WA Democrats latest run at taxing the states largest companies

Washington state Democrats, led by Rep. Shaun Scott, are pushing a new payroll tax intended to raise over $2 billion annually for education, health care, and human services. The legislation mirrors Seattle's JumpStart tax, targeting companies with payroll expenses exceeding $7 million and employee salaries above $125,000. Scott's proposal aims to fill budget gaps created by federal funding cuts, particularly those resulting from the Republican-backed tax reform. The bill is set for discussion at a news conference, where it will be supported by various labor and pro-tax organizations.

Republicans have voiced strong opposition, arguing the tax could deter businesses from operating in the state. The proposal would create the "Well Washington Fund," directing funds to support public services. If passed, the tax would take effect on July 1, 2026, and begin contributing to the state’s general fund. This legislative effort reflects an ongoing debate about taxation and funding priorities in Washington.