First legal challenge filed against Washington’s new 'millionaires tax'
KOMO • • nation
Key Points:
- Washington's newly approved "millionaires tax," imposing a 9.9% tax on income above $1 million, faces a legal challenge alleging it violates the state constitution by taxing income non-uniformly.
- The lawsuit, led by former Attorney General Rob McKenna and ex-Supreme Court Justice Phil Talmadge, argues that income is property and must be taxed uniformly under Washington law.
- Passed by Democrats without Republican support, the tax is projected to generate over $3 billion annually to fund schools, healthcare, and tax relief, targeting less than 1% of households.
- Opponents fear the tax could pave the way for a broader income tax and have initiated a repeal effort that may bring the issue to voters before the tax takes effect in 2028.
- The legal challenge, filed in Klickitat County Superior Court, seeks to invalidate the tax before its implementation, potentially setting up a significant constitutional court battle.
