This November, Washington voters will decide whether to repeal the state’s new income tax through Initiative 645. Supporters of the tax claim it will only affect Washington’s wealthiest residents. The truth, however, is very different. Every family, retiree, small business and charity in Eastern Washington and across the state will ultimately be exposed to this new income tax if it is not repealed.
How do we know this? Just two years ago, the legislature voted to ban any state income tax. Then, earlier this year lawmakers passed one with ESSB 6346, rejecting multiple attempts to permanently prevent the $1 million threshold from being lowered. If they truly intend to keep the threshold where it is, why not make it legally binding?
The law also eliminated longstanding protections that had shielded public employee retirement checks for nearly 80 years. That means retirement payments to teachers, firefighters, police officers and other public employees at every income level are now exposed to this tax. First responders know this playbook. Olympia already swept roughly $4 billion from the Law Enforcement Officers’ and Firefighters’ Retirement System Plan 1 (LEOFF 1) pension fund to plug budget gaps elsewhere.
These aren’t millionaires. They’re people who dedicated their lives to public service. The law also fails to shield Social Security benefits, leaving retirees’ Social Security checks exposed. If this tax were truly only intended for the wealthy, why remove protections for pension checks or leave Social Security beneficiaries vulnerable? Because lawmakers intend this income tax to be applied to all of us, soon.
Meanwhile, public-sector union bosses have contributed $8.6 million to defend this new income tax, even as the law eliminates protections affecting the benefits of the people they represent.
The debate also extends to Washington’s economic climate. Companies like Boeing, Microsoft and Starbucks grab headlines when they relocate due to tax policies. But small and midsize family-owned farms and businesses, which employ roughly half of Washington workers, also face difficult decisions about how and whether they can afford to keep operating in Washington. A hit to Washington’s working families at a time of rising job and benefit loss could be devastating. Nearly a quarter of Washington employers now say they’re considering leaving the state, nearly three times the rate from a year ago. Pearson Packaging Systems, a family-owned Spokane manufacturer, recently announced it’s shifting operations to Idaho. CEO Michael Senske pointed to uncertainty around Washington’s tax policy as a key factor in the decision.
Finally, the law caps charitable deductions and ties residency determinations to charitable giving history. A donor who leaves the state, but continues supporting Washington charities, could have that considered evidence of residency, subjecting them to the tax. This will deter legacy-level charitable giving that supports shelters, hospitals, community health programs, and other critical services. In Spokane and throughout Eastern Washington, philanthropic organizations could lose out on charitable gifts that help provide vital resources and services these communities rely on.
Opponents of this initiative say repealing the tax will cut education and healthcare funding, which is undeniably false. None of the revenue from this tax is earmarked for healthcare or education, and collections do not even begin until 2029. When voters realize this, support for the tax plummets, which is why proponents of the tax colluded with the State AG’s office to craft ballot language that misrepresents Initiative 645 by claiming that repealing the tax would cut funding for education and healthcare, intentionally muddying public perception. Only in Olympia can you cut funding that doesn’t already exist.
I-645 gives Washington voters the opportunity, one that lawmakers in Olympia denied them, to determine their own tax future. Vote yes on I-645 in November.
Jaime Herrera Beutler is the spokesperson for Vote Yes Repeal the Income Tax and a former member of Congress who served Washington’s 3rd District from 2011-2023. She lives in Battle Ground, Washington, with her husband Daniel and three children.
Jennie Wagner is a retired vocational agricultural teacher, FFA advisor, farm owner, and small business owner. She is a 4th generation agriculturist who lives in Reardan, Washington, and is a graduate of Washington State University.
