NOOD Lawyers Blame Tax Law
We’re still piecing together exactly what Washington is doing or what policies it has changed that caused The Sailing Company to terminate the NOOD Regatta in Seattle. The parent company has pulled out of all Washington events, including wakeboarding.
One of our friends at Sailing World, Editor Dave Reed, sent us this from the corporate counsel:
“Tax laws in Washington can subject a company to taxes on all activities, including those conducted outside of Washington. In deciding whether to conduct an event in any jurisdiction, we must consider the potential company-wide tax implications. In this case, the NOOD event in Washington incurs an overall cost that is significantly greater than our possible return.”
I’m consulting with some tax-knowledgeable people about exactly what elements of the tax laws are at play, and what they might mean for the out-of-state corporations, but perhaps some of our knowledgeable readers might share that info here or on our Facebook thread.