Greetings parent leaders!
Today, March 2, is Day 50 of the 2026 Regular Session. There are 10 days left in this session. At this stage, lawmakers remain focused on finalizing the budget and passing bills that have already cleared the opposite chamber.
Everyone is talking about SB 6346- AKA the “Millionaires Tax”. Washington has long had one of the most unusual tax systems in the country: no personal income tax, heavy reliance on sales tax, and one of the most “regressive” tax systems in the U.S. For more information about what that means, please review our past newsletter on taxes.
When lawmakers propose a “Millionaires tax,” it immediately raises both policy and state constitutional questions. Here’s what’s actually at stake.
What is the “Millionaires Tax”?
In recent sessions, the Washington State Legislature has considered proposals to tax very high incomes or financial assets. This year’s proposal, would:
- Impose a 9.9% tax on taxable personal income over $1 million per year.
- Affects fewer than 1% of Washington households and is expected to generate billions in annual revenue.
- Allocate 7% of the revenue to help cover rising public defense costs in the state’s criminal justice system.
Supporters argue this proposal would make Washington’s tax system more equitable and generate revenue for priorities like education, child care, and behavioral health. They point out that Washington relies heavily on sales taxes, which disproportionately impact low- and middle-income families. They argue that we need the money to support schools and rising health care costs.
Opponents argue the proposal functions as a personal income tax and raises constitutional concerns under prior rulings of the Washington Supreme Court, which historically interpreted income as property under the state constitution. They also raise concerns about economic competitiveness and potential impacts on business investment.
Like many big tax proposals, how the law is written and how it’s structured will be a major part of the debate.
What is the status of it now?
The original bill started in the Senate and passed that chamber. It is now being discussed in the committees of the House. There have been long public hearings. There were record numbers of “sign ins” in opposition. However, advocacy groups have pointed out fraudulent sign ins and duplicates have grossly misrepresented community sentiment in both “pro” and “con” sign ins, suggesting that automated bots are interfering with the sign in process.
What can you do?
The members of the House and Representatives will likely be voting on it in the next 2 weeks. Contact both of your State Representatives and share your thoughts and how you think they should vote.
You can find your representatives here: https://leg.wa.gov/legislators/
Please note: at this point, it is not necessary to contact your State Senator, as they have already voted on it. To see how they voted you can check the bill status here and click on Feb 16 (View this roll call) and find your Senator. However, you can email your thoughts on how they voted, either to thank them or to explain your concerns and suggest changes that better reflect your community’s priorities.
Bills of Interest:
HB 2303 - prohibits employers from microchipping employees. This bill is scheduled for committee consideration in the Senate and is part of a broader set of employment protections being debated this session.
SB 5855 - A bill focused on prohibiting federal immigration enforcement (like ICE) from concealing identities while acting in the state. It passed the Senate and advanced out of the House Community Safety Committee.
SB 5993 - A bill to cap medical debt interest at 1% per year, gaining traction in committee discussions and considered likely to advance.
