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Employee Hours Tax

Effective July 1, 2007, persons and firms that engage in business within the Seattle city limits are subject to the employee hours tax. Calculation of the tax is based upon the number of employee work hours performed within the Seattle city limits. Vacation and sick leave hours are excluded from the calculation. There is a deduction for hours worked by employees who commute to work at least 80% of the time by other than single-occupancy vehicles. Revenue from the employee hours tax will be used by the City only to fund the maintenance and improvement of local transportation infrastructure.

Click here for additional information about the employee hours tax.

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