Budget crisis
3:53 pm
Thu January 5, 2012

Gregoire proposes state-run business tax system

OLYMPIA, Wash. — Washington Gov. Chris Gregoire wants the state to handle local business tax collections, saying a streamlined system would save small businesses time and money.

Gregoire's proposal on Thursday would take the duties away from local jurisdictions, similar to how the state currently collects and distributes sales tax money.

She says the state would not make money off the plan but would charge up to a 1 percent fee to cover the cost of administration.

Gregoire acknowledges that large jurisdictions that already operate their own system are reluctant to support the plan. But she says it will be beneficial for small businesses who may have to file for each jurisdiction where they owe taxes.