The proposed ‘millionaires tax’ in Washington state is moving closer to potential approval, following a significant public hearing and rally in Olympia on Tuesday. Supporters and opponents of the tax gathered, making their voices heard as legislators prepare for the final votes that will determine the bill’s fate.
On the steps of the state legislature, a rally drew a large crowd of those opposed to the tax. Among them was Paul Glumaz, who expressed concern that implementing this tax could lead to further taxation issues in the future. “There’s tremendous concern that we’re starting on a slippery slope of taxing,” he stated.
Inside the House committee room, the atmosphere was charged as supporters of the bill filled the space to capacity. April Sims, president of the Washington State Labor Council, advocated for the tax, arguing that the state’s current tax system is outdated. “Our tax code is broken,” she said. “It’s a century-old artifact that has failed to build a stable foundation.”
The legislation, originally introduced on February 3, 2024, proposes a 9.9% income tax on Washington residents earning over $1 million annually. Under this plan, the first $1 million of income would be exempt, with only income beyond that threshold subject to taxation. If the bill passes, it is set to take effect on January 1, 2028, with the first payments due by April 2029.
Although Washington state currently prohibits income taxes, legal revisions could allow changes to this policy. The next legislative session regarding the bill is scheduled for Friday, where amendments may be proposed, and a vote could occur. If it passes, the bill will advance to the House floor for what could be its final vote before reaching the governor’s desk.
As discussions continue, the outcome of the ‘millionaires tax’ remains uncertain, reflecting broader debates about taxation, equity, and state funding in Washington.