Corporate and Capital Gains Tax Increases Advance in Washington

April 21, 2025, 8:32 PM UTC

Washington state lawmakers advanced portions of a legislative package that would collectively raise nearly $12 billion over four years to help close a budget shortfall, partly through increasing taxes on businesses and capital gains.

The state Senate passed three bills April 19 advancing the corporate and capital gains tax hikes after Democrats that control both of Washington’s legislative chambers agreed those increases would replace a proposed wealth tax and a cut in the sales tax rate. Lawmakers updated their legislative package last week with the new revenue raisers.

Lawmakers dropped the wealth tax proposal after Gov. Bob ...

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