Washington Legislature Considering new Income Tax

On February 14 the Washington Senate Ways and Means committee has scheduled a public hearing on various tax increase bills. According to the Washington Policy Center, if all bills were adopted the Washington Policy Center projects that the 10-year tax increase would exceed $38 billion.

One of the bills up for debate is a Washington State Income Tax bill sponsored by Senators Chase and Kline (SB 5166).

This income tax uses generally follows the federal income tax structure. Washington "taxable income" is an individual's (federal) "adjusted gross income" less Washington exemptions and deductions. The proposed tax rates are below.

Married filing jointly

If Taxable Income is:	The tax is:
Not over $49,900	2.2 of taxable income
Over $49,900 but not over $120,650	$1,098 plus 3.5% of the excess over $49,900
Over $120,650	$3,574 plus 6.0% of the excess over $120,650

Head of household

If Taxable Income is:	The tax is:
Not over $37,425	2.2 of taxable income
Over $37,425 but not over $90,488	$823 plus 3.5% of the excess over $37,425
Over $90,488	$2,681 plus 6.0% of the excess over $90,488