Here's What Happens When Government Gets Greedy
Seattle businessman Marc Barros just gave Washington State a masterclass in unintended consequences. After the legislature passed their shiny new 9.9% income tax on millionaires, Barros announced he's packing up his photography equipment company and moving it to Wyoming.
Plot twist: he's not even a millionaire.
"I'm not even a millionaire affected by this tax," Barros posted on X. "But when you add up all the costs to run a business in WA we can't afford it."
That sound you're hearing? It's the law of unintended consequences laughing at progressive tax policy.
Death by a Thousand Cuts
Here's what Barros is actually escaping:
10.5% city sales tax (because Seattle needs more money for... reasons)
City property taxes (your building costs money just to exist)
State capital gains and estate taxes (they want a cut when you sell, and when you die)
Business and occupation taxes (the privilege of employing people)
Digital advertising tax that just kicked in this year
That last one is the kicker. Barros says it's costing his company $200,000 per year. The state is even taxing ads his company runs in Germany.
"Overnight that is a $200K a year tax that did not exist last year," he said. "Again it's not even based on where your ads run or where your team is. Incorporated in WA state? You will pay this tax."
Translation: if you have the audacity to be incorporated in Washington, they own you wherever you do business.
The Exodus Has a Name
Seattle attorney Joe Wallin, who represents startups and testified against the income tax bill, put it simply: "The new income tax, scheduled to go into effect in 2029, will definitely cause some businesses to leave."
Some will stay because they're too invested to move. Others will quietly slip away to places where government doesn't treat success like a crime.
But here's the part that should worry every Washington taxpayer: "Some of the bill's effects will be invisible because new companies won't come to Seattle or the state of Washington in the first place."
You can't count the businesses that never show up. You can't tax the jobs that never get created. You can't fund programs with revenue from companies that set up shop in Texas instead.
The Numbers Don't Lie
Want to know how well this strategy is working? Seattle's office vacancy rate hit 30% in the last quarter of 2025. That's a record high.
Amazon, the company that basically built modern Seattle, has been quietly moving thousands of employees from Seattle to Bellevue. Why? According to Downtown Seattle Association President Jon Scholes, it's "directly attributable to an increase in local taxes on businesses."
When Amazon is fleeing your tax policies, maybe it's time to reconsider your approach.
The Conservative Alternative
Meanwhile, states like Wyoming, Texas, and Florida are rolling out the red carpet. No state income tax. No capital gains tax. No digital advertising tax. Just a simple message: bring your business here, create jobs, and we'll leave you alone.
Barros can "build a remote team and re-open in Wyoming, removing all of these costs." His company Movement is making the move this month.
Wyoming gets the jobs. Wyoming gets the tax revenue from what taxes they do have. Wyoming gets a successful business owner who chose freedom over fiscal punishment.
Washington gets to keep its 9.9% millionaire tax and wonder where all the millionaires went.
The Real Question
This isn't just about one businessman or one tax. It's about a fundamental choice between two competing visions of America.
One vision says success should be punished, wealth should be redistributed, and government knows better how to spend your money than you do.
The other vision says success should be rewarded, entrepreneurs should be celebrated, and government should get out of the way of people trying to build something.
Marc Barros just voted with his feet. How many more will follow before Washington figures out that you can't tax your way to prosperity?
The millionaire tax doesn't take effect until 2029. But businesses are already making their escape plans.
Because smart money doesn't wait around to get robbed.