This week, the City of San Francisco voted to implement a homeless tax that will be levied on successful technology companies that are headquartered in the city.
Reportedly, the tax on the tech companies’ revenue will be 0.5% for companies that have an annual revenue of over $50 million.
Vice News states: “At the heart of the issue is corporate responsibility- should technology companies be held accountable for the widening inequality created, as many claim, by their presence? The Bay Area’s high concentration of billionaires starkly contrasts its population of 28,240 reported homeless citizens, a situation the United Nations called ‘cruel’ and ‘unacceptable’ in a report this year. What’s more, the technology industry’s deliberate avoidance of taxes- sometimes through tax breaks that let them keep millions of dollars in their coffers- has earned them little good will from communities they so profoundly impact.”
Although 60% of San Francisco voters reportedly voted for the homeless tax, it is expected to face opposition legally because the tax was not agreed upon by a two-thirds voting majority.