On April 3, 2019, D.C. Policy Center Executive Director Yesim Sayin Taylor was quoted in a Washington Business Journal article on reactions to Mayor Bowser’s proposed tax increases:
“Our current tax policy protects current homeowners, but penalizes future growth,” said Yesim Sayin Taylor, the executive director of the D.C. Policy Center. “But it makes sense why that is — it’s politically risky. You don’t see tax riots often, but when they do happen, they happen when you raise taxes on someone’s home.”
Fundamentally, Taylor and Williams both worry that another tax hike affecting this segment of the economy sends the wrong message to businesses pondering a move to the District.
Between costs associated with the District’s new paid family leave program and new energy efficiency standards attached to the city’s clean energy initiative, Williams says many of her members already feel put upon. And even if D.C.’s higher taxes haven’t pushed some businesses into the suburbs, Taylor fears that additional uncertainty over the prospect of sudden tax increases could have that effect.
“Businesses care about risk, and there’s a risk premium for being in D.C.,” Taylor said. “They don’t know what the tax will be tomorrow.”