Washington Governor Signs Millionaires' Tax Amid Legal Challenges
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Olympia — Gov. Bob Ferguson signed Senate Bill 6346 on March 30, enacting a 9.9% income tax on households earning more than $1 million; the law schedules collections to begin in 2029 and is projected to raise roughly $3 billion annually from approximately 21,000 filers.
The signing prompted immediate legal and political responses this week: the Citizen Action Defense Fund announced litigation citing a 1933 state precedent, opponents are organizing a November ballot referendum, and officials say the revenue will fund schools and targeted tax relief for lower-income residents and small businesses.
More context
Timeline
- 1. 1933: Washington Supreme Court invalidates a voter-approved income tax, setting legal precedent.
- 2. March 30: Gov. Bob Ferguson signs the 9.9% 'millionaires' tax' into law in Olympia.
- 3. Immediately following signing: Citizen Action Defense Fund announces plans to sue; Rob McKenna to lead litigation.
- 4. Weeks after signing: Opponents mobilize a ballot referendum effort aimed at November.
- 5. 2029: Scheduled start of tax collections, projected to generate roughly $3 billion annually.
Why it matters
This new tax law could affect your wallet. If you're part of the 21,000 households earning over $1 million, expect a 9.9% income tax from 2029. If you're lower-income or a small business owner, you might see some tax relief or better-funded schools. Keep an eye on the November ballot and any court rulings.
Sources
JQJO Editorial Desk · Human reviewed · AI assisted. Report a correction.
