Overview
- Gov. Bob Ferguson endorsed the latest version of SB 6346, saying he will sign it if lawmakers retain the added affordability measures.
- The rewrite expands the Working Families Tax Credit, preserves sales‑tax exemptions for diapers and hygiene items, adds an exemption for over‑the‑counter medicines, funds free school meals, and dedicates 5% of revenue to child care and early learning.
- SB 6346 would levy a 9.9% tax on Washington taxable income above $1 million starting Jan. 1, 2028, with annual revenue estimated at about $3.7 billion as the state confronts a budget gap exceeding $2 billion.
- The bill has cleared the Senate and is queued for House action next week, after which any House changes would require Senate concurrence or a conference committee before adjournment.
- Opposition from tech leaders, AI researchers, and business groups warns of economic risks and urges delay, while Republicans cite constitutional concerns and criticize a so‑called poison pill tied to potential repeal.