Gov. Inslee Proposes Wealth and Business Tax Hikes

Washington Governor Jay Inslee has proposed a new state budget that includes a 1% wealth tax on personal wealth over $100 million to address a looming $16 billion budget shortfall. This tax, if passed, would affect approximately 3,400 residents and raise an estimated $10.3 billion over four years, targeting ultra-wealthy individuals like Microsoft founder Bill Gates. Inslee also suggests a temporary one-year 20% increase in business taxes on larger companies, followed by a 10% increase in all business tax rates, to help bridge the deficit. The plan seeks to prevent cuts to critical services such as education, mental health, and public safety, which were significantly impacted during the Great Recession. The proposal faces opposition from Republicans, who criticize it as a significant tax hike, and concerns from the Department of Revenue regarding its implementation challenges. Inslee's successor, Bob Ferguson, has not ruled out tax increases but emphasizes finding budget savings first.