Washington’s wallet raid: The tax hikes you didn’t ask for
The legislative session just started, and lawmakers are already coming for your wallet. Facing a $6.7 billion budget shortfall, state leaders are rolling out their usual playbook: raising the property tax cap, imposing rent control, introducing a wealth tax, and expanding Seattle’s Jumpstart Payroll Tax statewide.
Each of these proposals would make Washington more expensive, drive businesses away, and hit working families the hardest. But here’s the good news: we’ve stopped them before, and we can do it again.
Here’s what’s at stake—and what you can do to fight back.
Property Tax Hike: Here We Go Again
State lawmakers are reviving their failed attempt to triple the cap on annual property tax increases from 1% to 3%—a move they backed off from last year due to overwhelming public opposition. This time, they’ve introduced HB 1334 to push it through.
Why does this matter? Higher property taxes don’t just hit homeowners—they drive up rent, hurt small businesses, and make housing even less affordable. With housing costs already sky-high, the last thing Washington needs is another tax hike.
If lawmakers want to fix the budget, raising costs for struggling families shouldn’t be their first solution.
Rent Control: A Failed Idea With a New Name
Washington lawmakers are back with another version of rent control, this time rebranding it as “rent stabilization” in HB 2117. The bill would cap rent increases at 7% annually—but history shows that rent control only makes things worse.
The problem? It discourages investment in new housing, shrinks supply, and ultimately raises costs. San Francisco’s rent control policy cut rental housing by 15%, driving up costs even further.
Instead of ineffective price controls, lawmakers should focus on:
🏡 Reforming zoning laws to allow for more housing
🚧 Streamlining construction permits to speed up development
🔑 Expediting evictions for bad actors who abuse rental protections
Real solutions require increasing supply—not government-imposed price caps that drive investment away.
Wealth Tax: The Tax That Sends Jobs Packing
A 1% tax on wealth over $100 million might sound like it only targets the ultra-rich, but history tells us these taxes fail everywhere they’ve been tried. Even progressive billionaire Nick Hanauer—a longtime advocate for tax hikes—called this plan “boneheaded”, saying:
“Every wealthy person I’ve spoken to…has said they will leave the state.”
That’s exactly what happened in California, New York, and Illinois, where high earners fled, taking jobs and tax revenue with them. The more businesses and entrepreneurs leave, the fewer resources we have for schools, infrastructure, and public services.
If even the tax-loving billionaires hate this idea, you know it’s bad.
Jumpstart Payroll Tax: A Seattle Mistake, Expanded Statewide
Seattle’s Jumpstart Payroll Tax was a disaster for businesses—so naturally, lawmakers want to expand it statewide.
This tax targets employers by imposing a payroll tax on compensation over a certain threshold. But as economist Milton Friedman pointed out:
“Business does not pay taxes. Only people do.”
That means:
💰 Workers see lower wages
🛒 Consumers pay higher prices
📉 Investors see lower returns
Seattle business owners have already warned that this tax makes the city less competitive. Expanding it statewide would only accelerate job losses, push businesses out, and further shrink the tax base—leaving fewer opportunities for everyone.
Washingtonians Say NO to Higher Taxes—Will Lawmakers Listen?
Washington families are already struggling with high costs, and these tax hikes will only make things worse. Recent polling shows that 62% of residents reject tax increases as the solution to the budget deficit.
So will lawmakers listen? Or will they push failed policies that drive out businesses, shrink the tax base, and leave working families to foot the bill?
They need to hear from you. Use Future 42’s Take Action Tool to send a message to your lawmakers and demand real solutions—not tax hikes that make life harder.
📢 Take action now: CLICK HERE
The fight for Washington’s future starts today.
Let’s make sure Olympia hears us loud and clear.