by Ruth Peterson
It looks like we will likely have an income tax this year. Whether it makes it through a court challenge or not remains to be seen. But SB 5096 is scheduled to have an executive session on Tuesday in Ways & Means, a hearing that will start at 1:30 pm. Here is a link to the bill –> https://app.leg.wa.gov/billsummary?BillNumber=5096&Year=2021&Initiative=false.
Every bill that is introduced is heard in a Committee in a public hearing. That is when the legislators listen to testimony. After that step is complete, the next step is to pass the bill out of committee in an executive session. There is no testimony allowed when that happens, but by voting a bill out of committee, the majority signals that the bill will likely go forward. That is bad news for all of us.
This bill will put an income tax on long term capital assets. They call it a Capital Gains Excise Tax, but it’s the first step in creating an income tax that will affect everyone. The Democrats have freely spoken about what their goal is. The most underhanded thing about this bill is that they have an emergency clause on it. In the Constitution, the people are always allowed to have recourse to get signatures for a Referendum to be put on the ballot that will repeal a law. But not if it has an emergency clause. Of course, it’s obvious that this is not an emergency, because the tax doesn’t get implemented until next year, but we will have no recourse. The emergency clause takes away our right of referendum. (if you click on the link for the original bill and go to the very end, you will see the emergency clause there). This is the Democrats’ way of thumbing their nose at the people of this state.
They have set this up to make a new tax very tempting for people to support. It goes to free college. What a great way to get more college students signed up to vote Democrat. I know there is another bill in the house that will tax everyone more to provide free child care. College is wonderful and so is childcare and both of those are hard things sometimes. But the end goal here is free college for all and free childcare for all. The desire for more money by a Democrat-led government is never ending. They start out with free college and free childcare for those at the poverty level, but again, they’ve been very clear about wanting free college for all, free childcare for all – and there’s even yet another bill that raises taxes on health care to start paying for free healthcare for all. I have often heard that we should have an income tax instead of the high property taxes and the sales tax, because it’s a fairer way to tax. The problem is that they don’t want to do away with other taxes – or even lower them permanently – the government is a never-ending black hole tied directly to your wallet.
One other note about this tax. You will read that we need it to fill a gap in our state budget. That is a false statement – pure political spin. The truth is that this tax is needed to fill a gap that would occur only if the Democrats get their budget passed – a budget that increases our state expenditures dramatically. However, the Republicans put their own budget out this week that keeps spending within our means – without raising taxes! I know I promised a newsletter on the budget, and I will get to it. I promise. But this seemed a bit more critical, since it’s a vote that will be taken on Tuesday, Feb. 16th.
Please consider letting your legislators know that you do not want an income tax. And then get ready to work like crazy to get some seats flipped next year. We have a very progressive Legislature, and the only way they will be stopped is to take away their majority!
