As We Wait for the Senate Race, Washington State and Taxes

By November 3, 2010Taxation

From Associated Press, “Income tax for wealthy rejected; tax increase for candy, soft drinks repealed“:

OLYMPIA — Recession-weary Washington voters delivered a strong anti-tax message Tuesday, rejecting a state income tax on the richest 1 percent while also rolling back increased snack taxes and making it harder for the Legislature to raise taxes in the future.

From our friends and allies at Association of Washington Business, “Voters tell lawmakers to make taxes last resort: I-1053 passes!“:

It wasn’t even close.

Voters were passing Initiative 1053 by a two-to-one margin on election night, sending Olympia a loud and clear message that it’s time to get serious about restructuring government.

I-1053, which restores the two-thirds vote requirement for the Legislature to raise taxes, makes it unlikely that lawmakers will be able to follow up this year’s near-record $770 million tax hike with another large tax increase next year.

Rather, they  will be forced to make the same kind of hard choices about what to prioritize that families and businesses have had to make.

“This is the fourth time voters have approved more rigorous limits on tax increases,” said AWB President Don Brunell. “It’s clear they feel the state should be doing a better job managing our tax dollars. And voters are growing weary of lawmakers who aren’t listening to them.

Unfortunately, voters did reject a ballot measure that would have introduced private sector competition into the state’s system of workers compensation.

Still, if you’re a company dedicated to a West Coast presence, Washington has become more appealing, improving its position vis a vis California. California, more budget insanity looms. Washington, rationality and restraint.

Join the discussion One Comment

  • Mike Fenimore says:

    Taxes like these are what Horizon Manufacturing states as one of the reasons it is going bankrupt. Goverment needs to stay out of peoples pockets

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