4 ms·
Company still pays most of its taxes in HQ.
by satya71 6y ago
Company still pays most of its taxes in HQ.
- filmgirlcw 6y agoAnd many of those taxes are based on things like now many distinct offices you have for employees. This is one of the reasons we saw the death of private offices and a shift to the whole open workspace bullshit. Because you’d get taxed per office, whether it was being used 5 days a week or not.
- bch 6y agoDo you mean number of private workspaces that are called an “office” in a building affects how taxes are calculated? So reconfiguring the floors in a corporate building might affect how they file taxes? I’ve never heard of that before...
- filmgirlcw 6y agoYes. And it can be impacted at a municipality level, as well as a state or county level too. So the city of Seattle might have a different way they tax these things than the city of Redmond, in addition to whatever taxes are levied by King County or Washington State. ETA: there are very real reasons big companies have reconfigured workspaces and it isn’t about worker efficiency studies or even fitting more people into a space, but about taxes.
- eropple 6y agoThis is news to me. Could you provide some reading material on this topic?
- filmgirlcw 6y agoLook up B&O taxes. There’s often a square footage requirement to it and depending on where you are, there can be a surcharge or additional fee for what they deem distinct workspaces. So if it has a door, that’s a new place. Whereas open and more disparate spaces do not. Again, all of this is extremely dependent on where you operate and can vary based on what type of business you’re in, etc. etc. I wish I had more direct information. I was informed of this by a tax attorney, when I was complaining about how our shared employer was shifting away from individual offices, which had been a hallmark of the company and corporate culture. He told me that there had been some changes to the local B&O tax law that helped make the argument to to shared/team/open spaces. I did some research and found he was right, though again, the specifics are going to differ depending on where you are, what business you’re in, the size of the business, etc.
- bch 6y agoI’m entertained that the euphemism “arranging deck chairs on the Titanic” is not actually useless, in this context.
- solidsnack9000 6y agoI would be interested in reading more about this, as well, but am uncertain how to go about searching for it.
- wolco2 6y agoThis isn't true. The move to the open office was NOT because of a city tax on the number of private offices. For this to be remotely true someone would need to audit each building / floor. Could you point to a government website with additional information?
- filmgirlcw 6y agoIt’s not the only reason. It’s certainly a reason in certain areas. Research B&O tax laws and loopholes and the intricacies therein.