All bad news WA tax receipts expected to slide further

Washington state's tax collections are set to decline by over $500 million, complicating budget decisions for lawmakers. The latest report indicates a $412 million drop in receipts since the last forecast, highlighting a troubling trend for the state's finances. Sen. June Robinson described the situation as “all bad news,” making the upcoming supplemental budget planning more challenging. She suggested that lawmakers might explore additional tax measures, but acknowledged limited enthusiasm for significant new revenue.

Rep. Ed Orcutt criticized the previous tax increases as ineffective in addressing the deficit and called for more spending cuts. Governor Bob Ferguson termed the projections “disappointing but not surprising,” emphasizing his focus on maintaining core services in his budget planning. The state's $77. 8 billion operating budget now faces revenue projections of only $74.

3 billion, even after accounting for $4. 3 billion in new taxes. Meanwhile, Comcast's lawsuit against a new advertising tax adds another layer of uncertainty to the state's fiscal landscape.