes list of best states to do business--ahead of Texas."

E-mail E-mail article      Print Print      Share Share

Comments
No comments have been posted to this article.

Recent entries

Advertising

Advertising

Advertising

Browse the archives

October 2010

September 2010

August 2010

July 2010

June 2010

May 2010

Contributors

Jim Brunner
Covers politics.

Keith Ervin
Covers the Eastside.

Andrew Garber
Covers politics and state government from Olympia.

Emily Heffter
Covers local government.

Mike Lindblom
Covers transportation.

Kyung Song
Covers politics and regional issues from Washington, D.C.

Lynn Thompson
Covers Seattle City Hall.

Bob Young
Covers King County and urban affairs.