Story perspectives

Washington Eyes 9.9% Tax on Millionaires to Boost Revenue

3/14/2026

Summary

Story summary

Washington lawmakers are poised to implement a 9.9% tax on earnings above $1 million, supported by Democratic Governor Bob Ferguson.
The measure could generate nearly $4 billion annually to address a budget shortfall.
Critics, including millionaire businessman Colin Hathaway, warn that such taxes may drive businesses away.
The proposal is part of a broader trend among Democratic states to reform tax systems and address income inequality.

History

Historical Context

In 1932, Washington State enacted the Revenue Act, introducing a graduated income tax to address economic disparities during the Great Depression. This historical move aimed to redistribute wealth and has influenced contemporary tax discussions. Governor Bob Ferguson's proposed 9.9% tax on earnings over $1 million seeks to tackle income inequality, potentially generating $4 billion to alleviate budget shortfalls, echoing past debates on taxation's impact on economic growth.

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Story summary

Washington lawmakers are poised to implement a 9.9% tax on earnings above $1 million, supported by Democratic Governor Bob Ferguson.
The measure could generate nearly $4 billion annually to address a budget shortfall.
Critics, including millionaire businessman Colin Hathaway, warn that such taxes may drive businesses away.
The proposal is part of a broader trend among Democratic states to reform tax systems and address income inequality.

1 / 2