State income tax for the rich? (middle-class, sales, neighborhood)

[Redline]

Sounds like a state income tax for everyone (eventually).

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[jenlion]

I think you're right, Redline. As it is, this would of course benefit us now -- I'm a small biz and would be happy to see the B&O tax go, and wouldn't everyone love to see property taxes go down, even though they're not currently particularly onerous?

But it's the foot in the door. If couples making $400k are wealthy, well, in a couple years, aren't couples making $300k wealthy too? And if $300k is wealthy, isn't $200k? Hmm, I think we topped $200k one year and as things pick up we should be doing that again soon, I hope. In a solidly middle-class neighborhood with solidly middle-class cars, etc. If that happens, bye-bye one of the nice draws of moving to WA.

But, honestly, the sales tax is ridiculously high as it is. Maybe a limited income tax would be better than increasing the sales tax. Or they could, you know, trim budgets.......

....nah.

[AzDreamer]

Would the cut-off be indexed for inflation or will all of us be considered "rich" in a few years.

I doubt this idea is going anywhere, too many people are fed up with big-spending governments that never saw a tax they didn't like to hike.

[nikdahl]

I'd much rather see a progressive income tax and a lower sales tax/B&O.

jenlion, if your family is netting $200k, I would be hesitant to call you middle class.

[jinj]

Originally Posted by jenlion

But, honestly, the sales tax is ridiculously high as it is. Maybe a limited income tax would be better than increasing the sales tax. Or they could, you know, trim budgets.......

....nah.

Exactly, taxes are high because spending is high and keeps climbing.

[StealthRabbit]

Originally Posted by Redline

Sounds like a state income tax for everyone (eventually).

you can bet that is the plan. and... cache 22... Do we chase away the employers (worse than now)?

That said... The B&O (and other business tax) is killing jobs.

AND states with a broader perspective on taxation are far more beneficial and sustainable overall.

WA is also chasing away retirees, that is not gonna pan-out for the long-term.

(btw...I call my $33/day ($12k/yr) WA property tax bill "seriously onerous", since I have ZERO income but, your mileage may vary.)

[pw72]

Tax the rich in Washington, and many will leave. Put higher taxes on their buisness, and they will leave.

It is an easy way out, but it is is detrimental to business in the state.

And less business in the state will make things worse for everyone, the rich, the middle class, and lower income folks.

This is SO short-sided. Wake up Washington!

[Ultrarunner]

I wonder if the Microsoft or Costco groups will shift staff?

Personally, I find the Property Tax to be onerous... 80% increase in less then 3 years has caused me to rethink things...

The thing about income tax is a portion of what you earn goes to taxes... no earnings... no tax...

Don't really have a problem with sales tax... other than it is getting rather high... I always have the choice to do without, buy used or make do...

A fair system would be a small flat tax paid by just about everyone with a low threshold... and it would be very simple... don't need a bunch of CPA's to figure things out or their bills.

The thing about property tax is that it is due irregardless of ability to pay and the county has the ability to determine value on a whim... well not a whim... more like an opinion of value.

B&O tax is confounding for many small businesses... just the way it is...

[Sobefobik]

Originally Posted by nikdahl

I'd much rather see a progressive income tax and a lower sales tax/B&O.

jenlion, if your family is netting $200k, I would be hesitant to call you middle class.

I second that! If you make 200K, you are rich. If you're having a hard time getting by on that income, you're spending too much money.

[Ira500]

Washington is one of the few states out there without an income tax, and because of the economy, tax revenues are way down. So if they want to continue government services without making large cuts, they have to raise revenue somehow.
Gates senior or otherwise, an income tax not going to fly here. It's so deeply ingrained in the culture of this state that an income tax is akin to communism or worse, no way it'll fly. Political suicide.
That said, if you have to raise revenue, what's the best way to do it? You can't tax the poor, cause they don't have the money. You can't raise taxes on the middle class, cause there's a lot of them, and they've had it with tax increases. That leaves the rich.
In this state, the rich are worshipped, and we the taxpayers bend over backwards to do things like build them stadiums or happily give them rezones so they can build more buildings to make more money.
I'm not saying this state is pro-business. In fact, B&O taxes are onerous, and the governments make operating a small business difficult....But if you're rich enough, you have nothing to worry about. If you make 200,000 a year, you're just not rich enough to get elected officials to bend over backwards to ensure that you get richer.