Major Tech Firms Warn WA Tax Hikes Will Drive Them Elsewhere

Several business experts say the latest found of tax hikes in the WA State legislative budget pushed through by Democrats are the biggest in WA history.

  Tech giants warning about pushing them out

 Geekwire is reporting many major tech firms, while still very much invested in WA, are sending warning signs they could be considering leaving.

WA State, including the Puget Sound corridor, is considered one of the most tech-friendly and innovative areas in the US.  Microsoft and other major tech firms are headquartered here. But will that change?

The legislature has just pushed through billions in tax hikes to close what they claim is a $16 billion dollar shortfall, but that's based on funding needed for expanded programs and desired spending, not necessarily on actual needs.

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According to Democratic House Rep April Berg of Mill Creek, the massive hikes-which also affect the tech industry- are part of a "strategic approach" and she believes tech will still flourish here.

 READ MORE: Major window, siding company moves factory out of WA State.

However, that flies against definitive statements made by tech experts. Kelli Fukia, the CEO of the Washington Technology Industry Association, said if WA targets the tech sector with billions of new taxes during a time of economic uncertainty, it's not a good sign:

"...it would be an unmistakable signal to the market that tech is no longer welcome here in Washington state."

An even more blunt statement came from Sergei Dreizen, CEO of Bellevue-based Akvelon, a software engineering firm, who said in part:

“They think they can milk this cow forever, but cows eventually always move to the greener pastures."

He told Geekwire the state is doing everything it can to drive businesses out of the state.

Several large companies, some tech and otherwise, have already moved their corporate headquarters or their entire operations elsewhere. Fisher Investments not long ago moved their operations from Camas, WA to Texas.