Seattle Social Housing Tax on Highest-paid Jobs Will Bring in Close to $115 Million in First Year

A tax on high-earning jobs in Seattle is bringing in far more revenue for social housing than expected, reports Erica C. Barnett in PubliCola. The tax will bring in an estimated $115 million in its first year, roughly twice the original estimate.

Seattle’s Social Housing Developer is funded via a 5 percent tax paid by employers on any compensation over $1 million per employee. “Tiffany McCoy, the interim director of the social housing developer, said that because of the funding, ‘hundreds of people this year will benefit from housing that remains permanently affordable, housing that is publicly owned and passed down through generations, housing that works for people that are a variety of income levels and helps prevent them from falling into homelessness.’”