Overview
- The Senate concurred with House changes after a 24-plus-hour House debate, moving SB 6346 to Gov. Bob Ferguson, who has said he will sign it.
- The measure levies 9.9% on household income above $1 million and passed the House 51–46 with no Republican support and several Democrats opposed.
- Supporters say projected $3–4 billion in annual revenue will fund expanded Working Families Tax Credit, free K–12 meals, sales-tax exemptions on essentials, and small‑business relief.
- Business groups warned of a competitive hit and possible relocations, with AWB calling the shift “seismic” and a Tax Foundation analysis citing effective top rates above 18% on some compensation in Seattle.
- Republicans signal court and ballot challenges, arguing a state constitutional doctrine treating income as property could imperil a graduated tax, while estimates of affected taxpayers range from about 21,000 to roughly 30,000 households.